The Training Issue essays

The Training Issue essays We already said that the Commission was concerned about the level and extent of training provided by Americas businesses. The National Alliance of Business quoted Bureau of Labor Statistics survey data to outline the extent and pay-off from worker training. They found that larger companies are more apt to engage in training than are the medium and small sized firms. Manufacturers are more apt to provide training in basic skills; non-manufacturing training tends to be more job skills oriented. Workers with the most education to begin with are also the workers most apt to receive training from all sectors in the economy. Managers often receive the least amount of train ing of all job classifications. Larger firms are more oriented towards job skills training that are medium and small sized firms. Finally, the use of outside training providers is increasing as opposed to in-house training. From the employees point of view, training does pay. Over 80% report that they gained skills from training. Only 19% reported that training led to higher pay. 40% felt that job training was necessary for future advancement in their particular occupation. It is generally agreed that there is a current skilled worker shortage in the nation. Given that, why isnt there more training by American companies? Since medium and small sized firms are the fastest growing in terms of employment, why arent these firms more engaged in the training process? Cost is a factor, of course. But cost is probably not the major factor. With the reduced loyalty of firms to employees coupled with reduced loyalty to firms on the part of employees, could it be that firms are concerned about paying the costs of training an employee only to lose that employee to other firms? This is of particular concern in tight labor markets. Perhaps smaller firms feel they are particularly vulnerable to the potential loss of skilled employees and ...