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WHAT IMPACT DOES TRAINING HAVE ON EMPLOYEE COMMITMENT AND

EMPLOYEE TURNOVER?

SCOTT BRUM
University of Rhode Island

Training is of growing importance to companies seeking to gain an advantage among competitors.


There is significant debate among professionals and scholars as to the affect that training has on both
employee and organizational goals. One school of thought argues that training leads to an increase in
turnover while the other states that training is a tool to that can lead to higher levels of employee retention
(Colarelli & Montei, 1996; Becker, 1993). Regardless of where one falls within this debate, most
professionals agree that employee training is a complex human resource practice that can significantly
impact a company’s success.
The training industry as a whole has shown significant growth through the years. Statistics indicate
that investment in training is continuing to grow as more and more companies realize its importance. In
1995, $7.7 billion was spent on the wages and salaries of in-house company trainers and $2.8 billion was
spent on tuition reimbursement (Frazis, Gittleman, Horrigan, Joyce, 1998). The American Society for
Training and Development found that in 2004, the average annual training expenditure per employee was
$955, which is an increase of $135 per employee from the previous year. The number of formal learning
hours per employee also rose from 26 hours in 2003, to 32 hours in 2004 (atsd.com, 2005). As the
investment in various training programs continue to rise, it becomes even more imperative for employers
to understand the impact that training has on their organization.

Training can have a considerable influence of employee turnover, the less likely a company
on company finances as there are several will invest in it. A company loses all of its
potential training costs that companies may investment should an employee terminate the
incur. One type of training related cost is direct relationship upon completion of training. As a
cost. This may include instructor salary, result, employers have very important decisions
materials, and follow-up supervision. A second to make in regards to the level of investment
type of training related cost is indirect cost. they are willing make in training. Training
These costs are related to worker output and duration, specificity, relevance, payment
productivity during and upon completion of the options, and training location are all things that
training. employers must consider while developing a
Along these lines, once a training program is training program.
completed, worker productivity is expected to Krueger and Rouse (1998) examined the
increase. The benefits will be to the company, effect that training and workplace education
due to an increase in worker output and programs can have on various organizations.
productivity, and to the worker, as the increase The study included an analysis of numerous
in output should translate into higher wages and outcome variables that may be achieved through
opportunities for career advancement. In training. Variables relating to performance,
general, a company will weigh the costs and wages, productivity, satisfaction, motivation,
returns to training to determine the amount of and absenteeism were all examined. These
investment it will incur (Kaufman & Hotchkiss, variables are analogous too many of those that
2006). are commonly scrutinized in the training and
In addition to the direct and indirect costs development literature. This paper seeks to
described above, turnover plays a significant move away from the frequently assumed
role in the amount of training investment training outcomes and focus more on the
companies will assume. The greater the chance relationship of training and employee

