No, it's definitely experience. It affects their morale, but it's experience - if you need proof, check their stats - the number of experience they have is always equal to their number of chevrons.That's Morale, not Experience.
Oh I get it...so if I were to retrain them in Italy, would that give them the +2? -MIt's likely you: some government types offer a +1 experience, others don't. Game fields/gymnaseia add another +1. IIRC Marian's mules get recruited into the army from a large hinterland of type 2 govts, which means that they can get only up to a +1 lead; your Italian/Homeland people however can/used to begin with a +2 lead.
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