On-The-Job Training Shouldn’t Be Underestimated

A study from the University of Auckland highlights the importance of on-the-job training. It found that employees who are overqualified or have skills that exceed their current job requirements are less likely to quit if they have access to training at work.

This study is the first to investigate how on-the-job training and job satisfaction affect employees who are in jobs that don’t match their qualifications.

Using one’s skills

The research shows that if employees are overqualified for their jobs or have skills that aren’t fully used, and they are unhappy with their work, they are more likely to leave. However, if their employers provide training opportunities, it reduces the chances of these overqualified and overskilled employees quitting, according to Sholeh Maani, an economics professor and one of the study’s authors.

Another important finding is that even if employees are overqualified or have more skills than they need for their current jobs, they may still choose to stay with their current employer if they are generally satisfied with their work.

It’s worth noting that this issue of employees being overqualified or over-skilled for their jobs is quite common, with around 35.7% of the workforce in OECD countries falling into this category.

“There’s a relatively high percentage of people in both New Zealand and Australia who are in jobs where their credentials and years of education are above what is required, and this is why we’re undertaking research in this area,” the researchers explain.

Getting support

The study found that workers who were characterized as being either overeducated or overskilled were 12% more likely to gain access to training opportunities on the job than those workers whose skills, education, and experience were more matched to their role.

“We examined the career trajectories of employees in mismatched jobs and provide new evidence that on-the-job training contributes significantly to their retention. Specifically, the analysis provides additional understanding of how on-the-job training can be utilized to reduce recruitment and training costs,” the researchers explain.

The researchers believe that their findings highlight that on-the-job training among workers who are mismatched with their roles results in higher levels of retention. This could represent an important shift in mindset for managers.

“You may not expect that when someone’s overeducated and overskilled that getting on-the-job training would put them on a path to more job satisfaction and reduce their likelihood of quitting, but we found that for those who had on-the-job training, it changed their trajectory, and in connection with job satisfaction, they were less likely to resign, and stayed longer at their jobs,” the researchers conclude.

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