© Brum, 2007
Brum – Training and Employee Commitment 2

commitment. The effect of this relationship on significantly and inversely related to employee
employee turnover will also be explored. turnover.”
Through an analysis of pertinent literature and Along these lines, Jeffrey Arthur (1994)
research, this paper will seek to better conducted an empirical study of two steel
understand and clarify the impact that training “minimills”; one which incorporated a human
has on employee commitment and employee resource commitment strategy and the other a
turnover. control strategy. Arthur was able to find many
The importance of ensuring employee productivity and business advantages to the
retention following training may lie in the company that had a commitment strategy. The
strategic approach that is utilized. Companies study found that turnover was twice as high in
can seek to achieve organizational goals through the company that used a control strategy (x =
a variety of human resource strategies and .07, s.d. = .07) than it was in the company which
approaches. One such approach, a commitment fostered a commitment approach (x = .03, s.d =
strategy, attempts to develop psychological .03). This exemplifies the impact that human
connections between the company and employee resource strategy can have on an organization.
as a means of achieving goals (Arthur, 1994; Job search, retention, employee’s desire and
Scholl, 2003). In an attempt to ensure that the intent to leave, and attitude toward the
employee remains with the company following organization can all be improved with a strategy
training, employers may implement a strategy to that seeks to enhance employee commitment.
training that fosters commitment. Training that When organizations seek to foster a
attempts to increase employee commitment may philosophy of commitment, then the likelihood
serve to counter the numerous direct and indirect of an employee searching for employment
costs associated with turnover. Although a elsewhere is lowered. In a study of employee
commitment strategy can be tied to all company mobility, Green, Felsted, Mayhew, and Pack
human resource practices; recruitment, selection, (2000) found that commitment objectives
performance evaluation, and so on, the focus of decreased that probability of employees being
this paper will be to determine whether training “more likely to search” from 19 to 10 percent,
can lead to an increase in employee commitment and increased being in the “less likely to search”
and in turn foster employee retention. category from 15 to 26 percent. Much like the
other studies identified above, this study shows
COMMITMENT AND EMPLOYEE that committed employees are more likely to
TURNOVER remain with the organization.
A committed employee is one that will Patrick Owens (2006) had a similar finding
remain with the organization. Through the years, in his study of training and organizational
numerous research studies have been conducted outcomes. Although Owens’ study centered on
to determine the accuracy of this statement. In the overall impact of training he was able to find
the end many have concluded that committed a correlation between commitment and turnover.
employees remain with the organization for The study found that employees that had a
longer periods of time than those which are less higher level of commitment also had a higher
committed. level of “turnover cognitions”. A higher score in
Richard Steers (1977) hypothesized and “turnover cognitions” indicated that the
found true that the more committed an employee employee had a more favorable attitude and was
is, the less of a desire they have to terminate less likely to consider turnover. By applying the
from the organization. These “highly results of his survey to independent t-tests,
committed” employees were found to have a Owens was able to determine that trained
higher intent to remain with the company, a employees had a mean turnover cognition of
stronger desire to attend work, and a more 31.15 and organizational commitment of 83.54.
positive attitude about their employment. Steers In comparison, the untrained employees had a
(1977: 54) concluded that “commitment was mean of 28.94 for turnover and 75.87 for
Schmidt Labor Research Center Seminar Research Series 3

commitment. These statistics are relevant as they in varying degrees. As a result, the more
are representative of the inverse relationship of prevalent each element becomes the more likely
commitment and turnover. By separating the commitment will grow.
trained and untrained employees, Owens was Investments. An employee that is invested
able to show that the more committed employees in the organization is an employee that is going
are, the less likely they will consider turnover. to remain with the organization. Howard Becker
The aforementioned studies are (1960) argued just this in his paper that analyzed
representative of much of the research available the various concepts of commitment. Becker
relating to commitment and turnover. stated that employees can invest in a multitude
Commitment has a significant and positive of practices that can be perceived as “side bets”.
impact on job performance and on workforce Examples of “side bets” may include attending
retention. The underlying belief is that a more training outside of work time, participation in an
committed employee will perform better at their apprenticeship program, or attaining a high
job (Walton, 1985). The likely outcome of degree of seniority. “Side bets” can be centered
employees performing better and being more on time, effort, pay, benefits, and so on. The
productive is an overall improvement in greater the investment in any of these “side
workforce stability. Whether employee bets”, the more likely the employee will remain
commitment is enhanced through training, with an organization. Due to the perceived cost
compensation, evaluation, or any other of leaving being too high, side bets can serve to
combination of human resource practices, actually increase the employee’s intent to remain
research typically finds that a committed (Liou & Nyhan, 1994).
individual is one that remains with the company. Becker states that in order for commitment
to be achieved through a “side bet” several
Determinants of Employee Commitment? elements must exist. One such element is that
There is a great deal of literature which the individual is aware that a “side bet” was
seeks to define and identify the specific made. Another is that the choices that were
characteristics of commitment. Scholars have made regarding a particular decision have an
offered many differing views and theories effect on other potential decisions. The “side
regarding employee commitment. Even with bet” philosophy states that an investment is
these differing views it is possible to find some made today with the expectation that the benefit
consistent themes. In general there is significant will be achieved at some future point. Some can
supporting research that indicates that view this as an employee “paying their dues”
commitment is made up of investments, today in order to achieve success in the future
reciprocity, social identity (identification), and (Scholl, 1981).
lack of alternatives. Investment states that it is Becker (1960) provides an example of his
an employee’s “investment” and anticipation of “side bet” theory which relates to lower-class
a future “pay off” that serves to tie them closer school teachers. The teachers “side bet” was that
to the company. Reciprocity, in contrast, of time. When the time arose in which these
indicates that it is the employee’s obligation to lower-class teachers were eligible for transfer to
“pay off” their debt to the company that will a more affluent school, many denied the transfer.
lead to greater commitment. Identification The denial was because the teachers adjusted
specifies that commitment can grow as a result their approach and teaching style to that of the
of an employee’s social identity becoming lower-class. Discipline techniques, addressing
increasingly embedded in their employment. issues with parents, as well as many other issues,
Finally, the lack of alternatives element states would have resulted in the teachers having to
that the more specific an employee’s skills drastically change their styles and approaches.
become to a particular organization the less These changes were found to be overly time
likely they will leave (Scholl, 1981). Although consuming and radical. As a result, the transfers
each of the four mechanisms may serve to were denied. Due to the “side bet” of time, the
enhance employee commitment they may do so teachers became invested and committed to
Brum – Training and Employee Commitment 4

