In 2013 AWES was invited by the Government of Canada’s Office of Literacy and Essential Skills (OLES) to join a five-year national study on the return on investment of workplace essential skills training. A new performance-based, social finance model never before used in Canada was tested. AWES developed and delivered 76 hours of workplace essential skills training to over 250 employees at three national companies. Participating employees’ skills were measured before and after training and financial incentives were made conditional upon participants gaining skills to determine if reimbursing a portion of training costs based on skill increase would entice employers to invest more in training and increase their level of commitment. Training participants from all three companies had median skills gain of 22 points and an average of 51% of employees achieved a 25-point skill gain or higher. Participating employers received an average training cost reimbursement of 44% and received an additional 3% one year later for sustained development.
Funder(s):
The Government of Canada’s Office of Literacy and Essential Skills (OLES)
Project Partner(s):
SkillPlan, DataAngel, Social Research and Demonstration Corporation (SRDC), Excellence in Manufacturing Consortium (EMC), Canadian Manufacturers Network, Chapman’s, THK Rhythm Automotive Canada, and Cosmetica Laboratories