Why Is It Good to Upskill?

As the famous saying goes: education is not the filling of a pail, but the lighting of a fire. In other words, education is not about collecting bits of information here and there and calling it quits when you’ve learned enough.

It’s about kindling a fire within yourself that pushes you to pursue new knowledge and passions; it’s trying new things, exploring topics that pique your curiosity, and feeling that spark of discovery when you alight on an interest or passion that you stoke throughout your life.

Having an openness to lifelong learning is especially important in today’s rapidly changing world. Many of the skills that companies need today may look different in the future, requiring a different approach to employee upskilling. While some skills will never go out of style—like emotional intelligence, critical thinking, and collaboration—plenty of others will change as the nature of work evolves. Let's explore the benefits of upskilling and why it's helpful for both companies and employees. 

What is upskilling and why is it important?

Upskilling happens when an employee builds on the skills, knowledge, and competencies they have today. They may do this for a number of reasons, among them to improve their chances of a promotion or pay raise, grow more confident in their work, or address a skills gap that’s holding them back.

The need for skills development is top of mind for many people. A Workplace Intelligence study from 2022 found that upskilling is a concern for employees. The survey showed that 78% of workers feel they lack the skills, and 71% are worried about their education holding them back from getting ahead. Furthermore, 70% of respondents expressed feeling unprepared for the evolving workplace.

What are the primary benefits of upskilling?

Upskilling helps employees advance in their skills, but it also benefits organizations. By investing in their workforces, companies can shore up their future ability to adapt to industry changes. In fact, that’s the top motivator for companies to offer an upskilling program. Among business leaders, the most common, primary motivations for offering a program are to build the workforce skills needed for the future (51%), improve employee retention (50%), develop high-potential talent (47%), and increase talent attraction/hiring (43%).

What is the importance of continuous learning?

The importance of continuous learning in the workplace really can’t be understated. As we’ve explored, many employees feel they don’t have the skills needed to get them to that next level in their career. They worry not just about keeping up to date with new and emerging technologies, but with soft skills too. The 2024 SEI Consumer Survey found that U.S.-based full-time employees indicate feeling they could improve their technology skills (49%) to advance in their current job, followed by hard skills (46%) and communication skills (45%). To bridge these skills gaps—and to build their confidence—employees need opportunities to keep learning at work. 

Here are just a few examples of continuous learning in the workplace:

• Going to a conference to meet and learn from other people who are doing interesting things in your industry 
• Attending a webinar and getting continuing education credits that help you maintain a professional license
• Reading a business strategy book with other people in your department and brainstorming ways to apply those techniques to your team

More and more, employees are coming to expect that their employers should support their professional development. One survey found that more than 9 in 10 employees believe employers should be investing in their continued education.

Why do companies need to upskill?

“Innovate or die.” This dire proclamation—attributed to management consultant Peter Drucker—warns companies that if they don’t stay ahead of the innovation curve, they risk falling behind their nimbler competitors and potentially going under.

One way to avoid that fate? Build a competitive edge by equipping your workforce with the skills they’ll need to help your company innovate well into the future. This is why many companies invest in an employee upskilling program—a company-wide initiative designed to strategically develop a more productive, skilled workforce. In a survey, 91% of business leaders agree that tuition assistance benefits programs can upskill their workforce, which gives organizations a competitive advantage.

For many companies, their people are their competitive advantage. Making an investment in them is the same as making an investment in the company itself. If you’re ready to discuss how to build your company’s competitive edge, contact Workforce Edge today.