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EMPLOYER SUPPORTED TRAINING
2005
Manpower Research and Statistics Department
Singapore
August 2006
C
OPYRIGHT
N
OTICE
Brief extracts from the report may be reproduced for non-
commercial use provided the source is acknowledged; requests for
extensive reproduction should be made to:
Director
Manpower Research and Statistics Department
Ministry of Manpower
18 Havelock Road #06-02
Singapore 059764
Fax : 6317 1804
Email : mom_rsd@mom.gov.sg
Statistical activities conducted by the Manpower Research and
Statistics Department are governed by the provisions of the
Statistics Act (Chapter 317). The Act guarantees the
confidentiality of information collected from individuals and
companies. It spells out the legislative authority and responsibility
of the Director, Manpower Research and Statistics Department.
CONTENTS
HIGHLIGHTS
1 INTRODUCTION……………………………………………………………
1
2
PROVISION OF TRAINING………………………………………………...
1
3 TRAINING
EXPENDITURE BY EMPLOYER…………………………….
6
4
IMPACT OF TRAINING……………………………………………………
7
5 TRAINING
AREAS
&
ARRANGEMENTS……………………………….. 9
6 TRAINING
SUPPORT………………………………………………………
18
7 CONCLUDING
REMARKS…………………………………………………
21
ANNEX 1 - TABLES
APPENDIX I - SURVEY COVERAGE AND METHODOLOGY
Page
•
In line with upbeat economic conditions, the proportion of private sector
establishments that provided structured training for at least some of their employees
rose by 5% point over the year to 72% in 2005, the highest reached since data
collection started in 2002.
•
Employers also trained a higher proportion of blue collar workers; although this is still
less than the training given to professionals, managers, executives & technicians
(PMET). In 2005, training-providing establishments sent some 60% of their PMET
staff for structured training, followed by 54% for production, cleaning & related
workers and 53% for clerical, sales & service workers.
•
Larger establishments were more likely to provide training than those smaller. Nearly
all (96%) establishments with 250 & more employees sent their staff for structured
training, compared to just 66% for establishments with 25-99 employees.
•
Training provision varied substantially across industries. Insurance (100%),
telecommunications (100%), health & social services (97%), hotels (91%)
architectural & engineering services (89%) and financial institutions (87%) continued
to post high training participation, reflecting a strong need for knowledge and skills to
be updated. At the other end of the spectrum, training participation for restaurants
(35%) and retail trade (57%) remained below the norm (72%); although they showed
an improvement from the year before.
•
Employers were more likely to send their staff for training to acquire occupational or
job-specific (75%) rather than industry (40%) skills. In respect of generic &
employability skills, training in workplace safety & health (59%) were more common
than training in information communications technology (32%) and other generic &
employability skills e.g. personal effectiveness, initiative & enterprise (30%).
Training in workplace literacy & numeracy was the least widespread at 13%.
•
Establishments that provided structured training spent an average of $542 per
employee in 2005 which is more than the $511 in 2004. However, training
expenditure as a percentage of total payroll (comprising staff remuneration and
employers’ CPF contribution) maintained at 1.3%. After deducting costs recovered
from training incentive schemes such as the Skills Development Fund (SDF), the net
training cost amounted to $505 per employee or 1.2% of total payroll in 2005.
•
Generally, employers reported tangible benefits from training their employees,
especially in terms of the impact on productivity (84% indicated positive impact),
products/services quality (82%) and customer satisfaction (73%). The bulk (76%) of
the training-providing establishments indicated that employees who undergo training
would be given more job responsibilities. When asked about the impact of training on
promotion opportunities and wages/earnings, the establishments were broadly divided
between those which felt training had a positive impact and those which indicated no
impact.
HIGHLIGHTS
Manpower Research & Statistics Department, Ministry of Manpower
1
Employer Supported Training, 2005
1 INTRODUCTION
1.1
Much of the usable labour market skills which workers possess are
acquired through training they receive in their jobs. Training needs within the
workplace are often met through the provision of structured training where training
activities have a specified content or predetermined plan e.g. class-room based course
or structured on-the-job training. There is also the unstructured training which may
occur informally e.g. when less experienced workers acquire new skills by simply
observing more skilled workers at work or engaging in informal conversations during
coffee breaks.
1.2
This report examines the provision of structured training
1
during
January to December 2005 by private sector establishments each employing at least
25 workers. Employers’ expenditure on training and its impact are also examined.
The data are obtained from the Survey on Employer Supported Training, 2005 carried
out from March to June 2006. The survey coverage and methodology are explained
in Appendix 1.
2
PROVISION OF TRAINING
2.1
Amid a buoyant economy, more employers sent their staff for training
in 2005. The proportion of establishments that provided structured training for at
least some of their employees rose by 5% point over the year to 72%, the highest
reached since data collection started in 2002.
1
Structured training refers to training in which the learning experience is under the direction of a
teacher/lecturer/course supervisor and organised in a progressive sequence. It includes classroom training, private
lessons, correspondence course, workshops, seminars, structured on-the-job training and apprenticeship, but
excludes informal on-the-job training such as watching a video on management skills, observing others perform a
task at work, time spent at work learning new tasks, keeping up to date with work-related developments by reading
journals/newspapers and informal discussions.
