Training cuts threaten future of UK plc
Research from the Chartered Management Institute (CMI), shows that 43 per cent of UK managers anticipate that their training budgets will be drastically cut during 2011, a move that is expected to create skills shortages that will damage businesses across the country.
Ruth Spellman, CMI chief executive said:
“The tough economic conditions experienced in 2010, combined with the knock on effects of aggressive deficit reduction measures outlined in the Comprehensive Spending Review, have already forced business leaders to look at yet more ways to save money. Unfortunately, training budgets are often the first to suffer. “Business leaders will need to embrace the concept of ‘training on a shoestring’ in 2011. Doing nothing is not an option; they need to consider alternative ways to continue to develop the skills of their staff, or risk failing to put them in the best possible position to take advantage of the upturn when it comes. What businesses need is a cost effective way of continuing to offer training that can be accessed quickly and easily, as and when support is required.”
The CMI is urging employers to ensure staff training doesn’t suffer in the face of budget restrictions by looking to cost-effective online training and e-learning resources. Online training has become increasingly popular with employees. A survey of 2,000 UK workers, conducted by CMI in March revealed that 35 per cent of staff would rather go online when looking to brush up on their skills – second only to seeking advice from trusted colleagues (36 per cent).
Ruth Spellman added:
“Our worry is that by failing to offer adequate opportunities for personal development, bosses risk losing top talent, deepening the already low levels of employee engagement and creating skills shortages at a time when UK plc most needs a skilled workforce to help steer it towards recovery. Businesses cannot afford to lose another 12 months of training and development in 2011.”
Abeceder managing director, Michael Millward, agreed that training budgets are an easy target when spending needs to be cut, but I am reminded that at the start of this economic crisis several business leaders and trade union officials spoke in support of businesses continuing to invest in training. There is a tendancy to over complicate training, but the CMI research shows that employees are very practical in the way they want to learn. It's about informal learning from a colleague or mentor. Too much training is a bit hap-hazard with few links to what the business actually needs. Business managers, said Mr. Millward, should follow a model like that used by the National Training Awards, and remember the importance of learning needs analysis, and post learning activity review meetings.
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