working with the lower-class population. The identify themselves to the organization, the more
expenditure of time by the teachers actually tied likely they will be committed. The stronger the
them to the lower-class students even though identification to an organization and its goals,
more desirable teaching positions were the stronger the commitment will be. The
available. In spite of the lowered expectations, relative strength of identification, the belief in
the teacher’s tenure resulted in them becoming goals and values, and the willingness to work on
“invested” to a particular organization (Scholl, behalf of the company are all factors that tie
1981). social identity to commitment (Blau & Boal,
1987; Steers, 1977).
Hypothesis 1: Training that leads to an On an informal level, social identity can be
increase in perceived employee investment observed when two long lost friends meet. The
will increase employee commitment. first question that typically arises is “where do
Reciprocity. Barrett and O’Connell (2001) you work?” Within this commonly asked
argue that employees may view some human question one is able to determine that people
resource practices as a “gift”. Training is one derive a great deal of their identity from
such practice that employees may view as a employment. The answer to the question carries
“gift”. The result of this “gift” is that employees with it a great deal regarding ones status. As a
exert more effort, become more productive, and result, the more employment becomes connected
have a greater sense of debt to the organization. and enmeshed in their social identity, the more
The “gift” also has the potential to make committed the employee becomes. When a
employees feel like “insiders” into the person’s social identity and employment begins
organization. An “insider” is likely to be more to become embedded with one another, change
committed and devoted to the company. The is much more difficult (Scholl, 1981).
idea of “gift” and “insider” parallels closely to Hypothesis 3: Training that seeks to
the concept of reciprocity. increase an employee’s identification with
The premise behind reciprocity is that an the company is likely to increase
employee will help the organization, because the commitment.
organization helped to employee. The saying
“don’t bite the hand that feeds you” seems to Lack of Alternatives. This element of
correlate to reciprocity. This holds that employee commitment can be best described by
employees should not only help the company but the earlier school teacher example. The
should also not hurt it because it was the investment of time was a deciding factor in the
company that helped the employee (Scholl, school teacher’s decision to remain with the
1981). As a result, the “gift” that an employee lower-class students even though more desirable
receives may actually serve to commit them to positions became available. In addition to the
the organization. Employees in the workforce “side bet” of time that developed, the experience
have specific desires and expectations. When an of the teachers also served to limit their
organization seeks to meet and exceed these alternative employment options. The teacher’s
desires and expectations through reciprocity, knowledge led to the development of strategies
then the likelihood of improving commitment is and skills that would have been objectionable to
enhanced (Steers, 1977). middle class parents. As a result, the teachers
conformed to a low level teaching standard that
Hypothesis 2: Training that builds a sense of would be below that of the middle class students
debt to the organization will lead to an (Becker, 1960). The years of teaching the lower
increase in commitment. class students actually served to limit future
employment options.
Social Identity. In terms of commitment,
social identity and identification are analogous Whether it is through training, job
to one another. The more an employee is able to evaluation, job design, or any other human
resource practice, it is generally argued that the
Schmidt Labor Research Center Seminar Research Series 5