Manpower Research & Statistics Department, Ministry of Manpower
2
By Industry
2.2
Training provision varied substantially across industries. Insurance
(100%), telecommunications (100%), health & social services (97%), hotels (91%)
architectural & engineering services (89%) and financial institutions (87%) continued
to post high training participation, reflecting a strong need for knowledge and skills to
be updated e.g. employees in banking and insurance required continual training on
new product launches. Construction saw a 10% point jump in training incidence, as
more establishments in the industry sent their employees for mandatory safety
orientation courses. At the other end of the spectrum, training participation in
restaurants (35%) and retail trade (57%) remained below the norm (72%), although
they showed an improvement from the year before (Annex 1 – Table 1). Both
industries typically have a heavy reliance on part-timers and/or temporary workers.
By Establishment Size
2.3
Large establishments were more likely to provide training than those
smaller. Nearly all (96%) establishments with 250 & more employees sent their staff
for training, compared to just 66% for establishments with 25-99 employees (Chart 2).
The larger establishments are more likely to have in place a human resources
department and formal training policies. Having a larger pool of workers also
facilitates coverage of duties when an employee is away on training.
72%
28%
67%
69%
52%
34%
32%
48%
2002
2003
2004
2005
Provided T raining
D id N ot Provide T raining
Note: Based on all establishments surveyed.
CHART 1: PROVISION OF STRUCTURED TRAINING AMONG ESTABLISHMENTS
2002 - 2005
Manpower Research & Statistics Department, Ministry of Manpower
3
By Occupational Group
2.4
On average, a higher proportion of professionals, managers, executives
& technicians (PMETs) had undergone training relative to other occupations. In
2005, training-providing establishments sent some 60% of their PMETs for structured
training, followed by 54% for production & related workers and 53% for clerical,
sales & service workers.
While the other broad occupational groupings posted slight
declines, production & related workers saw a jump in their training incidence of
nearly 6 % points in 2005. Consequently, the gap in training incidence between
production & related workers and PMETs/clerical, sales & service workers has
narrowed after widening in 2004.
2.5
The provision of structured training for the main occupational groups
differed across the industries. For instance, industries with emphasis on front-line
customer service such as hotels and retail trade sent a higher proportion of their sales
& services workers for training relative to other occupational groups. In contrast,
2003
2004
2005
Overall 51.4
54.6
55.9
Professionals, Managers, Executives
&
Technicians 56.1 60.2 59.7
Clerical, Sales & Service Workers
51.7
56.4
53.1
Production, Cleaning & Related
Workers
47.4 48.3 54.2
TABLE 1: PROPORTION (%) OF EMPLOYEES SENT FOR STRUCTURED TRAINING
BY MAIN OCCUPATIONAL GROUPS, 2003 - 2005
Overall
68.6
66.5
72.1
25-99
61.3
59.5
65.6
100-249
87.9
83.8
89.9
250 & above
96.5
95.0
96.0
2003
2004
2005
CHART 2: PROPORTION (%) OF TRAINING-PROVIDING
ESTABLISHMENTS BY ESTABLISHMENT SIZE,
2003 - 2005
Note: Based on all establishments surveyed.
Notes: Based on establishments that provided their employees with structured training.
Manpower Research & Statistics Department, Ministry of Manpower
4
industries with a concentration of higher skilled white collar employees, such as
financial services and legal, accounting & management services sent a higher
proportion of their PMETs for training. Details are in Annex 1 – Table 2.
Reasons for Providing Training
2.6
Employees were commonly sent for training to acquire skills directly
related to their jobs. Close to 2 in 3 (or 64%) training-providing establishments sent
their employees for training in job-specific skills. More than half (59%) did so to
comply with regulatory/statutory requirements (with construction having the highest
proportion of training-providing establishments doing so), and improve
service/product quality. 47% of the establishments also gave productivity
improvement as a reason for providing training. The less commonly cited reasons
were to improve generic/employability skills (28%), to cater for product/service
changes (32%) and promote career development (33%) of their employees.
2.7
Improving job specific skills was the top consideration for all
establishments across the size categories. While large establishments with 250 &
above employees were the most willing to train for every one of the reasons, the
differential was most pronounced for training that were directly in employee’s interest
Notes:
(1) Based on establishments that provided their employees with training.
(2) The figures do not add up to 100% as establishments are allowed to indicate more than one reason.
0.4
27.5
31.5
33.1
35.0
38.3
47.3
58.5
59.3
64.1
Others
To improve generic/employability skills
To cater for prod/svc chges which require new
skills
To promote career development
To meet changes in technology
To help employees develop positive work
attitudes/habits
To improve productivity
To improve product or service quality
To meet regulatory/statutory requirements
To improve job specific skills
CHART 3: REASONS (%) FOR PROVIDING STRUCTURED TRAINING,
2005
Manpower Research & Statistics Department, Ministry of Manpower
5
e.g. to promote career development (59% compared to just 26% for establishments
with 25-99 employees). See Annex 1 – Table 3.
