The cost of replacing an employee is 50-60% of the annual salary of the employee. The total turnover cost can be as high as 90-200% of the annual salary of the employee. The expenditure that goes into hiring a new candidate is training the new hire, salary reimbursement, processing separation, job errors, reduced morale, lost sales, and other such costs. The turnover is also responsible for the bad impact and effect on the organizational performance.
Workforce credentialing solutions are the best way to make effective the retention programs and business performance. Workforce certification also helps with training the existing employees for the advanced skill sets and leveraging work from them at a lower market rate than what the already certified employee will charge in the market. How does it work?
You have a workforce with the knowledge of technologies that are not fit with the latest technological advancements taking place in the market. When you hired the workforce, they were right out from the college and high on the talent and emerging technologies but with time you see your business needs have changed with the dynamism of the market. You need new people with new skill sets. But as already mentioned here, the cost will be too much to outweigh the benefits. What’s the trade-off then? Workforce breeding!
Workforce breeding has already been there. In the professions of BPOs and earlier even in the information technology. Through workforce breeding- you hire new candidates who are just out of their colleges and train them in necessary skills to start working for you at lesser pay than the experienced guys you will hire from the market. Moreover, since you are training the candidates they feel a sense of in debt, liability, and trust for your company and are expected to stay back longer. Talent retention becomes easy with the application of the concept and practice of workforce breeding.
It’s not always necessary to train the new candidates. One who have long been there with your company especially of the generation of the baby boomers who find it hard to adapt to the newest of technologies- workforce certification is the new reality. Your company can partner with the global powerhouses in the workforce credentialing solutions to provide complete workforce certification to the employees of your company.
Nowadays, workforce breeding is easily applicable because of the multiple device sets available with the candidates through which they have the option of learning on the go and at their pace. Simple tutorials or micro learning classes with expert videos and support group availability at all times makes learning a 24/7 process.
When the companies have workforce credentialing solutions at place, the employees are happy upgrading themselves which also improves their portfolio with the addition of different certifications under the workforce certification program. It will be not wrong to say that the workforce certification is one-stop solution for all the issues related to the talent retention, employee engagement, employee advancement, and talent development.
