Employee Training and Development Programs : Employees are a company’s biggest asset, and investing in talent is vital to sustainable business growth and success. Businesses go through lengthy processes to recruit and hire qualified and suitable staff, but often the emphasis on caring about employees stops there. According to a Gallup study, workgroups that engaged in employee development saw a sales increase and profits double compared to workgroups that didn’t engage at all. Dedicated Employee Training and Development Programs fosters employee engagement, and engagement is critical to your company’s financial performance.
Workgroups that engaged in employee development saw a sales increase and profits double compared to workgroups that didn’t engage at all.
Investing in your staff’s professional development is vital for team retention to the point that 94% of employees would stay at a company longer if it invested in their career development. Replacing talent can cost more than retaining the employees you originally had. A report from Gallup revealed that 38% of the US workforce is powered by millennials, and in 2025 it is estimated to grow to 75%. However the rate of turnover amongst millennials is high – only 50% plan to be with the company one year from now. Gallup estimated that employee replacement costs can be 150% of the worker’s annual salary, or more. Caused by a lack of workplace engagement, turnover costs the US economy $30.5 billion a year. The internal economic detriment could be brutal, for both small and large organisations. It’s a costly mistake, and one that can be easily mitigated.
As the business landscape becomes increasingly competitive, improving your team’s performance is imperative within evolving markets. Employee development and training is no longer an additional perk reserved for the C-suite, it’s essential for the growth of your business and the workforce that propels it.
What is employee development?
Employee Training and Development Programs is a term often used interchangeably, across sectors, and encompasses various employee learning practices. More specifically, training involves programs which enable employees to learn precise skills or knowledge to improve performance. Employee Training and Development Programs involve a more expansive employee growth plan, for future performance rather than immediate career role improvement. Now, more than ever, learning and development are taking top priority, with 27% of organisations preparing for budget increases within development initiatives. As new markets emerge, so will new technologies; both having a profound impact on education and development. Recognising new skills and ways of learning will help a company evolve and innovate for the future. Merging contemporary technological platforms with creative learning methods will ensure that teams learn dynamically, through a future-oriented approach.
94% of employees would stay at a company longer if it invested in their career development.
The benefits of Employee Training and Development Programs in the workplace
The top benefit for driving Employee Training and Development Programs is to shape a more efficient, competitive, and engaged workforce. Companies that have actively interested and dedicated employees see 41% lower absenteeism rates, and 17% higher productivity.
Here are reasons why Employee Training and Development Programs is important:
1) Positive employee retention
Hiring and retention can become a major challenge to employers, however, this can be avoided through career development. Training programs have become so centralised within businesses that it is often used as a competitive advantage when hiring. Offering programs within employment contracts establish an employee’s sense of value within the company, and fosters loyalty and ultimately staff retention. What’s more is that a business with an engaged workforce will achieve a 59% lower staff turnover rate.11
2) Training future leaders
Targeting skills and employees for future leadership will help establish a business for growth and change. Acquiring leadership talent can start from the initial acquisition, or Human Resource professionals can select current employees as managerial candidates. Having established leadership development programs ensures that an organisation is always considering the future organisational goals by preparing promotable talent.
3) Employee empowerment
Leaders who feel empowered within the workplace will be more effective at influencing employees and gaining their trust. Consequently, those employees will feel a greater sense of autonomy, value, and confidence within their work. Forbes measured empowerment along with employee engagement in data from over 7,000 employees and found that employees who felt a low level of empowerment were rated with engagement in the low rankings of the 24 percentile, compared to those who felt a high level of empowerment and were in the 79th percentile.
4) Increase workplace engagement
Boredom in the workplace can create feelings of dissatisfaction and negative working habits. Regular development initiatives can prevent workplace idleness. Having frequent Employee Training and Development Programs will also establish regular re-evaluation – of employees, skills, and processes. Employee Training and Development Programs will also influence company culture by instilling an emphasis on planning.
Training and development can prompt company analysis and planning; it requires employers to review existing talent and evaluate growth and development opportunities internally, rather than via recruitment. Assessing the current skills and abilities within the team will enable managers to strategically plan targeted development programs that consider any potential skills gap. Organisations also need to consider the rise of digital and online learning in talent development. From the Linkedin Learning survey, 58% of employees prefer opportunities that allow learning at their own pace. The same report revealed that 49% prefer to learn when the point of need occurs – making accessible, independent online learning the most suitable for an increasingly diverse, multi-generational workforce.
