What if you invest in training and development for your employees, and then they quit?
Providing opportunities for professional development serves to recruit new talent and retain existing employees. Digital credentials mark and recognize those achievements and belong to the individual who demonstrates the competency. The simple answer to the question of “What if they leave?” is that having an employee leave in good standing with an earned credential reflects positively on you as the employer. On the flip side, what if your employees who aren’t properly trained and recognized stay? Having employees who aren’t performing to their full potential could be detrimental to the bottom line.
Why Employees Leave
Fundamentally, employees leave because they either want more money or they want to know there are continuing opportunities for advancement on the job. If the reason is financial, the company can decide whether or not to increase financial benefits. If the reason has to do with opportunity, the perspective shifts. Are there places where an employee could be better utilized? Are there places where the employee can retool or skill-up for a change in role? How does the company reward and recognize loyal employees?
The Cost of Employee Turnover
Turnover costs are enormous. As Stephanie Owen, Education & Member Engagement Director, and Brett Miller, NWFA VP of Education & Certification, shared in their presentation at the NWFA Expo, research by the Society of Human Resource Management suggests that replacement costs can be as high as 50%-60% with overall costs ranging anywhere from 90%-200%. It could take 6 to 9 months of that employee’s salary to replace him or her, depending on the employees salary.
As the Society for Human Resource Management explains, “Today, our most creative and talented workers have entrepreneurial spirits. In fact, many would rather be self-employed than work in traditional jobs.”
Shifting back to the question of what happens when a company invests in the employee and he or she leaves, Jared Fitzgerald, owner of Southern Oaks Flooring in Nashville, explained, “You will always have employees who leave for money, and some who will leave because they are entrepreneurs or want to set out for a new opportunity. By giving them the training and tools they need, they reflect back on you even when they go.” Since digital credentials are portable and the employee can take their credentials with them, the quality of the credential reflects the opportunities you, as the employer, provided. In turn, this becomes a tool for recruiting new talent.
“Now my employees can talk about this. When trained, and when having a real credential, these employees start owning the job. They’re not going to leave, “ Fitzgerald adds.
Credentials are Good for Business
Following the presentation at NWFA’s Expo, Mac Davis of Mac Davis Flooring in Nantucket brought the following quote to Credly’s attention: “Successful people are always looking for opportunities to help others. Unsuccessful people are always Asking, 'What's in it for me?”~Brian Tracy” Simply put, it’s good business to grow one’s talent.
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Dr. Susan Manning is the Chief Success Strategist at Credly. Susan strategizes with clients on how to design and implement amazing digital credential systems.