Is employee training-at the enterprise level-an expense or a benefit?

It is very illuminating to look at how different organizations view what they spend on employee training.  At the highest level, training usually gets accounted for as a type of payroll expense or an employee benefit.  Some forms of training are certainly that (tuition reimbursement comes to mind).  Other companies count training as a cost of doing business, especially if they operate in an industry where safety and/or regulatory compliance are important parts of the business.

Apart from how CFO’s might count or classify training, it’s even more instructive to look at how the top leaders of an organizations think about, plan for and implement training as part of enabling the success of their business plans.  Those that do regard training this way are likely to see it as an essential business investment.  Those who don’t are more likely to see training as a perk or optional benefit that they can afford when there is extra cash.

The basic way that the leaders of a business view training comes through in their discussions and decisions, especially around planning and budget time.

However you view it, it’s worth examining your assumptions and actions about how valuable training is for the overall organization.

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