more specific an employee’s skills the less likely employer, but also at other firms throughout the
they will leave the organization. This is labor market. Some examples of general training
exemplified in the above school teacher programs are apprenticeship trainings, general
example. Although there may be several computer training, and learning surgical
alternative employment options available to an techniques that could be used in other hospitals.
employee, “there may be no better than the Educational reimbursement is also an example
present one, producing the perception that there of general training, as the skills acquired can be
are no alternative opportunities” (Scholl, 1981: of use to many different employers (Kaufman
595). As a result the lack of alternatives will and Hotchkiss, 2006).
likely lead to the development of a more Gary Becker’s model suggests that because
committed employee. general training provides skill development that
can be used at other companies, the employer
Hypothesis 4: Training that serves to limit will not invest in it. The underlying premise is
alternative employment options will lead to that within a competitive labor market,
an increase in commitment. employees are typically paid for their level of
production. With that, a company that provides
THE IMPACT OF TRAINING THE FOUR general training will have to pay the employee a
ELEMENTS OF EMPLOYEE wage that coincides with their newly learned
COMMITMENT? skills and their higher level of production.
There is a significant body of scholarly Companies that continue paying employees the
literature relating to the impact of training on pre-training rate of pay, risk losing the employee
organizational outcomes. The following sections to a firm that will provide the higher wage. As a
will attempt to add to this literature by result, turnover would increase. By paying the
examining the effect that training has on higher wage, as well as paying for the general
employee commitment. This will be achieved by training, the current employer would be unable
analyzing the four hypotheses discussed above to recoup its overall investment. As a result,
in relation to the various empirical research and companies have no incentive to pay for general
literature that is available. By providing an training and it is the workers themselves that
analysis of the empirical literature as it relates to will need to bear this cost (Frazis and Spletzer,
the four hypotheses, one will be able to gain 2005).
greater insight into the impact that training has In contrast, specific on-the-job training is
on employee commitment. training that increases the workers productivity
and output only at the company that provides it.
Training and Employee Investment The training is “specific” to that particular
company only. Examples of specific training
As discussed earlier in this paper, an may include learning to drive a tank or operating
investment is a contribution that an employee machinery that is company specific.
makes today in anticipation that the benefit and
Specific on-the-job training also differs from
“pay off” will be achieved in the future. Howard
general training in that it is typically the
Becker (1960) identified these investments as
company and not the individual worker that
“side bets”. In many aspects, training is one such
bears the cost of the training. The thought is that
“side bet” that may increase employee
because training is specific to the individual
investment and commitment. The question is
company and nontransferable, the productivity
how does training achieve this?
of the worker increases for that particular
Gary Becker (1993) sought to better company, but would remain the same for any
understand the relationship between the costs other organization within the labor market. As a
and returns to training by identifying two result, it is unlikely that specific training would
mutually exclusive forms of training – general result in turnover.
training and specific training. General training is
Gary Becker’s argument essentially states
training that provides the worker with skill
that the more specific the training the less likely
development not only applicable at the present
Brum – Training and Employee Commitment 6

