SHRM Reports Highlight Need For Employee Training and Development
Fewer organizations are offering employee training and development opportunities now than in 2010, and while 82 percent of organizations still offer professional development benefits, that number is on the decline, according to the Society for Human Resource Management’s new report “2014 Employee Benefits,” released June 24 at the SHRM 2014 Annual Conference and Exhibition in Orlando, Florida.
At the same time as employers are cutting down on development benefits such as paying for professional memberships, certification fees and professional development opportunities, SHRM research has found many organizations are having a hard time finding employees with the skills and education needed to fill key positions. “If employers need skilled and educated employees, yet they decrease their investment in education and development benefits, it only stands to reason that filling positions of most strategic importance will grow even more difficult in the future,” warns the report.
The Recession Has Left Employees Needing More Training
Another report released at the SHRM conference, this one by the SHRM Foundation, revealed even more reasons employers would be wise to devote more resources to employee training and development.
Half of the 7.5 million jobs lost during the U.S. recession of 2008 were middle-skill jobs with pay ranging from $38,000 to $68,000, according to the “Evolution of Work and the Worker.” Despite the slowly recovering economy, only 2 percent of the 3.5 million jobs gained since the end of the recession in June 2009 are of this type.
As a result, many middle-skilled candidates have had to settle for low-skill jobs while employers work to fill talent and knowledge voids. They want highly skilled workers and the numbers suggest one way to get them is to teach them.
The report found several European states are devoting resources to both demand-side and supply-side interventions. In February 2013, the EU’s Council of Employment and Social Affairs Ministers approved a proposal for a program called The Youth Guarantee scheme designed to provide good-quality employment, continued education, an apprenticeship, or a traineeship within four months of graduation or unemployment for those under 25. They have a budget of €6 billion, or more than $8 billion, for the period up to 2020.
Millennials want Employers Who Invest in Their Growth
The newest generation of employees is another reason employers should be focused on training and development. Millennials -- also known as Gen Y, or those born between 1982 and 2000 -- are looking for jobs where they can grow and learn, and they aren’t afraid to move on if they think they aren’t getting enough opportunities with their current employers.
The average millennial changes jobs 6.3 times between the ages of 18 and 25, a stark contrast to the 5.5 times the average baby boomer changed jobs at the same age, according to a report from Georgetown University. Providing them with the professional skills they want to acquire is a great incentive to stay.
Development Programs Help Employers Tap into Women’s Talents
Despite advances, women continue to struggle to move up in the workplace at the same time as employers struggle to take advantage of their skills. Only 13 of the largest 500 companies in the world by revenue had women CEOs in 2012, according to the report.
People once thought the reason high-ranking women are rare was because women traditionally took time out to raise a family, but that notion has been debunked. Approximately one in four college-educated American women is childless and in her mid-forties, which shows something else is going on.
“Mentoring from senior female executives to their younger counterparts and the early identification and rapid career development of high-potential women are both essential aspects of a proactive approach” to improving the situation, says the report.
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Success Labs is a full-service, strategic organizational and leadership development company located in Baton Rouge, Louisiana. For more than 25 years, our expert team of consultants has worked with hundreds of companies to explore their business potential and improve their company and cultural performance. Contact us to get proactive about your people strategy.
