Employee training and development are more than just teaching job skills. They are powerful tools to demonstrate to your employees that they are valued and that career advancement within your organization is a real possibility. When employees feel they lack opportunities, their engagement and performance suffer.
As the saying goes, “Give a person a fish, and you feed them for a day; teach a person to fish, and you feed them for a lifetime.” This simple proverb highlights a profound truth often overlooked in the daily rush of business: the critical role of training and development in building a thriving workplace.
How often have you opted to “do it yourself,” believing that training someone else would be too time-consuming? Yet, how frequently do you find yourself frustrated when the same task reappears, and you’re still the only one capable of handling it?
Employee training isn’t solely about delegation or easing managerial workloads. A robust and well-designed career development program offers employees a sense of ownership and a clear vision for their future within the company.
Conversely, when organizations fail to invest in learning and development and neglect to create career pathways beyond mere salary increases, employees inevitably begin seeking opportunities elsewhere.
In fact, a 2021 Pew Research Study revealed that a staggering 63% of workers who quit their jobs cited the lack of advancement opportunities as the primary reason for their departure. This factor surpassed concerns about pay, benefits, and even workplace flexibility. Lack of growth is a major driver of employee turnover.
Image alt text: Chart illustrating that lack of career advancement opportunities was the top reason employees quit their jobs in 2021, according to a Pew Research Study.
A recent LinkedIn poll by Great Place to Work® further emphasizes the vital link between employee development and retention. The poll indicated that 43% of respondents identified a lack of growth opportunities as the main reason they left their previous job.
Julian Lute, Senior Manager and Strategic Advisor at Great Place To Work, emphasizes this point: “Employees perceive training and development as a form of support. It’s about equipping them to excel in their roles, but on a deeper level, it addresses the fundamental human need for growth. When individuals don’t see avenues for personal and professional development, you simply don’t get their best.”
Defining Employee Training and Development Programs
An employee training and development program is a structured set of educational activities designed to enhance employees’ skills, knowledge, and capabilities.
While technical training, which focuses on job-specific duties, company processes, systems, and organizational mission, is a fundamental aspect, training extends beyond technical skills. It also encompasses soft skills development, such as leadership and management abilities, and upskilling initiatives aimed at preparing employees for future promotions and expanded roles.
These programs can take diverse forms, including group workshops, individualized coaching, formal education sponsorships (like university courses), job shadowing, mentorship programs, seminars, and job sharing arrangements.
The Dual Benefits of Investing in Your Workforce
Employee training and development programs are not merely a “nice-to-have” perk; they are a strategic imperative. The advantages are mutual: employees gain valuable skills and feel more valued, while employers experience boosted productivity and innovation.
Employee Advantages: Career Growth and Job Satisfaction
A well-designed training program empowers employees to acquire and refine skills essential for their current roles, and crucially, it lays the groundwork for future career progression and new opportunities.
The most impactful programs align personal growth aspirations with professional objectives. Where do your employees envision themselves in the coming years? What new skills are they eager to learn? Which areas of the business spark their interest?
When these connections are forged, the benefits are significant:
- Enhanced Job Performance: Employees become more proficient and effective in their responsibilities, leading to improved business outcomes.
- Increased Job Satisfaction: Feeling valued and supported through development opportunities significantly boosts employee morale and job satisfaction.
- Clear Career Advancement Pathways: Training prepares employees for increased responsibilities and internal promotions, providing a transparent career trajectory within the organization.
Organizational Advantages: Innovation, Retention, and Employer Brand
The benefits of employee development extend deeply into organizational success. By prioritizing learning opportunities, companies cultivate a workforce that is not only more competent but also more motivated and better positioned to drive innovation.
Organizations that champion learning and development reap tangible rewards:
- Increased Innovation and Adaptability: Teams equipped with continuous learning adapt more readily to new technologies and industry methodologies, maintaining a competitive edge.
- Improved Employee Retention: When employees perceive opportunities for growth, they are significantly less likely to seek employment elsewhere.
- Reduced Hiring Costs: Investing in internal talent development is demonstrably more cost-effective than the expenses associated with external recruitment.
