Training budgets in many organizations were cut during the recession for all but the most basic purposes, such as bringing new employees on board. Now that the talent war has heated up again, it’s time for companies that are seriously committed to retaining their best people and attracting more like them to invest in training. Here are three reasons it’s worth the time and money:
1. Meaningful work matters to employees.
TechTarget’s 2012 survey of thousands of senior level information technology managers cited stimulating work as key to their job satisfaction. It’s not surprising that the best and the brightest people want to gain more knowledge and make a difference. Companies that invest in their employees’ ongoing professional development, enhance their skills and give them a role in shaping the company’s future offer more than a nice paycheck. Training keeps employees engaged.
2. Developing talent combats turnover.
The Society for Human Resource Management estimates the cost of replacing a midlevel employee is 150 percent of the person’s annual salary and up to 400 percent for specialized, high-level employees. With jobs more plentiful again, the increased risk of turnover is greater than it has been in years. But companies that invest in a great team have well-trained people ready to step into suddenly vacated, criticalpositions. They save money, stay productive and deliver opportunities for their best people to advance.
3. Organizations built on “cultures of learning” are more competitive.
The Aberdeen Group’s 2013 report on human capital management trends noted that among the top pressures facing professionals today are a scarcity of key skills (39 percent) and the need to operate more efficiently in today’s economic climate (41 percent). High-performance learning organizations share the qualities that address these two challenges by ensuring continual skills development at all levels. For these companies, learning is a core value and an important part of the culture. It is measured and evaluated against the company’s strategic and growth goals. Learning is reinforced from the top of the organization down and becomes a core fiber of the organization fostering a true learning culture.
Matthew Casey, Ph.D., is the vice president of content and accreditation at SmartTeam.