turnover will occur. As the skills obtained are investing in general training while assuming the
non-portable and non-transferable to other skills being taught are company specific. From
organizations, this type of specific training is an investment perspective, commitment can be
paid for by the employer. In turn, employees obtained due to the investment in time and
typically receive less pay during the specific energy involved in the training process.
training period in anticipation of future wage Regardless of the specificity of the training, the
increases. By contrasting Becker’s model with a time and effort that an employee puts forth in
commitment approach one can see that the any training program can lead to a more
employee’s investment of time and the committed worker. Along these lines, Krueger
anticipation of higher wages as potentially and Rouse (1998) found that general training
leading to an increase in commitment. Training and specific skills are many times embedded in
in this context becomes a “side bet”. The one another. They found that employees that
investment of time and effort expended during attended training, regardless of its specificity,
the training process is one such factor that may became more invested employees. These
enhance an employee’s commitment to the employees were shown to seek more job
organization. upgrades, receive more performance awards, and
Another example that expands upon have better job attendance than those that did not
Becker’s model is the blending of general and attend training. The “general skills” training
specific skills. Becker’s model argues that program which was paid completely by the
general training would lead to an increase in employer essentially led to less employee
turnover and that companies have little reason to turnover. It can be argued that the expenditure of
invest in it. Several studies have proven that effort and time led these employees to become
companies do invest in a blended form of more committed to the organization.
general-specific training, many times without In contrast to Becker’s belief that companies
even realizing it. Acemoglu and Pischke (1999) have little reason to invest in general training,
argue that general and specific skills are from a commitment perspective one is able to
complementary to one another. They indicate ascertain several benefits to doing so. As stated
that organizations indirectly invest in general throughout this section, the time, energy, and
skills while providing skills that are presumed to effort, that employees display in any type of
be “firm-specific”. By researching the data from training can result in a more invested and
the Employer Opportunity Pilot Project and the committed employee. Training, whether it is
National Longitudinal Survey of Youth, general or specific, can be viewed by the
Lowenstein and Speltzer (1999) found that 63 employee as a current investment that may offer
percent of employees that received training a greater “pay off” at a later date. This increased
reported that the majority of the skills obtained investment on the part of the employee ties them
were transferable to other organizations. A third closer to the organization (Scholl, 1981). Should
study determined that the majority of training the investment achieved from training become
programs result in generating skills that are linked to part of a more global human resource
transferable to other organizations. Over 90% of strategy within the organization, then
the employees believed that the skills obtained commitment will grow even more (Bartlett,
were portable outside the company. In addition, 2001).
employers paid for some piece of the training in In addition, general training that is unable to
over 84% of the cases (Green et al., 2000). The increase commitment through investment, may
studies provide affirmation that most training be able to accomplish it through reciprocity. As
entails a greater general component than many will be discussed in the next section, an
believe. employee may desire to remain with the
These results can be tied to employee organization in order to repay the employer for
commitment in a variety of ways. As indicated providing general training. Although not
above, there are many organizations that are achieved through investment, reciprocity may
Schmidt Labor Research Center Seminar Research Series 7