- Strengthened Employer Branding: Companies recognized for their robust training programs attract top-tier talent, enhancing their employer brand reputation.
Conversely, neglecting employee training and development can severely impact your bottom line. Research from McKinsey & Company indicates that skill gaps and inefficiency resulting from inadequate training can cost a median-sized S&P 500 company approximately $163 million annually.
Four Key Approaches to Employee Development
While the specific types of employee training and development programs can be as diverse as your workforce, all effective programs typically incorporate one or more of these four core approaches:
- Formal Education: This encompasses the structured training and qualifications essential for specific roles, such as degrees, licenses, or certifications.
- Assessment: Performance reviews, regular one-on-one meetings, and other evaluation methods are used to identify employee strengths and areas for improvement, guiding development plans.
- Job Experience: This is the inherent, hands-on learning employees gain daily as they master their roles, tackle new challenges, and grow within the organizational environment.
- Interpersonal Relationships: Coaching, mentorship, and soft skills training (like customer service, resilience, mental health awareness, and conflict resolution) fall into this category, focusing on people-centric development.
The Critical Importance of Investing in Employee Development
Employee training and development is paramount to ensuring your workforce is not only prepared for their current roles but also feels supported, valued, and capable of career progression. It directly impacts employee engagement and retention and should be a core component of your overall talent management strategy.
Engaged employees are inherently driven by growth and seek challenges. They aspire to build careers, not just hold jobs.
Learning and development are central to Panda Restaurant Group’s employer value proposition (EVP). Their commitment is prominently displayed on their careers website, emphasizing growth opportunities for associates both professionally and personally at every level.
Founders Andrew and Peggy Cherng have instilled a deep commitment to people development, striving to make Panda the world leader in this area.
This dedication to advancement opportunities directly correlates with employee retention at Panda. When asked about what makes Panda a great place to work, employees consistently highlight “growth” and “development.”
“Compared to other companies I have worked with, Panda truly exemplifies what it means to care about people. I feel like my team always has my growth and development in mind and challenges me to be better. They offer so many resources to develop myself personally and professionally. I really feel like part of the Panda family and look forward to staying for many more years. It really is a great place to work.”
— Panda Restaurant Group Employee
Employee training and development are both present-focused and future-oriented. These programs equip your employees to meet today’s business challenges and cultivate a leadership pipeline for the future.
Julian Lute points out that training also reinforces employee value and signals that the organization sees them as integral to its long-term success. This directly contributes to a positive company culture. In fact, in a survey of employees at the 2023 Fortune 100 Best Companies to Work For®, 87% reported feeling that they are consistently offered training and resources for professional development.
“This is how employees feel valued within the business,” Julian explains. “Investing in their training sends a clear message that you are preparing them for the future of the organization.”
Training vs. Development: Understanding the Nuances
While often used interchangeably, employee training and development, although both crucial to the employee experience, have distinct focuses.
- Training is job-specific and immediate. It ensures employees possess the necessary tools and skills to perform their current tasks effectively. Its success is measured in short-term results and improved job performance.
- Development focuses on long-term employee growth and is more behaviorally oriented. It’s a longer-term investment with a broader scope than immediate job tasks.
“Development is more of a conversation than training,” Julian clarifies. “It’s about understanding individual growth aspirations and aligning organizational needs with employee ambitions. It necessitates open dialogue and a willingness to be vulnerable. Training assumes a skill or knowledge gap, while development requires a proactive approach to realize its full potential.”
Companies like Mastercard exemplify this development-focused approach. Their “Owning Your Career” philosophy encourages ongoing conversations between employees and managers about career development opportunities. Objectives are collaboratively set, goals are agreed upon, and dedicated discussions are held regarding career growth and progression.
Similarly, American Express provides employees with a career and development plan template to map their career journeys, reflect on their past experiences, define growth aspirations, and identify necessary support.
Both organizations demonstrate that employee development is a two-way dialogue, not a top-down directive. This collaborative approach significantly enhances employee engagement, especially among younger generations.
