Table 6 Benefits of Training for Employees and Employer Benefits Employee Employer Improved employee pay Increased productivity and efficiency Tangible Improved language & literacy Increased sales and profitability Improved technical skills Improved product quality & services Increased use of new technologies Improved customer service and satisfaction levels. Improved workplace practices and procedures. Improved OHS Social and well-being Better management and employee workplace Intangible relations Improved self-confidence & morale More co-operation among employees Reduced stress Reduced internal conflicts Improved motivation Developing a learning culture Improved work ethic Supporting social cohesion and inclusion Improved physical and mental health Job satisfaction Source: Adapted from Barker 2001 and Moy and McDonald 2001 in Brown et al 2015 Workplace Literacy Pays, ACER Note: A detailed list of benefits is presented in Appendix 7. Time duration - Benefits may arise at different points in time and may extend well beyond the final offering. The payback period could be projected one to five years. The period of time data points may cover - during a training program, at its completion or long after the event (OECD, 2008). Table 7 illustrates a comparison of the short and long term benefits to the individual, organisations and the economy. Medium to long term benefits such as mobility or the capacity to upgrade skills later in life are more difficult to quantify (OECD, 2008). The value-chain of benefits needs to be considered to fully capture more accurate returns of training. Table 7 Short and long term benefits of training by stakeholder Benefits Individual Employer Economy Employment opportunities Higher productivity from Reduced reliance on welfare Short-term benefits trained workforce. Increased earning levels Social cohesion Saved costs from recruiting Work satisfaction external skilled workers Improved quality of products and services. Improved customer satisfaction levels. Greater employee flexibility Reduced employee turnover. Productivity gain from Long-term benefits and mobility educated workforce. Improved safety record. Lifelong learning Increase in tax income from Better workplace relations. higher earnings. Source: Costs and Benefits in Vocational Education and Training 2008 OECD Source: Adapted from Barker 2001 and Moy et al 2001. Key questions What are the tangible benefits? What are the intangible benefits? Should intangible benefits be converted to monetary value? (e.g. well-being) How can intangible benefits be monetised/quantified? What are the short, medium and long term benefits of training? When are the most important data collection points?
Table 6 Benefits of Training for Employees and Employer Benefits Employee Employer Tangible Improved employee pay Improved language & literacy Improved technical skills Increased use of new technologies Improved workplace practices and procedures. Increased productivity and efficiency Increased sales and profitability Improved product quality & services Improved customer service and satisfaction levels. Improved OHS Intangible Social and well-being Improved self-confidence & morale Reduced stress Improved motivation Improved work ethic Improved physical and mental health Job satisfaction Better management and employee workplace relations More co-operation among employees Reduced internal conflicts Developing a learning culture Supporting social cohesion and inclusion Source: Adapted from Barker 2001 and Moy and McDonald 2001 in Brown et al 2015 Workplace Literacy Pays, ACER Note: A detailed list of benefits is presented in Appendix 7. Time duration - Benefits may arise at different points in time and may extend well beyond the final offering. The payback period could be projected one to five years. The period of time data points may cover - during a training program, at its completion or long after the event (OECD, 2008). Table 7 illustrates a comparison of the short and long term benefits to the individual, organisations and the economy. Medium to long term benefits such as mobility or the capacity to upgrade skills later in life are more difficult to quantify (OECD, 2008). The value-chain of benefits needs to be considered to fully capture more accurate returns of training. Table 7 Short and long term benefits of training by stakeholder Benefits Individual Employer Economy Short-term benefits Employment opportunities Increased earning levels Work satisfaction Higher productivity from trained workforce. Saved costs from recruiting external skilled workers Improved quality of products and services. Improved customer satisfaction levels. Reduced reliance on welfare Social cohesion Long-term benefits Greater employee flexibility and mobility Lifelong learning Reduced employee turnover. Improved safety record. Better workplace relations. Productivity gain from educated workforce. Increase in tax income from higher earnings. Source: Costs and Benefits in Vocational Education and Training 2008 OECD Source: Adapted from Barker 2001 and Moy et al 2001. Key questions What are the tangible benefits? What are the intangible benefits? Should intangible benefits be converted to monetary value? (e.g. well-being) How can intangible benefits be monetised/quantified? What are the short, medium and long term benefits of training? When are the most important data collection points?
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