Reasons for Not Providing Training
2.8
Close to 3 in 10 establishments (28%) did not provide their employees
with structured training. Consistent with previous year, the top two reasons they gave
for not sending their staff for training were that their employees’ current skills level
was sufficient (63%) and informal on-the-job training was adequate to meet business
needs (50%). With upbeat business conditions, training cost became less of a concern
- the proportion indicating budget constraint dropped from 31% in 2004 to 23% in
2005. Supply considerations such as lack of information about training courses
available (4.8%), lack of suitable training courses (10%), cost of training (9.5%) and
inability to assess the likely benefits of training (4.4%) posed less of a barrier to
training. A breakdown of the figures by establishment size is at Annex 1 – Table 4.
Notes:
(1) Based on establishments that did not provide their employees with training.
(2) The figures do not add up to 100% as establishments are allowed to indicate more than one reason.
3.9
4.5
7.1
10.0
9.5
14.5
22.3
31.1
39.9
59.8
4.4
4.8
5.5
10.3
9.5
15.8
20.6
22.7
49.5
62.8
Unable to assess the likely benefits of training
Lack of information about training courses
Trained workers may leave or be poached by
other companies
Lack of suitable training courses
Training courses too expensive
Prefer to recruit new employees with required
skills rather than train up existing ones
Difficulties in releasing workers due to a lean
workforce
Budget is tight
Informal on-the-job-training sufficient
Current skills of employees are sufficient to meet
business needs
2004
2005
CHART 4: REASONS (%) FOR NOT PROVIDING STRUCTURED TRAINING,
2004-2005
Manpower Research & Statistics Department, Ministry of Manpower
6
3
TRAINING EXPENDITURE BY EMPLOYER
3.1
Establishments were surveyed on the expenses
2
they incurred on staff
training. Establishments that provided structured training spent an average of $967
per trainee or $542 per employee in 2005
3
. This is more than the $936 per trainee or
$511 per employee in 2004. However, training expenditure as a percentage of total
payroll (comprising staff remuneration and employers’ CPF contribution) maintained
at 1.3% from 2004.
3.2
After taking into account training incentives such as those provided
from the Skills Development Fund (SDF), establishments incurred a training
expenditure of $900 per trainee or $505 per employee. This net training cost formed
1.2% of total payroll, unchanged from 2004.
3.3
The training-providing establishments incurred an average of $1,111
per employee in training the PMETs. Training expenditure is significantly lower for
clerical, sales & service workers ($348) and production, cleaners & related workers
($149).
2
Include course fees, cost of training materials, rental and imputed cost of premises/facilities for
training purposes and wage cost of company’s in-house trainers but exclude wage cost of staff who
attended the training.
3
Training cost per employee is derived based on all employees regardless whether they had received
training while training cost per trainee is derived based only on employees who had received training.
CHART 5: AVERAGE TRAINING COST ($) PER EMPLOYEE BY
OCCUPATIONAL GROUP, 2003-2005
Note:
(1) Refers to the average training cost for training-providing establishments.
(2) Figures in ( ) refer to proportion of employees sent for structured training.
(47.4%)
143
(51.7%)
381
(56.1%)
1,072
(51.4%)
538
(48.3%)
180
(56.4%)
364
(60.2%)
958
(54.6%)
511
(54.2%)
149
(53.1%)
348
(59.7%)
1,111
(55.9%)
542
Overall
Professionals,
Managers, Executives
& T echnicians
Clerical, Sales &
Service Workers
Production, Cleaning &
Related Workers
2003
2004
2005
Manpower Research & Statistics Department, Ministry of Manpower
7
3.4
Large establishments spent more on training than those smaller.
Training-providing establishments with 250 & above employees invested an average
of $710 per employee (or 1.6% of payroll), more than twice the $305 (0.8% of
payroll) for small establishments with 25-99 employees.
3.5
The transport & storage industry ($1,824) recorded the highest training
expenses per employee, mainly due to the high training costs incurred by airline staff.
This was followed by other professional services ($1,282) including research &
development and advertising & market research. Despite having a high training
incidence, construction spent the least on training at $71 per employee (or 0.4% of
total payroll) – reflecting the relatively affordable fees for safety courses. Details are
at Annex 1 – Table 5.
4
IMPACT OF TRAINING
4.1
Establishments that provided staff training were asked to rate its
impact on organizational performance indicators and employee’s career advancement.
Organisational Performance Indicators
4.2
On the whole, employers were able to achieve tangible benefits from
training their employees. The vast majority of the training-providing establishments
indicated that training had a positive impact on worker productivity (84%), quality of
their products & services (82%) and customer satisfaction (73%).
4.3
For most establishments, engaging in training activities for their
employees had no adverse impact on their bottom-line. Only a small minority
reported that training had a negative impact on business costs (6.1%). The majority
indicated either no impact (44%) or positive impact (35%). In fact, close to half of
the training-providing establishments felt that training had a positive impact on their
sales & profitability (49%).
4.4
Establishments were divided in their responses on the impact of
training on staff retention and innovation. 46% felt training helped in retaining their
staff, while 44% indicated it did not have any impact. In terms of innovation, 37%
reported that training had a positive impact, while 45% were indifferent and 17%
indicated they did not know.
