Do you prioritize proper training in your company? If not, you might be wasting money on people who won’t even be working for you in a few months! This issue has been spotlighted as millennials are entering the workforce with new priorities and goals. To understand the actual cost of an untrained workforce, continue reading!
What are the Issues?
As more younger people are entering the business world, they are bringing new priorities along with them. Most millennials have been noted as looking for a business that offers better opportunities for career growth. In a survey conducted by PwC, they found that 52% of millennials feel this way!
Because of these new goals, millennials are not staying at businesses that do not offer adequate training material. This means that newer employees are looking for a company that prioritizes both its growth and theirs. Although it might seem easy to replace employees who leave, it is less cost-effective. If employees are frequently leaving businesses for other companies, it might be time to look at what is making them go.
How Can it be Fixed?
The answer is straightforward, provide employees with training materials that help them grow. Paying a few hundred dollars to make sure employees have the proper resources to expand their knowledge is a better investment than constantly hiring new people.
The average cost of hiring a new employee is over 4,000 dollars. If your business has a high turnover rate, those dollars can add up very quickly. Thankfully, there is a solution, eLearning courses can provide you with the materials needed to keep employees at a cost that won’t run you into the ground.
What Should I Look For?
When considering different eLearning options, the main thing you should do is to figure out how your employees prefer to learn. As mentioned in Increasing Knowledge – How Different Learning Styles Affect Employees, there are many teaching styles. Each employee might have a different kind of learning that best helps them retain information. By asking them about it, you can make a decision that benefits the majority of employees. After deciding which training approach would work best for your company, it is good to make sure that employees are aware of these resources.
How Does This Help?
If employee satisfaction is not enough reason to provide proper training materials, there is also a significant financial benefit to including eLearning in the workforce. HR Magazine reports that companies that invest $1,500 on training per employee can see an average of 24% more profit than companies that invest less. Additionally, companies that increase training expenditure by $680 generate a 6% higher shareholder return.