Employee turnover is a multifaceted problem. There are many angles worth considering, including turnover rates by state, type of separation, job role, and gender and LGBTQ+ identity.
Another piece of the puzzle is training.
Research shows there is a direct link between training and reduced turnover rates. Almost everyone (about 94%) would stay at a company for longer if it provided opportunities to learn and grow.
When it comes to workforce training, not all efforts are created equal. So let’s dive deeper and explore how training impacts turnover. While there is no one-size-fits-all solution, the good news is, there are training and employee retention statistics and insights you can lean on to guide your decision-making.
We encourage your team to add this article to your talent strategy toolkit along with our other turnover guides.
What the Research Says
First, we’ll share some data on turnover and training opportunities. Then, we’ll examine professional credentials in the workforce and how companies can help employees further their education and professional development.
Data on Training Opportunities & Turnover
- When employees don’t feel challenged and, as a result, feel stagnant in their roles, they can get the itch to leave. A study found that 83% of workers who had recently resigned or were planning to do so in the near future said they no longer felt like they were growing in their position.
- 70% of employees would feel more inclined to leave their role for an employer known to invest in learning and development.
- Research shows the two main drivers of turnover among governmental public health staff are low salaries and lack of opportunities for advancement. The study notes that offering more training and developmental opportunities might help mitigate these drivers.
- In today’s remote and hybrid environment, e-learning helps organizations lend a helping hand to employees with rich development opportunities. E-learning can increase retention rates by 25% to 60%.
- 90% of organizations worry about retention and provide learning opportunities as their top strategy.
People with Professional Certifications or Licenses: What the Labor Force Looks Like
Around 24% of full-time workers in the US have a certification or license, which can significantly increase both job opportunities and earnings potential. According to the Bureau of Labor Statistics, 87.7% of workers with some kind of credential are active in the labor force, compared to 57.8% of those without.
Now, not everyone can make college work, and that’s where the workplace comes in. Companies can play an important role by offering training opportunities to help employees climb the career ladder and reach their full potential. To further demonstrate their commitment to employee development, they can even offer education reimbursement for workers pursuing relevant credentials.
The Impact When Employees Leave
Employees leaving an organization due to a lack of training opportunities can impact the company’s performance and culture in several ways.
Disruption of Workflows
Instead of investing time in productivity, leaders divert time and resources to recruit and onboard new employees. Meanwhile, current employees struggle to fill in the gaps, which impacts project completion and overall productivity.
Higher Costs
It can cost one-half to two times a worker’s annual salary to replace them. So, on top of disrupted workflows, employers take a big financial hit.
Team Dynamics
When employees leave, it impacts business and teams. When they’re scrambling to hold the fort and picking up extra slack, this can lead to stress and burnout.
Reinforcing Cycle
The revolving door keeps spinning, and guess what? It just keeps going. When employees feel stuck with no opportunities to learn new skills or climb the ladder and see their peers leaving, resentment starts to build.
Morale takes a nosedive, job satisfaction plummets, and before you know it, even more people are heading for the exit.
5 Strategies to Lower Turnover Rates via Training Opportunities
Letting employee turnover go unchecked and failing to address the reasons behind it creates a loop. Employers need to step up and stop the cycle with five strategies.
1. Define Top Talent
The term “top talent” has become a buzzword in the recruiting and talent industry—but what does it exactly mean? What kinds of experience, skills, and attributes does “top talent” possess?
Every company has its own definition based on its competition, needs, and objectives. Take the time to lock down your definition. What skills, personality traits, knowledge, and expertise do your top employees have (and you wish your other employees would develop)? This definition will serve as your guiding light toward the right training opportunities.
2. Invest in Skill-Based Training
Over three in five employers take action with skill-based training due to the ROI it produces and its ability to address skills gaps. We’re talking about a smart investment and a strong workforce—a win-win.
Here are four types of skill-based training organizations are offering:
- Initial skill training: Job shadowing, rotation, and other activities that provide the essential skills for the job
- Job maintenance training: Additional training that helps workers succeed in their role, such as product/service and technology training
- Upskilling training: Cross-functional training, certification programs, and educational programs
- Employee development training: Coaching, mentoring, leadership training, and professional development programs
3. Invest in Managers
Leaders play a critical role in driving training opportunities for their teams.
Yet here’s the reality—a workplace that lacks management skills makes employees more likely to leave their jobs, with 57% of workers saying they’ve quit at least one job because of a manager. On top of that, 66% of managers have not had any formal management training.
Let’s face it: Managers these days often feel like they’re being thrown to the wolves. Companies expect them to handle everything but rarely give them the training or resources to succeed.
This lack of support hurts not just the managers themselves but also their entire team.
The ripple effects of inadequate manager training must be addressed. Here’s how:
- Begin with a needs assessment that identifies areas for improvement.
- Invest in programs that train on leadership competencies like conflict resolution, communication, and performance management.
- Obtain feedback from managers to see how effective the programs are. Use this data to make the necessary changes.
4. Glean Insights from Employees
What brings your employees a sense of purpose? What values do they stand by?
The truth is, we can go on and on about talent strategies, but if these methods don’t align with the values of your people, they aren’t likely to produce the right outcomes.
So tune in with your employees and use their words and ideas as a compass. The more alignment there is between the organization and its people, the more loyalty and commitment your workforce will show.
5. Recognize Accomplishments
Did you know those who don’t feel recognized for their contributions are almost two times as likely to consider quitting?
Expressing thanks matters. So, in addition to providing a quality training program, don’t forget to recognize employees’ achievements.
Keep these best practices for expressing gratitude in mind:
- Find what makes employees pumped: Personalization makes the recognition experience all the greater. Whether it’s a gift card to their favorite restaurant, a charitable donation, or hotels through Priceline for their upcoming vacation, give the gift that’ll make employees feel seen.
- Lean on automation: Depending on the size of your workforce, it can be challenging to stay on top of everyone’s achievements, anniversaries, birthdays, and more. A reward and recognition platform is a great way to simplify this process without sacrificing quality.
Nurture Your Workforce
Don’t let talent walk out the door. Invest in your workforce’s learning and development journey—because when you help employees grow, they’re more likely to stick around.
Looking for more ways to boost retention? We’ve got you covered. In addition to this training and employee retention guide, we encourage you to add these resources to your toolkit:
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