Manpower Research & Statistics Department, Ministry of Manpower
8
Career Advancement Indicators
4.5
The bulk (76%) of the training-providing establishments indicated that
employees who undergo training would be given more job responsibilities. When
asked about the impact of training on promotion opportunities and wages/earnings,
the establishments were broadly divided between those which felt training had a
positive impact and those which indicated no impact.
CHART 6: IMPACT OF TRAINING (%) ON
ORGANISATIONAL INDICATORS, 2005
Note:
(1)
Based on establishments that provided their employees with training and formally evaluated the effectiveness of training.
(2)
*Not applicable refer to responses given by non-profit organisations
Work Productivity
Quality of Products & Services
Customer Satisfaction
Sales & Profitability
Staff Retention
Innovation
Business cost
Not applicable*
-
-
-
0.3
-
-
-
Negative Impact
-
0.2
0.1
0.6
1.6
0.2
6.1
Don't Know
3.6
4.4
8.3
13.5
8.6
17.2
14.6
No Impact
12.6
13.5
18.4
36.5
44.0
45.3
44.3
Positive Impact
83.8
81.8
73.2
49.2
45.9
37.3
35.0
Work
Productivity
Quality of
Products &
Services
Customer
Satisfaction
Sales &
Profitability
Staff
Retention
Innovation
Business
cost
Manpower Research & Statistics Department, Ministry of Manpower
9
5
TRAINING AREAS AND ARRANGEMENTS
Training Areas
4
5.1
Employers were more likely to send their staff for training to acquire
occupational or job-specific (75%) rather than industry (40%) skills. In respect of
generic & employability skills, training in workplace safety & health (59%) were
more common than training in information communications technology (32%) and
other generic & employability skills e.g. personal effectiveness, initiative & enterprise
(30%). Training in workplace literacy & numeracy was the least widespread at 13%.
4
Analysis based on establishments that provided staff with training
Note: Based on establishments that provided their employees with training and formally evaluated the effectiveness of training.
CHART 7: IMPACT OF TRAINING (%) ON CAREER ADVANCEMENT
INDICATORS, 2005
Job
Responsibilities
Promotion
Opportunities
Wage/Earnings
Decrease
0.1
-
-
Don't Know
2.0
5.5
4.7
No Impact
21.4
44.7
49.2
Increase
76.4
49.8
46.2
Job Responsibilities
Promotion
Opportunities
Wage/Earnings
Manpower Research & Statistics Department, Ministry of Manpower
10
5.2
While training in occupation or job specific skills was common across
all occupational groups, other types of training varied according to occupations. For
instance, training in workplace safety & health was more common with production &
related workers while industry skills training was more commonly extended to
PMETs (Chart 9).
Note:
(1)
Based on establishments that provided their employees with training.
(2)
Figures do not add up to 100% as establishments are allowed to indicate more than one training area
12.9
30.4
32.1
40.1
58.5
74.5
Workplace Literacy & Numeracy
Other Generic or Employability Skills
Information Communications
Technology
Industry Skills
Workplace Safety & Health
Occupation or Job Specific Skills
CHART 8: PROPORTION (%) OF TRAINING-PROVIDING ESTABLISHMENTS BY
TRAINING AREAS, 2005
Manpower Research & Statistics Department, Ministry of Manpower
11
5.3
The larger establishments were much more likely to provide structured
training of any type than smaller establishments. This was especially the case for
training in generic & employability skills (Table 2).
CHART 9: PROPORTION (%) OF ESTABLISHMENTS THAT SENT THEIR EMPLOYEES FOR
TRAINING IN VARIOUS TRAINING AREAS BY OCCUPATIONAL GROUPS, 2005
Note:
(1)
Based on establishments that provided their employees with training.
(2)
Figures do not add up to 100% as establishments are allowed to indicate more than one training area
61.7
41.6
45.2
34.1
30.8
9.1
67.1
28.0
24.9
32.9
33.1
12.0
61.7
75.2
14.7
6.2
14.0
7.6
Occupational/Job
Specific Skills
Workplace Safety &
Health
Industry Skills
Information
Communications
Technology
Other Generic or
Employability Skills
Workplace Literacy &
Numeracy
PM ETs
Clerical
Production & Related
Manpower Research & Statistics Department, Ministry of Manpower
12
Training Methods
5.4
The vast majority of training-providing establishments (82%) got
external trainers to provide training to their employees. Other methods involved
using managers/supervisors (42%), internal/specialist training staff (28%) and other
staff (21%) to conduct training. Establishments also sent their staff for training
leading to either formalized certification (34%) and/or trade certificates (25%).
Overall
25-99
100-249
250 & above
Occupational or Job Specific Skills
74.5
70.8
79.6
87.5
Workplace Safety & Health 58.5
54.9
64.7
68.7
Industry Skills
40.1
34.4
49.0
58.4
Information Communications Technology 32.1 26.5 36.5
56.9
Other Generic or Employability Skills
30.4
25.8
35.4
49.2
Workplace Literacy & Numeracy 12.9
9.5
15.5
28.4
TABLE 2: PROPORTION (%) OF ESTABLISHMENTS THAT SENT THEIR EMPLOYEES FOR
TRAINING IN VARIOUS TRAINING AREAS BY ESTABLISHMENT SIZE, 2005
Note:
(1) Based on establishments that provided their employees with training.
