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Informing policy and practice in Australia's training system

Industry and employers

Training for productivity

Item:
542
Title:
Training for productivity
Authors:
Leo Maglen, Sonnie Hopkins, Gerald Burke
Publication date: 
9 April 2001
Type:
Research report
Theme:
Industry and employers > Investment in training > Return on investment
ISBN:
0 87397 6711 print; 0 87397 672 X web

Is spending on training personnel worthwhile? Many of the firms in the research reported here believed so; and what is more, results in manufacturing (footwear, wire products) suggest that it delivered sizeable returns in labour productivity. Importantly, findings support the view that firms should be undertaking long-term strategic planning, not just targeting day-to-day problems. The research sought to investigate whether comparative case studies of similar enterprises could be used to demonstrate a relationship between training expenditure and productivity. The method proved ineffective in the services sector (top class hotels, supermarkets), apparently because of greater differences between enterprises.

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