Image alt text: Illustration depicting a manager and employee having a two-way conversation about career development, emphasizing collaboration and open communication.
Panda Restaurant Group’s high retention rates among millennial employees are partly attributed to their mentorship programs and the “University of Panda,” which supports employees in earning certifications and pursuing career growth beyond their immediate workplace.
Attracting Top Talent Through Growth Opportunities
In today’s competitive talent market, highlighting training and development initiatives is crucial for attracting top candidates. Showcasing growth opportunities as a key component of your EVP demonstrates a genuine commitment to employee advancement.
Your career site should prominently feature opportunities for professional growth and development – whether through challenging assignments, robust training programs, frequent interaction with senior leadership, or a commitment to internal promotions.
“Even if you don’t know the specific career aspirations of every individual, you can guarantee that growth and development are universally valued,” Julian notes. “And investing in training and development is the clearest way to demonstrate that value.”
Tech companies like Bitwise Inc. are expanding their talent pool by removing degree requirements and offering training to promising individuals who may lack traditional qualifications but possess the aptitude and drive to succeed in the industry.
Delta Air Lines proactively attracts aspiring pilots through its “Propel Pilot Career Path Program.” This program guides students through certified flight instructor training and provides a pathway to becoming a First Officer at a Delta Connection carrier. As of 2025, 171 program participants are flying for Delta, with 870 aspiring pilots currently enrolled.
Leveraging Internal Talent Marketplaces for Development
To further enhance employee development, some organizations are implementing internal talent marketplaces. These platforms facilitate the identification, development, and retention of top talent by providing employees with visibility into internal opportunities for growth and career advancement.
An internal talent marketplace empowers employees to explore diverse roles, projects, and positions within the company, fostering internal mobility, skill diversification, and cross-functional collaboration.
Schneider Electric, a leader in energy management, has developed its “Open Talent Market,” enabling employees to actively manage their careers, explore internal opportunities, and develop new skills within the organization.
By creating internal talent marketplaces, organizations can improve talent retention, enhance employee satisfaction, increase organizational agility, and reduce reliance on external hiring.
Examples of Innovative Employee Training and Development Programs
The Best Workplaces™ go beyond standard job-specific training, offering diverse programs ranging from professional development courses for future leadership roles to emotional intelligence training and wellness workshops.
Panda Restaurant Group’s benefits team offers monthly educational webinars covering topics like healthy habits, nutrition, sleep, finance, and self-care. They also collaborate with regional and department leaders to tailor programs to specific team needs and provide free wellness coaches to teams requiring additional support.
At The Cheesecake Factory, managers receive training in de-escalating emotionally charged situations and are equipped with tools to enhance interpersonal connections and foster commonality in diverse teams. The company also prioritizes employee mental health by providing relevant resources, underscoring the importance of holistic well-being in development.
Grainger, an industrial services distributor, mandates an e-learning course on unconscious bias. This one-hour course defines unconscious bias, explores its manifestations in the workplace, and provides strategies for effective management.
Leading organizations also implement ongoing training programs that begin on day one and continue throughout the employee lifecycle. They recognize that training is relevant for all levels, from frontline staff to the C-suite, with a focus on continuous forward momentum for all employees.
HubSpot, for example, initiates learning and development from day one with a comprehensive orientation and onboarding experience. Regardless of role or level, all new hires participate in a week-long training program focused on HubSpot’s culture, mission, values, and operating model. They also offer a global mentorship program to support employees at all tenure levels in reaching their full potential.
Plante Moran, a consulting firm, uniquely holds partners directly accountable for mentoring and guiding their team members. This personalized coaching approach ensures tailored career development plans aligned with individual needs, fostering a legacy of leadership development.
Intuit Inc. hosts “Career Growth Sprint,” a biannual virtual event featuring keynotes and workshops on topics like goal setting, time management, and communication, dedicated to employee development.
Publix, a grocery and manufacturing company, hosts career fairs for associates to explore internal opportunities. They also provide tuition reimbursement, GED funding, and financial support for pharmacy associates pursuing pharmacy school, alongside specialist training programs for drivers and technicians.
