Learning & Development

Study Recommends Investing in Training for Frontline Workers

In a business brief, the National Network for Sector Partners (NNSP) explains how profiled employers achieved significant bottom line benefits by undertaking innovative training and career development efforts that are targeted at their lower-skilled, lower-wage workers.

From Hidden Costs to High Returns: Unlocking the Potential of the Lower-Wage Workforce is based on structural interviews with employers. Some of the ways their investment in training and career development paid off are:

  • Increased revenue due to improvements in quality and customer satisfaction;
  • Lower costs due to a decline in the number of errors, customer complaints, and supervisory interventions;
  • Improved employee productivity and morale;
  • Lower costs associated with vacancies, recruitment, retraining, and overall turnover; and
  • A better company image among customers and employees, NNSP reports.

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Training Is Win-Win
Employers profiled for the NNSP business brief reported that their investments in training and career development not only helped their bottom line, but also increased the earnings of lower-skilled workers.

“In 60 interviews with business leaders in the healthcare and manufacturing sectors, we found that innovative companies are achieving impressive returns through deliberate, sometimes multifaceted efforts,” said NNSP Director Jack Mills. “Companies that grow their lower-wage workers’ skills and careers are reaping advantages over competing businesses, and participating workers are reaping significant earnings increases.”

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