Employees of today have differing expectations of their jobs and many from the younger generation are looking out for quicker promotion opportunities or well-planned career progression paths. Companies with a flat organisational structure may then be restricted to provide a desired career advancement path for them. Alternatively, these companies can plan to establish initiatives that will be attractive to the employee. One such initiative is to develop the individuals by giving them training and development opportunities. Training and Development planning requires both a personal and an organizational perspective to be effective. When carried out effectively, the payoffs in improved performance, broadened skillsets and knowledge, increased competence to perform in jobs at the next-level of responsibility; as well as personal satisfaction - can all be very high. By increasing employee motivation, employees will want to continue to grow and develop in their jobs and career. This motivation to continue to grow and develop through training and development is one of the most important factors in employee retention. Despite the fact that training and development is a key factor in keeping the employee interested and engaged, there are also instances whereby employees leave the organisation upon completion of their training or holding their company ransom for a pay increment to match their new-found competencies. Such undesirable behaviours from employees have not only betrayed their companies’ trust in them, but also resulted in many companies to be more wary of over-investing in their employees’ development in fear of losing them faster, or promoting undesirable values and behaviour. Many companies have also resorted to introduce training related bonds to protect on their investment on their employees for fear of losing them. In this assessment activity, we seek to determine the correlation between the impact of training and development activities and its effectiveness in potentially optimizing employee retention. Through the use of a survey method, this paper explores if the training and development provided to an employee is a determining factor for how long the employee would stay in a company. Our hypothesis is that "The more satisfied employees are with the quality and quantity of training and development opportunities they receive, the longer they will stay with the company."
Training and Development
Emphasis on training really grew in the later part of the 19th century when there was grave concern by countries that their labour force was of a poor standard, leading to a lack of competitiveness. The emphasis on training was mainly initiated by governments to alleviate concerns about a possible shortage of skilled workers, while simultaneously mitigating long-term unemployment. But the quality of the training was generally considered poor during that time, due to the lack of training techniques. Post-war years were a period of full employment, and so employers and employees reached a consensus that employers should bear the major responsibility for training their employees. Training then started to evolve with mostly apprenticeships regulated by industry-wide national agreements between employers and unions, formed by the widely varying custom and practice of each industry (History of HRD, 2011). In the modern workplace, training and development describes the formal, ongoing efforts of organizations to improve the performance and self-fulfilment of their employees through a variety of methods and programs. These efforts have taken on a broad range of applications—from instruction in highly specific job skills to long-term professional development. In recent years, training and development has emerged as a formal business function, an integral element of strategy, and a recognized profession with distinct theories and methodologies. Companies of all sizes have...