Spending in the training industry in U.S. 2012-2023
Corporate training expenditure in the United States increased by 200 million U.S. dollars in 2023 when compared to the previous year. Following a dramatic increase of over 20 billion U.S. dollars from 2016 to 2017, total expenditure on workplace training in the United States dropped from 93.6 billion in 2017 to 82.5 billion U.S. dollars in 2020 before climbing to 101.8 billion in 2023.
Training expenditure
Training expenditure includes the budget allocated by companies for training activities, spending on training-related technology, and the salaries paid to internal training staff. Aside from salaries, the money spent can either be on training activities provided internally, or on external training services. Some aspects of training are more often outsourced than others. For instance, LMS operations or hosting was most commonly outsourced in 2022. Wages constitute the largest share of internal training expenditure, followed by general expenses such as facility hire, travel and equipment.
Workplace training
Workplace training is conducted to teach staff members the specific skills they need to perform their role, such as how to use required software or manage certain types of interpersonal interaction. This is to be distinguished from learning and development, which includes teaching broader skills not strictly necessary for an employee’s job. The specific and often knowledge-based subject matter of workplace training means that technological solutions are often viable. Knowledge-based training such as teaching a company’s compliance policy are often provided via an online platform. However, many employees believe traditional forms of face-to-face training are more effective than technology-driven solutions.
Training expenditure
Training expenditure includes the budget allocated by companies for training activities, spending on training-related technology, and the salaries paid to internal training staff. Aside from salaries, the money spent can either be on training activities provided internally, or on external training services. Some aspects of training are more often outsourced than others. For instance, LMS operations or hosting was most commonly outsourced in 2022. Wages constitute the largest share of internal training expenditure, followed by general expenses such as facility hire, travel and equipment.
Workplace training
Workplace training is conducted to teach staff members the specific skills they need to perform their role, such as how to use required software or manage certain types of interpersonal interaction. This is to be distinguished from learning and development, which includes teaching broader skills not strictly necessary for an employee’s job. The specific and often knowledge-based subject matter of workplace training means that technological solutions are often viable. Knowledge-based training such as teaching a company’s compliance policy are often provided via an online platform. However, many employees believe traditional forms of face-to-face training are more effective than technology-driven solutions.