provide an additional reason for an organization could argue that training was able to enhance the
to invest in general training. employee’s sense of debt towards the
organization. The result is a more committed
Training and Reciprocity employee that has a greater desire to remain. In
this example, reciprocity holds that the
Reciprocity essentially states that an
employee received a “benefit” of training from
employee will help the company because the
the company and will attempt to repay it in the
company helped them. This parallels the notion
future. In essence, the employee will need to
of the employee having a “sense of debt” toward
remain committed to the organization until the
the organization. Research on this element of
“benefit” is paid off (Scholl, 1981).
commitment indicates that training can play an
integral role in building a sense of debt to the Barrett and O’Connell (2001) clearly
company. Training that achieves reciprocity in portrayed the idea of reciprocity in their
the employee will foster an individual’s empirical research of organizations in Ireland.
commitment to the organization. The researchers found that because of the
transferability of skills that general training
Many scholars agree that organizations that
offers, employees devoted greater effort and
train their employees consistently have better
energy to general training. Barrett and
outcomes than those that do not. When business
O’Connell found that the outcome of training
environments change quickly and abruptly, it is
depends on the effort that the participants put
typically the companies with the best trained
into it. The greater the sense of debt incurred
employees that adapt and adjust most efficiently.
with the training program, the more of a return
Glance, Hogg, and Huberman (1997) determined
on the investment that organizations will secure
these statements to be accurate in their study that
from the employee. From an employee
looked at training and turnover from the
perspective general training was found to be
perspective of evolving organizations. The
more valuable to employees than specific. Since
researchers affirmed that training encourages
a great deal of research indicates that general
“spontaneous cooperation” in many large
and specific training are many times enmeshed
companies. Even in fast moving and ever
and intertwined in each other, it may best serve
evolving industries, the cooperation that can be
organizations to promote and encourage
achieved through training could lessen the need
participation in general training programs.
for complicated company policies. From a
reciprocity perspective, one can ascertain that Employees many times view general
this “spontaneous cooperation” which results training as a “gift”. The employers disregard for
from training is due to the training participant’s the portability of the general skills being taught,
sense of debt to the company. These fast paced, signals to the employee that the organization is
ever-changing industries need to retain committed to them. In line with reciprocity,
employees in order to achieve company goals Barrett and O’Connell (2001) view this “gift” as
and gain a competitive advantage. As the study being a type of self-fulfilling prophecy.
found, organizational training can offer these Organizations that invest in and provide general
employees an opportunity they may have not training make the participants feel like
been able to achieve elsewhere. This translates “insiders”. The sense of being an “insider” is
to the employee feeling a sense of debt to the displayed in the employee’s exertion of more
company and desiring to “spontaneously effort, improved work ethic, and increased
cooperate” as a means of repaying the reward productivity. The “gift” led to the development
that they received. of a sense of debt to the company. In order to
repay this debt, the employee became more
Ronald Burke (1995) found that employees
committed and devoted to the organization.
that participated in the most number of training
programs and rated the trainings they attended as
most relevant, viewed the organization as being Training and Social Identity
more supportive, looked at the company more There is a significant body of literature that
favorably, and had less of an intent to quit. One suggests that an individual’s identity is closely
Brum – Training and Employee Commitment 8

related to their employment. In turn, training that to building commitment. Social support for
serve’s to increase an employee’s identification training is a major factor in ensuring its
with the organization is likely to produce a more successful integration. Support from upper
committed worker. Upon hire, training is management, middle managers, and colleagues
typically one of the first human resource can significantly impact the level of investment
practices that organizations offer to their new an employee will make. Cues from these people
employees. Training plays an integral role in the and from company policies can send a message
socialization process for many employees. to employees regarding the importance of
Employees enter the employment relationship training. The more positive the cues, the more
with many expectations and desires. When these likely training will enhance an employee’s
expectations and desires are fulfilled, then the identification with the company. As a result,
employee is able to better identify with the employee commitment is enhanced due to the
company. The result is an employee that perceived support that one receives from
becomes more committed. In turn, when a colleagues and managers.
training program fails to meet these Fostering an environment where
expectations, then there is usually a negative participation in training programs are
attitude change. These unmet expectations can encouraged and linked to an overall human
lead to a decrease in commitment and a greater resource strategy can have a significant impact
likelihood of turnover (Tannenbaum, Mathieu, on an employee’s level of commitment. In these
Salas, and Cannon-Bowers, 1991). The decrease organizations, commitment is likely to be
in commitment can be directly related to the higher, as employees are better able to identify
employee being unable to identify with the with the organization (Bartlett, 2001). Training
organization. In contrast, when employee can be utilized as a tool that serves to entrench
expectations and desires are achieved through the employee deeper into a particular social
training the worker is able to feel a greater identity. Doing so will make it more difficult for
connection. the employee to change and more committed
A study of several British companies found overall (Scholl, 1981).
that when training sought to enhance and
develop a “culture of identification” between the Training and Lack of Alternatives
organization and the employee, the intention to
Training that serves to limit alternative
search for another job decreased substantially
employment options can be best described by
(Green et al., 2000). This can also be seen when
the work of Gary Becker. Becker’s study of
one looks at the companies in Japan. Japanese
human capital in relation to general and specific
companies prefer to train employees internally
training was discussed in earlier sections of this
in the form of on-the-job training programs. A
paper. Becker’s model and ideas related to
main reason for this is that outside schooling is
training has been widely researched and debated
thought to reduce commitment. Internal on-the-
among scholars. Becker (1993) argues that
job training in Japan has a “commitment-
general training, due to the portability of skills
maximizing” logic as it promotes a greater level
acquired leads to an increase in turnover; while
of socialization. This company specific
specific training, due to the non-transferability
socialization encourages employees to identify
of skills acquired leads to less of an impact on
solely with the organization. The internal
turnover. Holding aside the argument of the
training provided in Japan is said to increase
blending of general and specific training
identification and boost attachment. The result is
discussed previously, Becker’s theory appears to
an employee that is more committed to the
directly apply to the role of training in limiting
organization (Lincoln and Kalleberg, 1996).
alternative employment options.
Training that attempts to increase
There are many scholarly journals that have
identification with the organization is greatly
defended Becker’s position that specific training
enhanced when used within a strategic approach
leads to a decrease in turnover. Lisa Lynch
Schmidt Labor Research Center Seminar Research Series 9

