Holding Pattern for Australian Learning and Development Budgets

Holding Pattern for Australian Learning and Development Budgets

AHRI, AITD and Learning Seat launch inaugural National Learning and Development Index

Learning and development (L&D) budgets remain stable through the global financial crisis according to the inaugural National Learning and Development Index.

The Index is a joint initiative between the Australian Human Resources Institute (AHRI), the Australian Institute of Training and Development (AITD) and online training and compliance management company, Learning Seat.

Data was gathered through a survey conducted amongst the membership database of both institutes as well as the Learning Seat client base.

According to the Index, less than half (38.8 per cent) of internal L&D practitioners surveyed reported reductions in organisational training budgets in response to the global financial crisis.

The Index also found:

• 89.9 per cent of in-house respondents reported L&D was determined in the performance review process
• Nearly half (47.28 per cent) of respondents reported the link between L&D and business strategy as strong or very strong
• More than half (55.4 per cent) of internal practitioners indicated that the HR function is responsible for learning and development strategy and decision making
• In contrast, when consulting to an organisation, only 21.7 per cent of external consultants surveyed indicated that the HR department was their main point of contact on the provision of L&D activities, with more than half 52.45 per cent reporting that they dealt directly with senior management

National President of AHRI, Peter Wilson said: “A number of findings in this study indicate a healthy climate in the learning and development area. It is pleasing to also note that during the global financial crisis a large number of respondents reported that the L&D budget in their organisation has either been increased or maintained at levels consistent with the period prior to the GFC.

“We hope that members find this Index useful in formulating future L&D strategies.”

National President of the AITD, Catherine Logue said: ”The report highlights the need for practitioners to gain further professional development and education to perform their responsibilities, which is especially important for the high percentage of L&D personnel in the role for less than two years.

“The L&D profession needs to ‘walk its talk’ and focus on constant up-skilling and updating of its own professional development and with this Index, I hope we have aided in doing so.”

Chief executive officer of Learning Seat, Michael Solomon said: “We stand at the cusp of a major shift. Post the GFC, the labour market is rising again, but if attracting and retaining talent is the biggest human capital challenge, how do you prepare your workforce to face the onslaught of this surge? Simple – you engage your people through training.

“The Index tells us what the L&D market currently looks like. It is up to the industry to use this information in order to further business and people goals.”

The Index will be released once a year.

 To view further findings from the Index or to download, visit: http://www.learningseat.com/nationalindex