Published by The Hill
February 2, 2015
By Frank Britt
In the wake of the globalization across scores of industries, we have entered a new era of the skills economy. And in a skills economy and a skills marketplace, employers are—as should be expected—taking a different lens on the return on investment of sourcing, growing and attracting talent and on nurturing the pipeline of next generation employees.
A study from the Association for Talent Development indicates that U.S. businesses spent approximately $1,200 per employee annually on training in 2013, totaling $164.2 billion. Of that, 63 percent is spent internally and 47 percent is outsourced as employers recognize the importance of skilling workforces to remain competitive. This figure is in addition to the $18 billion invested in employee directed tuition assistance programs.
Historically, most of these training dollars have gone to the top of organizations. A study conducted by Bersin by Deloitte shows that in keeping with past trends, 35 percent of corporate training dollars were spent on a limited number of professionals in leadership and management positions in 2014. But, thankfully, that’s starting to change.