(1991) found that young workers that specificity of the training leads to an employee
participated in formal and specific on-the-job having less employment options.
training were much less likely to terminate the Becker’s model also states that many
employment relationship than workers that organizations will provide additional wages to
received off-the-job generalized training. an employee following training as a means of
Several studies examined the “cherry-picking” ensuring their tenure. Employees that
phenomenon where companies wait until participated in a formal and specific company
employees are trained by other organizations training program were found to have higher
and once trained the employees are hired away earnings than employees that were trained at an
to other companies. It has been noted that outside school (Eck, 1993). The increase in
organizations often prefer to “steal” these newly wages can also tie an employee closer to an
trained employees because they will produce at a organization. The higher the wage achieved
higher level (Glance et al., 1997). The company from the completion of training the less likely
that pays for the training though is the one that other employers would be able to pay a similar
loses its entire investment should the employee wage. The increased wage may place further
be “stolen”. In the end, it is non-portable limits on an employee’s ability to search for
specific training that is much more attractive to alternative employment. The training specificity
organizations as it eliminates the chance that the may serve a dual role both in the skills acquired
trained employee will be “hired away” (Lynch & and in the enhancement of wages. The result of
Black, 1998). This parallels the reasoning this dual role is that it begins to limit the
behind Becker’s argument that organizations alternatives available and makes leaving the
have little incentive to pay for general training. organization a less desirable option.
Numerous other studies also support As described in previous sections, research
Becker’s human capital model of training. indicates that receiving training that is purely
Jeffrey Groen (2006) states that companies in specific is challenging. A great number of
small markets have a greater incentive to invest research studies conclude that general training
in training that is company specific. Groen and specific training are enmeshed in one
argues that as the market size expands training another. Many times there is a very unclear
has a tendency to become more general and the disparity between the two types of training.
likelihood of turnover begins to increase. Frazis Although this disparity may appear to contradict
and Speltzer (2005) through an analysis of the the research discussed in this section, from the
1979 National Longitudinal Survey of Youth perspective of available employment options, it
and various scholarly journals also found is evident that as an employee’s skill set
support for Becker’s theory. The researchers becomes more specific the fewer alternatives
found that employees that receive specific they will have. The more that training is able to
training have a lower probability of quitting than contribute to the development of these purely
employees who do not. specific skills, then the more committed
The research shows significant support for employees will become.
Becker’s theory of human capital. Many of the
studies were highlighted above as they lend CONCLUSION
credence to the effect that training can have on Commitment within the workplace typically
limiting an employee’s alternatives. All the results from the interaction and the relationship
studies conclude as Becker did, that the more that an employee has with an organization
specific the training the less likely turnover will (Scholl, 2003). Along these lines, Richard
occur. Specific training leads to the development Walton (1985) looked at the establishment of
of skills that are non-portable and highly specific commitment in an organization within a very
to the training organization. As the skills broad framework. “Stretching objectives”,
attained become more specific the likelihood providing assurances to employees, encouraging
that the employee will terminate the employees to have a “voice”, and compensation
employment relationship decreases. The policies are a few of the strategies that
Brum – Training and Employee Commitment 10

