You spend much more on training than you think

Any idea what the average training spend per co-worker per year is? It will be different per country, per sector, per organisation and per department, surely.

Training spend

Recent figures of Statistics Netherlands (CBS) show that the average training spend in The Netherlands is 1,000 euro per co-worker per year. In the sector mineral extraction, the training spend is the largest, in the construction industry the lowest.
Surprisingly (at least to us), there is not much of a difference between large and smaller companies. Organisations with more than 250 co-workers spend 100 euro per co-worker more on average than smaller businesses.

Larger companies do ‘send’ more co-workers to trainings than smaller organisations. With larger organisations 96% of their people go to training, compared with 89% at medium-sized business and 72% at companies with 10 to 50 co-workers.

The differences per industry sector are significant: in the mineral extraction industry the average training spend is 2,800 euro per co-worker per year. In the construction industry, this is only 600 euro.

Training subsidy

In The Netherlands, 17% of all organisations receive some kind of subsidy for staff training. Mostly, these subsidies are provided by training funds. Especially small and medium-sized business finance a part of their training in this way. Larger organisations rely more on subsidies from the central government or from the European Union.

Traditional learning rules

Traditional learning

The training industry is apparently quite traditional in The Netherlands. Seven out of ten companies employed the services of an external training organisation. 25% of business send their co-workers to other companies to learn, mostly to a daughter company or to a subcontractor. A smaller percentage of organisations works together with institutional education, such as a university. Larger organisations do this most often in The Netherlands.

The real cost of your training is much higher. The time away from work and the consequent loss of productivity will amount to a much higher amount than the visible, direct cost of training.
Training should blend with the person’s routine, it should not disrupt it. People have no time to be disrupted for training. In addition, it is not necessary any longer because everybody carries with him/her a powerful learning device: a smartphone.

We have good news for you because you can reduce your direct and indirect training costs significantly. More than half is just a beginning. Intelligent micro-learning systems that provide training when and where your co-workers need it. Training in an intuitive format that accelerates learning and improves knowledge retention. Easy to track and trace and take centre stage in talent development. See also our article on the current learning trends and get ready for 2020 (at a fraction of the cost).

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