Career Services Unlimited

Turning potential into reality

 


Relevant Facts
 

The key to any organizational success is people. Investments in people pay-off.

The American Society for Training and Development has traditionally recommended a minimum of 40 hours of training a year for every employee. This is consistent with the emphasis employees place on the opportunity to grow and develop both their skills and career while in your employ. The chance for ongoing development is one of the top five factors employees want to experience at work.  As a retention strategy for your preferred employees, training and development rates highly. Only their perception of their salary and benefits as competitive and reporting to a manager they like, rate higher.

As an employer, you have invested time and money in hiring the right people. It is less expensive to retain than to recruit.  So it is important to invest in employee training and development in order to meet the challenges and business demands of the future, and to build that competitive edge. Forward thinking organizations strive to enhance the value of every employee. Fostering employee development is a proven method of not only growing your organization but retaining your staff. Research clearly shows that potential employees seek out employers who will help them increase their professional, personal and leadership skills.

The Hidden Costs of Replacing Employees

According to a new cost of employee turnover analysis from the Employment Policy Foundation, a Washington, D.C.-based research group, average turnover costs reached over $13,000 per full-time private-sector worker in 2004. The result is based on an earlier study that found turnover costs average 25 percent of a worker’s annual salary. Turnover costs, which include recruitment, selection, training and lost productivity expense, have climbed 6.8 percent from a $12,506 average cost in 2002.

Companies that spend $218 per employee on training have more than a 16 percent voluntary turnover, while companies that spend over $273 per employee have turnover of 7 percent annually.  The cost to replace an employee who leaves is, conservatively, 30% of his/her annual salary. For those with skills in high demand, the cost can rise to as much as 1.5 times the annual salary.
Workforce, September 2001

People are definitely a company’s greatest asset. It doesn't make any difference whether the product is cars or cosmetics. A company is only as good as the people it keeps.
Mary Kay Ash

 

 

 home  coaching  training  relevant facts

presentation seminars  workshops  our client list
what people say   about Anne Weisbord

 

Career Services Unlimited

505 Wynne Avenue

Havertown, PA 19083

Phone: 610-789-9900 

aweisbord@awlearningconsultants.com