5 Steps to Building Successful Career Development Programs
To ensure your employee career development program is successful, it must be strategically focused, tailored to your audience, and measurable. Furthermore, a willingness to adapt and revise based on results and feedback is essential.
Here are five key steps to effectively implement a successful employee training and development plan:
1. Conduct a Needs Assessment
Before program design begins, thoroughly assess the needs of both the organization and its employees. This applies to both company-wide initiatives and individual development plans. Identify key areas of focus by aligning organizational strategy with employee roles and personal career goals.
“Integrate development into the workflow,” Julian advises. “Determine specific employee needs and directly address those needs through targeted programs.”
For instance, if your company is implementing new software for the sales team, consider expanding training beyond direct users to include employees aspiring to join sales. Learning the new software could become a valuable skill for their career transition.
“Utilize employee surveys to gather feedback,” Julian suggests. “Employees are often the best source of information about their training needs. Don’t solely rely on assumptions or external consultants. Start by understanding what your employees are telling you they need.”
2. Define Clear Objectives
Establish clear, measurable objectives for both the organization and the employee. Objectives can range from acquiring job-specific skills like new software proficiency to developing behavioral competencies such as emotional intelligence. Define success metrics upfront.
Crucially, ensure employees understand the objectives and the rationale behind each training or development plan. This is particularly important for long-term, behaviorally focused programs like leadership development.
“Employee training is most effective when leadership actively champions it,” Julian emphasizes. “When communicating new learning programs, frame them within the context of company values. For example, ‘We are implementing this program to better serve our customers, which aligns with our core value of customer centricity.’ Clearly articulate the intended impact and the ‘why’ behind the training.”
3. Design and Develop Program Content and Delivery
Once needs and objectives are defined, design a program that carefully considers:
- Required content and learning materials
- Delivery methods (e.g., online modules, in-person workshops)
- Training facilitators or leaders
- Frequency of training sessions
- Training location (in-person or virtual)
- Group sizes for interactive sessions
- Participant learning styles to inform delivery methods
Julian recommends interactive training sessions that encourage discussion, problem-solving, and application of learned concepts, rather than passive lecture-style formats.
He also suggests a “waterfall” approach to training delivery, starting with large group sessions for foundational knowledge, then moving to smaller groups for deeper engagement, and finally individual assessments for knowledge reinforcement.
Image alt text: Diagram illustrating a waterfall approach to training delivery, starting with large groups, moving to small groups, and ending with individual knowledge assessments.
“Avoid expecting participants to absorb all necessary information in a single 90-minute session,” he cautions. “Large groups are effective for initial alignment. Smaller groups of eight or fewer enable more in-depth engagement with the content. Finally, incorporate individual knowledge checks to solidify learning.”
4. Implement Strategically
Once the program is developed, implement it strategically. Begin with a pilot program involving a smaller group of employees. This allows for refinement and ensures the program effectively meets both organizational objectives and employee expectations.
“Don’t attempt a full-scale rollout immediately,” Julian advises. “Identify a test group and pilot the program with them. Gather feedback and make necessary adjustments to ensure alignment with business needs.”
Only after successful piloting and necessary adjustments should the program be launched organization-wide.
5. Evaluate and Iterate
Training program implementation is not the final step. Continuously solicit feedback from employees and managers through surveys and other channels to identify program strengths and weaknesses. Measure program success against the objectives defined in step two.
Regular evaluation and revision are crucial for program effectiveness and long-term success.
Investing in employee training and development is a strategic imperative that enhances job satisfaction, boosts productivity, and improves employee retention. By equipping your workforce with new skills and knowledge, you unlock their potential for advancement and create a win-win scenario for both employees and the organization.
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As the Content Program Manager at Great Place To Work, Claire helps decode the psychology behind high-trust workplaces using Great Place To Work’s extensive data repository on employee experience. Claire has co-authored noted reports such as “Women in the Workplace” and “The Power of Purpose at Work,” and contributed to Fortune with her profiles of the Best Workplaces™. Her latest report on employee retention strategies draws on the experience of 1.3 million employees to give leaders strategic guidance on retaining their top people.