(2) Figures do not add up to 100% as establishments are allowed to indicate more than one training area
81.5
42.1
33.6
28.4
25.4
21.2
1.2
External T rainers
Managers/supervisors
T raining leading to formalised certification
Internal/specialist training staff
T raining leading to trade certification
Other staff in the organisation
Others
CHART 11: PROPORTION (%) OF TRAINING-PROVIDING
ESTABLISHMENTS BY METHODS USED TO PROVIDE TRAINING, 2005
Note:
(1) Based on establishments that provided their employees with training.
(2) Figures do not add up to 100% as establishments are allowed to indicate more than one training provider
(3) Trade Certificates are awarded upon completion of training for skill sets e.g. safety orientation training. They
are not formal qualifications (e.g. diploma, degree, post graduate degree and post graduate diploma).
Manpower Research & Statistics Department, Ministry of Manpower
13
5.5
Across industries, construction was the least likely to get internal staff
to train their employees. Instead, it relied mostly on external trainers (69%) and
sending workers for training leading to trade certifications (64%), the latter being the
highest recorded for any industry. Details are at Annex 1 – Table 6.
Training Administration
5.6
The proportion of training-providing establishments which assigned a
senior manager to oversee their training activities (35%) remained broadly similar to
previous two years. A higher proportion of large establishments with 250 & above
employees (63%) assigned senior management to oversee their training activities
compared to smaller establishments.
5.7
Similarly, most of the larger establishments had a formal/ written
training or staff development policy compared with smaller establishments (Chart 13).
30.1
35.3
28.8
41.2
63.2
36.5
29.6
43.2
64.3
37.9
68.3
45.6
Overall
25-99
100-249
250 & above
2003
2004
2005
CHART 12: PROPORTION (%) OF TRAINING-PROVIDING
ESTABLISHMENTS THAT ASSIGN A MEMBER OF SENIOR
MANAGEMENT TO OVERSEE TRAINING BY FIRM SIZE,
2003 - 2005
Note: Based on establishments that provided their employees with training.
Manpower Research & Statistics Department, Ministry of Manpower
14
5.8
Among the training-providing establishments that did not have a
formal/written training or staff development policy, the majority (57%) indicated that
this was because training is provided on an ad-hoc basis when requested by the
employees or supervisors. About 1 in 4 (26%) of the establishments also indicated
that training is not integrated as it is decentralized to individual departments. Close to
2 in 10 reported that training is not their organization’s performance indicator, and/or
a lack of expertise and time in developing training/staff development policy. A
minority (12%) saw training as the responsibility of the individual employees that
should be undertaken in their own time.
43.7
34.1
56.4
76.4
45.5
36.5
55.9
78.0
44.0
35.4
55.2
75.1
Overall
25-99
100-249
250 & above
2003
2004
2005
CHART 13: PROPORTION (%) OF TRAINING-PROVIDING ESTABLISHMENTS THAT
HAVE A FORMAL OR WRITTEN TRAINING POLICY FOR STAFF BY
ESTABLISHMENT SIZE,
2003 - 2005
Note:
(1) Based on establishments that provided their employees with training.
Manpower Research & Statistics Department, Ministry of Manpower
15
Training Evaluation
5.9
There is a notable increase in the proportion of training-providing
establishments that evaluated the effectiveness of staff training to 62% in 2005 from
56% in the previous 2 years. Expectedly, the larger establishments were more likely
to undertake training evaluation than those smaller.
12.7
17.9
17.9
18.3
24.5
57.0
9.5
16.7
19.0
23.1
24.7
55.8
17.8
18.7
19.1
26.3
56.8
12.4
Training is the responsibility of indivdual
employees and they should undertake it at their
own time
Insufficient time to develop a training/staff
development policy
Insufficient expertise to develop a training/staff
development policy
Not an organisation performance indicator
Training within the organisation is not integrated
Training is provided only when requested by
employees or supervisors
2003
2004
2005
CHART 14: REASONS (%) FOR NOT HAVING A FORMAL/WRITTEN
TRAINING POLICY, 2003 - 2005
Notes:
(1) Based on training-providing establishments that do not have a formal/written training policy.
(2) Figures do not add up to 100% as establishments are allowed to indicate more than one reason.
Manpower Research & Statistics Department, Ministry of Manpower
16
5.10
Training-providing establishments that evaluated the training
effectiveness were more likely to turn to their HR/Line managers for feedback (57%)
(Chart 16).
2003
55.7
49.0
63.0
80.7
2004
56.0
47.8
68.5
80.0
2005
62.2
55.9
71.2
83.8
Overall
25-99
100-249
250 & above
CHART 15: PROPORTION (%) OF TRAINING-PROVIDING ESTABLISHMENTS
THAT EVALUATED EFFECTIVENESS OF STAFF TRAINING, 2003 - 2005
Note: Based on establishments that provided their employees with training.
Manpower Research & Statistics Department, Ministry of Manpower
17
5.11
Among the training-providing establishments that did not have in place
formal evaluation procedures on training, 48% felt this is not a priority. This was
followed by difficulties in obtaining reliable evaluation results (19%), time constraint
(18%) and not knowing how to evaluate the effectiveness of training (10%).
