5 Reasons Why Local Businesses Should Invest in Workforce Development Programs

In part one of this series, we ventured into the arena of workforce development and training and the positive impact this can have on a community. If you missed it, you can find it here. In today’s article, we continue the conversation and illustrate the benefits that workforce development provides to local businesses and employers within that community.

Quick Recap: What Is Workforce Development?

A brief refresher before we move on—let’s talk about the definition of “workforce development” or “workforce training.” From the National Association of Workforce Development Professionals:  Workforce development is a comprehensive approach to preparing individuals for success in the labor market while ensuring that businesses have access to the talent they need to grow and thrive.

Workforce training can turn up in a few different ways:  

• On-the-job, where employers provide training specific to their business needs 
• Educational, where workforce development programs partner with educational institutions to upskill employees 
• Community-based, where community organizations offer programs that teach soft skills like communication and critical thinking

We’re going to be looking primarily at on-the-job and educational training because those are the types that can be directly spearheaded by an employer or local business owner.

How Does Workforce Development Benefit Employers?

We know that these programs can be hugely beneficial to the community, especially economically, but an employer might be wondering what kinds of benefits their business will see by implementing workforce training. What kind of return on investment can they expect? 

There are a lot of advantages:

Better Productivity 

Better skilled workers are less likely to make costly mistakes, require excessive supervision, and waste time completing tasks. By upskilling current employees through workforce development programs, local companies and businesses see improvements in operational efficiency and worker productivity which can lead tp overall profitability. According to a study presented by LinkedIn Learning, effective employee development can increase performance up to 25%.

Lower Turnover 

It costs more to hire and train a brand-new worker, which is why it’s important for all businesses to reduce employee turnover. In the same LinkedIn Learning study, 94% of employees would stay at a company longer if it invested in their career. Offering workforce development opportunities makes employees feel invested in and gives them stronger job security, reducing the chances that they will start looking for employment elsewhere.

Improved Brand Value 

With people being able to research an employer in seconds,  brands are more visible and accountable than ever.At the same time, the up-and-coming generations of workers are often looking for more than a paycheck. They want to feel good about what they do and the employer they’re working for, and a business that integrates workforce training shows they are invested and forward-thinking, which can boost public perception in the job market.

Wider Talent Pool 

Companies and businesses who offer training and development programs or partner with educational institutions to provide them—tend to attract more interest from job seekers. . According to a 2021 Gallup survey conducted on behalf of Amazon, 66% of workers ages 18-24 ranked learning new skills as the third-most important perk when evaluating new job opportunities, behind only health insurance and disability benefits. These opportunities not only make a business more attractive to prospective employees but also have the potential to contribute to a deeper, more capable talent pool in the surrounding community.

Future Innovation and Leadership

Remember that lower turnover point we made above? That’s not just an immediate benefit; it can have a long-term ripple effects on a company’s culture and future. When businesses invest in workforce development, they strengthen employee skills like  critical thinking and collaboration and build a pipeline of emerging leaders within the organization. Over time, this investment becomes a key driver of stronger culture, performance, and long-term success.

How Employers Can Implement Effective Workforce Training

With those benefits in mind, businesses should carefully consider several factors when implementing workforce development and training programs. First, programs must provide real value to employees and prospective job seekers by helping them clarify career goals, build essential skills, and expand advancement opportunities. The most effective way for employers to do that is first to understand their own hiring needs, identify what skills gaps exist in the local community, and how to design training programs that align with those priorities. 

Working with a partner like Ancora Training can make it easier to juggle all these different considerations. Organizations across the country have chosen Ancora to deliver comprehensive, consistent workforce development programs designed to help adults start their careers—or start over and begin a new employment path. Our goal is to tailor specific programs that provide tangible benefits to the surrounding communities. 

Contact us today to begin exploring a workforce development program that helps you and your local community.