L&D And Employee Compensation: Should These Both Be Linked?
More employees each year consider learning and development training opportunities as being more of a priority than other forms of compensation such as higher salaries and extended vacation leave. So, should companies be making employee training part of the compensation packages that they offer existing and potential employees?
Should L&D Be Linked To Employee Compensation?
Today’s modern workforce look for two core aspects when they are considering a new job opportunity. These are a great company culture and employee training opportunities. While the traditional employee compensation package often just included a fixed salary level, performance-related bonuses, health benefits and vacation leave this isn’t always enough anymore.
As you know, a company’s employee compensation plan should always be strategic. It should provide affordability for the business and incentivize the employee increasing retention rates. And what is the best way to retain employees? Encouraging upskilling.
An employee will always feel more motivated and engaged by a company that openly supports their progression, both professionally and personally. So, by including learning and development (L&D) as part of employee compensation, you are telling future employees that their development and growth are highly valued.
What Are The Pros Of Providing Training To Employees?
When an L&D training plan is successfully implemented in a business, it has multiple benefits that can be seen and experienced by both employers and employees alike.
The value and benefits of employee training act as a kind of domino effect. Leaders feel more confident and can engage their employees better, improving performance levels. While happy and skilled employees boost employee morale, retention levels and job satisfaction.
By making training and development an essential part of employee compensation and constantly adapting to ever-evolving L&D trends, your company will be able to continuously stand out from the crowd and compete in a complex and diverse economy.
L&D And Employee Compensation: What Are The Possible Cons?
If you do decide to include training and development as part of the compensation for new and existing employees, then you need to be dedicated to doing it correctly. Otherwise, you may experience pitfalls.
When an employee training plan is put in place which isn’t effective or doesn’t address the skills that your employees need to improve, you will notice quickly. Learning and development training is an investment for your business and your staff. So, an employee training plan must be designed with careful consideration.
If L&D is not set up correctly, or in fact, not measured properly then it will soon become apparent that your employees aren’t getting the full benefits that they could be. Productivity levels will stay the same and in some cases, turnover rates will increase.
Is Training Bringing Measurable Change To The Employee And Business?
The main question you should always ask when incorporating L&D as part of employee compensation is whether your chosen training plan is bringing measurable change to your business and your employees.
Remember, employee training is never a one-time benefit. For you, as a company leader, to see measurable change then you need to make sure that an L&D training plan provides continuous learning opportunities for your employees. Tracking the development of your employees is also a necessity to ensure that they are receiving the full benefits of training programs and that they can apply their new skills in the workplace.
Training Company continues to work alongside companies to help them effectively create a plan to implement incentive-based learning and development as part of the benefits they offer their staff. We act as your company’s outsourced L&D partner, working with you to design an employee training program that will continuously provide benefits as your business and employees grow.
Our Learning Management System offers employees access to a vault of training material and also features skills testing and learner performance reports so that you can easily see your employees grow. When offered as a built-in benefit as part of employee compensation, we guarantee that you won’t regret it.