Establishments were less bothered about costs (2.4%) or that the evaluation could
generate resistance among employees (1.8%).
CHART 16: COMMON EVALUATION PROCEDURES (%), 2004 - 2005
23.8
25.9
29.2
34.0
39.5
46.6
60.0
23.4
28.5
29.4
30.4
36.4
42.2
56.6
Using indicators of work improvement
Getting customer feedback
Carrying out tests to verify if skills have been
acquired
Requiring formal validation and certification of the
skills required
Measuring if new skills are applied at work
Measuring the job satisfaction level of employees
after training
Getting feedback from HR/Line managers or
supervisors
2004
2005
Notes:
(1) Based on training-providing establishments that have evaluation procedures in place.
(2) Figures do not add up to 100% as establishments are allowed to tick more than one evaluation procedure.
Manpower Research & Statistics Department, Ministry of Manpower
18
6
TRAINING SUPPORT
6.1
Along with the rise in training provision, the proportion of
establishments that were supportive of their employees taking up self-initiated
training at their own time declined to 27% in 2005 from the previous year’s 30%. In
terms of employee count, the pool of workers also shrank from 5.2% to 4.8%.
1.6
2.4
11.2
20.0
20.2
43.0
1.8
2.4
10.1
18.6
18.4
48.1
It generates resistence among
employees
It is too expensive
Not sure how to evaluate the
effectiveness
It is too difficult to obtain reliable
evaluation results
It is too time consuming
It is not a priority
2004
2005
CHART 17: MAIN REASON (%) FOR NOT HAVING EVALUATION
PROCEDURES, 2004 - 2005
Notes:
(1) Based on training-providing establishments that do not have training evaluation procedures in place.
(2) Establishments are allowed to indicate only one option.
Manpower Research & Statistics Department, Ministry of Manpower
19
6.2
Consistent with previous years, the larger establishments were more
inclined to provide support to employees for employee-initiated training undertaken at
the employees’ own time. However, in terms of employees who benefited from such
support, large establishments registered a lower proportion than smaller
establishments, partly reflecting their larger employee base (Chart 19). Also, as
nearly all large establishments provided their staff with some form of structured
training, proportionately fewer of their employees would find it necessary to initiate
and undertake their own training.
0
5
10
15
20
25
30
35
Proportion of
Establishments
30.1
29.8
26.8
Proportion of
employees who
benefitted in
establishments that
provided incentives
6.0
5.2
4.8
2003
2004
2005
CHART 18: PROVISION OF INCENTIVES TO EMPLOYEES TO TRAIN AT
THEIR OWN TIME, 2003-2005
%
Manpower Research & Statistics Department, Ministry of Manpower
20
6.3
Most of the establishments that provided support for their employees to
train at their own time did so by granting examination/study leave (72%) and
providing partial/full subsidies for their course fees (65%).
CHART 19: PROVISION OF INCENTIVES (%) TO EMPLOYEES
TO TRAIN AT THEIR OWN TIME, 2005
26.8
22.1
35.8
51.0
7.7
4.8
4.1
5.0
Overall
25-99
100-249
250 & over
Establishments with incentives as a % of total establishments surveyed
Proportion of employees who benefitted
11.6
51.4
73.5
65.9
11.8
48.3
74.9
70.6
14.4
42.5
65.2
71.5
Provide unpaid time
off for training
Provide paid time off
for training
Help to pay for
course fees
(partial/full)
Grant Study/Exam
Leave
2003
2004
2005
Notes:
(1) Based on establishments that provided incentives for staff to train at their own time.
(2) The figures do not add up to 100% as establishments are allowed to indicate more than one option
CHART 20: TYPE OF TRAINING SUPPORT PROVIDED (%) TO
EMPLOYEES TO TRAIN AT OWN TIME, 2003 - 2005
Manpower Research & Statistics Department, Ministry of Manpower
21
7 CONCLUDING
REMARKS
7.1
In line with the upbeat economic conditions, more employers sent their
staff for training in 2005. They also trained a higher proportion of blue collar
workers; although this is still less than the training given to the PMETs. As with
previous years, the larger establishments were more committed to training than those
smaller. Generally, employers reported tangible benefits from training their
employees, especially in terms of the impact on productivity, products/services
quality and customer satisfaction.
Broad Occupational Groups
Professionals,
Managers, Executives &
Technicians
Clerical, Sales & Service
Workers
Production, Cleaning
& Related Workers
Help to pay for course fees
64.4
63.2
61.7
Provide paid time off for training
41.5
39.8
45.5
Provide unpaid time off for training
12.7
13.4
13.9
Grant examination/study leave
71.9
71.6
67.4
TABLE 3: TYPE OF TRAINING SUPPORT (%) PROVIDED BY
OCCUPATIONAL GROUP, 2005
Note: Based on establishments that provided incentives for staff to train at their own time.
