How Incentives Can Boost Employee Training

Employee training can be a difficult sell to an often strained and busy workforce. A new study from the Incentive Research Foundation examines the role incentives can play in motivating employees to participate in and complete required training, learning and certification programs. 

The research addresses which incentive structures are most effective, how incentives can be designed to maximize engagement and the impact on completion rates. The survey of 608 North American workers, conducted in September, asked employees to choose between hypothetical six-week training programs with different combinations of incentive features. They also were asked which rewards appealed to them, which way they liked to earn the rewards and more.

Highlights from the study

• Offer tangible rewards. Those polled preferred gift cards (50 percent) and travel (30 percent). Workers strongly chose tangible incentives over such pure recognition actions as public announcements.
• Tailor reward options. Preference for gift cards rose steadily with age, from 40 percent of workers under 35 years old to 62 percent of those 45 and older. Travel rewards were preferred by younger workers, compared with their 45-plus counterparts who showed a clear preference for gift cards. 
• Consider goal structure. Forty-two percent of the respondents preferred one large reward upon completing their learning program, while 38 percent preferred rewards delivered over the course of the program, followed by a larger completion reward. Consider using milestones to encourage progress while reserving part of the reward to keep the end goal attractive.
• Reward for retained learning. When programs include a measure for determining how well employees retain information, nearly half of those surveyed (46 percent) showed a preference for incremental rewards, plus a larger reward for demonstrating learning after the training programs.
• Offer learning during working hours. One-fifth of those polled said their workload affected their ability to complete training, regardless of rewards offered. Managers should determine when people have the time to learn, and reserve dedicated slots during the workday for training, if possible.

“Well-designed incentives can motivate employees to participate in training, follow through to completion, and put their new skills to work,” said Stephanie Harris, IRF president. “This study offers practical guidance on designing noncash incentives that make workplace training and certification more appealing, drawing on employee preferences and experiences to clarify which rewards resonate and how they should be earned and delivered.”