organizations must incorporate into a compensation plans, have shown to further


commitment-based approach. Training is one of enhance employee commitment (Green et al.,
several human resource practices that can have a 2000).
considerable impact on employee commitment. Social support and access to training can
As stated throughout this paper, training that also play a significant role into the level of
seeks to improve employee investment, increase commitment that is established. Employees are
reciprocity, helps the employee identify with the likely to place greater value on training
organization, and serves to limit alternative programs that are highly respected by
employment options will enhance the colleagues, supervisors, and managers.
employee’s commitment to the company. The Organizations that are able to create an
result of this will be an organization that is better environment where training is supported and
able to retain its workforce. Patrick Owens’ valued by employees will be able to achieve
(2006) study on the relationship between greater commitment outcomes (Bartlett, 2001).
training and organizational outcomes found just Management behavior was one of the most
that to be true. The Owens study hypothesized notable determinants of successful training
that employee’s in training programs will report programs. Employee commitment was found to
higher levels of commitment and will be less be higher in organizations where management
likely to consider turnover. The research allowed access to and candidly supported
affirmed the hypothesis that training has a employee training (Heyes and Stuart, 1996). The
positive impact on commitment and turnover underlying philosophy is the need for
cognitions. Many other scholars and management to acknowledge and openly accept
practitioners in addition to Owens have had the legitimacy of the commitment-based strategy
similar research findings. (Walton, 1985).
Scholars and practitioners also agree that The relevancy of training also plays a role in
although training can positively impact establishing employee commitment. Employees
commitment, simply providing training to enter into training programs with specific
employees is not enough. The benefits of expectations and needs. The result of training
training will be achieved only to the extent that programs that do not meet the expectations and
the employees accept it and contribute to it. As a needs of participants may be lower commitment,
result, an organization needs to seriously negative attitude change, and an increase in
determine what it is looking to achieve within turnover. One study found that training
the training program as well as the impact it will participants that received “realistic notices” and
have on employee effort, commitment, and accurate training information prior to training
turnover (Glance et al., 1997). Within this reported better outcomes than those that did not
context, training becomes most effective in receive any information regarding the training
enhancing commitment when it is used in process. The participants that were provided
conjunction with other commitment-based with pre-training information viewed that
human resource policies and strategies. training as more relevant and entered into the
Training that coincides with other training with accurate expectations
commitment generating human resource policies (Tannenbaum et al, 1991). In addition, the
is typically associated with a greater level of employees that viewed training as the “most
employee retention. Many scholars have found relevant” to their current jobs were able to attain
that regardless of whether companies pay more positive commitment outcomes and had
entirely for general or purely specific training, less of an intent to quit (Burke, 1995). In order
when other commitment policies are in place to use training as a mechanism to build
there tends to be a downward impact on commitment, organizations need to ensure that
mobility. A human resource approach that seeks trainings are relevant, are communicated
to “bundle” commitment policies, such as effectively, and are able to meet the expectations
linking training to employee appraisal and of the employees participating.
Schmidt Labor Research Center Seminar Research Series 11

Organizations also need to strategically and professional. Although training can play a
determine who is going to pay for the training. major role in this process, organizations need to
Payment made by the employee or by the look at additional work force strategies and
organization may lead to two very different practices that can enhance commitment.
outcomes. Companies need to be aware of the Training alone may offer many benefits but a
consequences of each approach. General much greater impact will be found when using a
training, which is transferable to other strategy to human resources that entails many
organizations, would likely be paid for by the different organizational commitment practices
employee. Company specific training, on the and policies. Organizations need to strategically
other hand, would likely be paid for by the and methodically develop human resource
company as the skills acquired are non-portable. practices that are designed to fully achieve
For organizations that are able to invest in commitment (Heyes et al., 1996). Based on the
purely specific training, the specificity of the principles identified throughout this paper, an
skills developed may result in limiting effective training program is one such
alternative employment options for workers. organizational practice that can lead to greater
This will serve to enhance and increase employee commitment and a more stable
employee commitment. As a result, companies workforce.
may be more open to paying for this type of
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