Manpower Research & Statistics Department, Ministry of Manpower
22
2003 2004 2005
INDUSTRY
Total
68.6 66.5 72.1
Manufacturing
68.9 65.8 74.9
Construction
68.5 75.6 85.7
Services
68.9 64.2 67.3
Wholesale & Retail Trade
63.9
61.2
63.4
Wholesale
Trade
66.0 64.6 65.0
Retail
Trade
54.2 46.8 56.5
Transport
&
Storage
69.7 66.7 70.1
Hotels
&
Restaurants
46.1 40.1 41.8
Hotels
86.6 87.3 90.7
Restaurants
38.3 32.0 34.7
Information
&
Communications
84.4 71.1 76.1
Broadcasting
&
Publishing
78.8 82.1 70.6
Telecommunications 93.8
87.8
100.0
IT & other Information Services
83.5
60.3
70.1
Financial
Services
92.5 93.8 88.7
Financial
Institutions
90.7 92.4 86.5
Insurance
100.0 100.0 100.0
Real Estate & Leasing Services
72.7
63.8
72.5
Professional
Services
82.9 74.9 82.3
Legal, Accounting & Mgt Services
84.3
71.5
84.3
Architectural
&
Engineering
Services 82.1 79.4 88.6
Other
Professional
Services
79.8 77.3 72.1
Administrative & Support Services
65.0
59.3
64.9
Community, Social & Personal Services
68.6
61.9
68.2
Education
94.9 95.2 81.9
Health & Social Services
85.6 77.0 96.6
Other Community & Social Services
53.2
46.0
52.1
OTHERS
35.2 66.2 61.5
ESTABLISHMENT SIZE
25-99 Employees
61.3 59.5 65.6
100-249 Employees
87.9 83.8 89.9
250 & Above Employees
96.5 95.0 96.0
TABLE 1: PROPORTION OF ESTABLISHMENTS (%) THAT PROVIDED
STRUCTURED TRAINING BY INDUSTRY AND ESTABLISHMENT SIZE
Note: Based on all establishments surveyed.
Annex 1
Manpower Research & Statistics Department, Ministry of Manpower
23
Overall
PMETs
Clerical,
Sales &
Service
Production,
Cleaning &
Related
INDUSTRY
Total
55.9 59.7 53.1
54.2
Manufacturing
56.8 57.6 35.7
59.1
Construction
49.3 30.4 12.5
57.6
Services
56.3 62.6 57.0
41.9
Wholesale & Retail Trade
51.0 47.3 57.5
41.5
Wholesale Trade
44.5 46.7 44.7
38.8
Retail Trade
61.5 50.6 66.4
47.8
Transport & Storage
55.9 66.7 62.7
42.3
Hotels & Restaurants
53.0 47.3 59.0
43.7
Hotels
63.0 54.0 67.0
61.3
Restaurants
46.2 37.8 53.5
35.8
Information & Communications
52.7 55.0 43.7
48.5
Broadcasting & Publishing
60.1 65.7 35.6
54.2
Telecommunications
51.9 53.7 47.3
52.0
IT & other Information Services
48.1 49.3 31.3
42.1
Financial Services
75.2 78.3 71.8
54.6
Financial Institutions
74.7 77.9 70.9
54.8
Insurance
78.9 82.1 75.4
35.9
Real Estate & Leasing Services
39.1 54.6 38.2
31.8
Professional Services
56.4 60.6 38.6
60.6
Legal, Accounting & Mgt Services
59.7 68.2 40.9
55.8
Architectural & Engineering Services
46.7 40.1 26.3
65.1
Other Professional Services
60.3 64.4 38.7
52.2
Administrative & Support Services
38.4 28.7 41.4
34.7
Community, Social & Personal Services
62.5 68.0 59.0
41.1
Education
40.4 45.6 27.9
13.5
Health & Social Services
76.2 83.1 70.2
51.1
Other Community & Social Services
50.8 50.5 54.7
33.3
OTHERS
79.7 88.7 87.0
73.0
ESTABLISHMENT SIZE
25-99 Employees
42.2 40.0 36.2
47.7
100-249 Employees
48.6 50.7 44.1
49.3
250 & Above Employees
63.8 69.1 63.3
58.7
TABLE 2: PROPORTION OF EMPLOYEES (%) SENT FOR STRUCTURED
TRAINING BY OCCUPATION, INDUSTRY AND ESTABLISHMENT SIZE, 2005
Annex 1
Note: Based on establishments that provided their employees with training.
Manpower Research & Statistics Department, Ministry of Manpower
24
Total
25-99
100-249
250 &
above
To improve job specific skills
64.1
59.1
70.4
82.0
To meet regulatory/statutory requirements
59.3
58.6
58.6
64.2
To improve product or service quality
58.5
54.3
63.5
74.9
To improve productivity
47.3
41.2
55.1
69.1
To help employees develop positive work
attitudes/habits 38.3
32.8
44.9
59.3
To meet changes in technology
35.0
31.0
37.3
54.1
To promote career development
33.1
26.0
42.1
59.3
To cater for prod/svc changes which require new
skills 31.5
27.5
33.2
51.8
To improve generic/employability skills
27.5
22.5
31.6
49.9
Others 0.4
0.4
0.2
0.5
Total
25-99
100-249
250 &
above
Current skills of employees are sufficient to meet business needs
62.8
63.3
56.0
59.3
Informal on-the-job-training sufficient
49.5
49.3
53.6
40.7
Budget is tight
22.7
22.3
28.8
22.2
Difficulties in releasing workers due to a lean workforce
20.6
20.1
26.4
29.6
Prefer to recruit new employees with required skills rather than train
up existing ones
15.8
15.5
20.0
14.8
Lack of suitable training courses
10.3
10.2
11.2
11.1
Training courses too expensive
9.5
9.3
14.4
7.5
Trained workers may leave or be poached by other companies
5.5
5.0
12.8
7.4
Lack of information about training courses
4.8
5.0
3.2
0.0
Unable to assess the likely benefits of training
4.4
4.5
1.6
7.4
TABLE 3: REASONS (%) FOR PROVIDING STRUCTURED
TRAINING BY ESTABLISHMENT SIZE, 2005
Annex 1
TABLE 4: REASONS (%) FOR NOT PROVIDING STRUCTURED
TRAINING BY ESTABLISHMENT SIZE, 2005
Note: Based on establishments that provided their employees with training.
