In a world where technological advancements and innovations take place faster than ever before, it is essential to constantly update our skills. Most acquired skills in today’s ever-changing corporate world become less relevant by the day! Having employees with updated skillsets is undoubtedly beneficial to a company’s well-being. Interestingly, however, employees themselves benefit greatly from training programs on a personal and professional level, due to their fear of having their skills become obsolete.
Job candidates are reported to value training programs more than any other benefit when searching for job opportunities—even paid time off. Learning and Development packages empower employees to perform at their highest potential in their existing jobs, which increases employee satisfaction. A study conducted by Warwick University indicated that satisfied employees are 12% more productive than those who have low levels of employee satisfaction.
This high value that employees place on L&D benefits is one of their main motivations for staying in a job. In fact, according to a study conducted by eLearning expert Nikos Andriotis, 60% of workers in the United Kingdom have changed jobs due to limitations in their employers’ training options.
Having new employees join organizations is very beneficial due to their novel points of view and unique experiences. However, in many cases, businesses should try to retain employees. Here’s why:
When replacing employees, companies have to provide certain packages and compensate for their employees’ lost time. Employee turnover costs a minimum of 16% of the employee’s annual salary, and can increase to over 213% as the level of the employee increases. Hence, by retaining employees, companies can avoid these costs.
The notion of a company rapidly changing its employees demonstrates low levels of loyalty. In addition, this can give employees the impression that they are easily replaceable, thus reducing their motivation to work. Conversely, companies benefit from showing employees that hard work can promise long tenures at the company; this accelerates their productivity and satisfaction.
Increased Familiarity with Culture
Employees who are with a company for a long time are more familiar with business strategies, goals, corporate culture, and internal communication methods. Companies invest tremendous time when immersing new employees in their corporate culture, and this time could be used for productive acts instead.
An important concern that arises from this discussion is: If companies invest in effective training programs, how can they avoid employee attrition? The notion of employees leaving an organization after they acquire certain skills in order to utilize them somewhere else is a misconception. Through training programs, employees feel needed and motivated to develop themselves, as well as the organization. This leaves no reason for them to leave the organization. Companies can accelerate their employees’ training experiences and more confidently ensure retention through the following measures:
Use of Innovative Tools
Businesses can provide a more engaging and effective learning experience for their employees by incorporating innovative tools, such as gamification and interactive learning, in their training.
By catering learning experiences to individual employees, employers amplify learner experience and productivity. Recent studies continue to prove the increased effectiveness of personalized learning, compared to one-size-fits-all approaches.
People are more likely to work towards goals that will yield some form of reward. Companies can motivate their team by encouraging and rewarding them throughout their learning experience.
At CoreAxis, we have always recognized the sensitivity of employee recruitment and retention. Hence, we provide our clients with custom training packages and innovative learning solutions that give our clients all the tools they need to achieve their recruitment and retention goals.