Note: Based on establishments that did not provide their employees with training.
Manpower Research & Statistics Department, Ministry of Manpower
25
2003
2004
2005
$
% of
total
payroll $
% of
total
payroll $
% of
total
payroll
INDUSTRY
Total
538 1.2 511 1.3 542 1.3
Manufacturing
288 0.8 327 1.0 301 0.8
Construction
84 0.4 74 0.4 71 0.4
Services
786 1.5 709 1.6 782 1.6
Wholesale & Retail Trade
410
0.9
499
1.2
458
1.0
Wholesale Trade
510
0.9
570
1.1
600
1.0
Retail Trade
217
0.8
359
1.4
217
0.8
Transport & Storage
2,214
5.1
1,128
2.4
1,824
3.9
Hotels & Restaurants
182
1.0
280
1.5
163
0.8
Hotels 202
0.8
313
1.2
244
0.8
Restaurants 170
1.4
256
2.1
109
0.8
Information & Communications
678
1.1
789
1.3
668
1.1
Broadcasting & Publishing
341
0.5
474
0.8
438
0.8
Telecommunications 836
1.5
841
1.4
731
1.4
IT & other Information Services
574
0.9
1,000
1.7
726
1.0
Financial Services
763
0.7
1,079
1.3
941
1.1
Financial Institutions
717
0.6
1,102
1.2
939
1.0
Insurance
1,087 2.0 934 1.7 955 1.7
Real Estate & Leasing Services
214
0.8
273
1.1
353
1.0
Professional Services
571
0.8
869
1.5
853
1.4
Legal, Accounting & Mgt Services
612
0.8
923
1.4
972
1.5
Architectural & Engineering Services
385
0.7
313
0.7
263
0.6
Other Professional Services
855
1.3
1,598
2.5
1,282
2.1
Administrative & Support Services
152
0.7
181
0.9
204
1.3
Community, Social & Personal Services
534
1.3
554
2.4
555
1.4
Education 454
1.3
548
1.8
358
0.9
Health & Social Services
678
1.5
655
2.9
768
1.8
Other Community & Social Services
313
1.0
370
1.3
254
0.8
OTHERS
519 1.2 344 1.0 483 1.3
OCCUPATION
Professionals, Managers, Executives &
Technicians
1,072
-
958
-
1,111
-
Clerical, Sales & Service
381
-
364
-
348
-
Production Operators, Cleaners & Labourers
143
-
180
-
149
-
ESTABLISHMENT SIZE
25-99 Employees
249
0.6
330
0.9
305
0.8
100-249 Employees
270
0.7
296
0.8
330
0.9
250 & Above Employees
741
1.5
653
1.6
710
1.6
Note:
(1) Based on establishments that provided their employees with training.
(2) Data on training cost as % of total payroll not collected for occupation group
TABLE 5: AVERAGE TOTAL TRAINING COST ($) PER EMPLOYEE BY
INDUSTRY, OCCUPATION AND ESTABLISHMENT SIZE, 2003-2005
Annex 1
Manpower Research & Statistics Department, Ministry of Manpower
26
Internal/
Specialist
Training
Officers
Managers/
Supervisors
Other
staff
External
trainers
Training
leading to
formal
qualifications
Training
leading to
trade
certifications
INDUSTRY
Total
28.4 42.1
21.2
81.5 33.6 25.4
Manufacturing
28.9 49.9
20.8
84.2 31.9 28.9
Construction
10.1 22.3
6.6
69.2 25.4 63.7
Services
34.5 45.1
26.5
84.3 37.2 10.4
Wholesale & Retail Trade
34.0 45.9
26.1
83.7 32.1 10.2
Wholesale Trade
33.2 44.9
27.3
84.2 33.6 12.1
Retail Trade
38.1 50.6
20.0
81.3 24.4 0.6
Transport & Storage
27.8 43.3
25.1
84.3 33.6 16.8
Hotels & Restaurants
45.5 57.3
26.4
82.0 38.8 11.8
Hotels
65.3 91.8
53.1
95.9 75.5 0.0
Restaurants
38.0 44.2
16.3
76.7 24.8 16.3
Information & Communications
53.2 41.1
20.2
79.8 34.7 1.6
Broadcasting & Publishing
54.2 41.7
50.0
100.0 33.3 0.0
Telecommunications
68.8 53.1
18.8
78.1 46.9 6.3
IT & other Information Services
45.6 35.3
10.3
