Employer Branding: Upskilling as a Strategy in the War for Talent

Why would an intelligent, passionate, ambitious person want to work for us?

In today's competitive job market, where the war for talent has become more intense than ever, that’s the question that every business should be asking itself if it wants to achieve success. The answer, however, isn’t always straightforward. With companies currently facing significant challenges to hiring and retaining talented individuals, it’s essential they adopt innovative strategies to enhance their employer brand, stand out from the crowd and appeal to talented professionals.

One such strategy is upskilling. This involves investing in employee development and training to enhance an individual’s capabilities and keep pace with rapidly changing industry demands. By offering opportunities to grow and learn, companies can make themselves more attractive to potential hires and increase staff retention rates. Here, we look at how upskilling can give organizations a competitive edge in talent acquisition, exploring effective staff development programs and ways to overcome implementation challenges.

The Changing Landscape of Talent Acquisition

The talent acquisition landscape has undergone a significant transformation in recent years, leading to new challenges and opportunities for both employers and jobseekers. As this report predicted way back in 1998, superior talent will be tomorrow’s prime source of competitive advantage - and indeed, that’s where we are now. But what’s driving the current changes?

Shift in Employee Priorities

Recent times have witnessed a seismic shift in talent acquisition across various industries. The global COVID-19 pandemic and subsequent Great Resignation have altered the balance between in-demand skills and the number of candidates possessing those skills. This has resulted in a candidate-driven market, where employers are competing for top talent (though some recruiters argue that this is now changing once again). The pandemic revealed how quickly conditions can change, not just annually, but monthly or even weekly. As a result, access to a broad array of talent and flexible recruitment capabilities have become essential for businesses to navigate this unpredictable environment.

Rise of the Gig Economy

The gig economy has emerged as a defining feature of the 21st-century labor market. It refers to a system where temporary positions are common, and organizations contract with independent workers for short-term engagements. This shift has been facilitated by digital platforms that connect freelancers with opportunities across the globe. The gig economy offers flexibility for both workers and employers, allowing businesses to tap into specialized talent pools and access experts for specific tasks or projects. However, it also presents challenges, such as the lack of job security and traditional employment benefits for gig workers.

Impact of AI and Automation

Artificial Intelligence (AI) and automation have significantly impacted the recruitment landscape. AI-powered recruiting tools are helping companies find and hire the best talent faster, more efficiently, and with greater accuracy. AI is being used in various stages of recruitment, including résumé screening, job description writing, candidate sourcing, and skill assessment. Companies like Google and LinkedIn are leveraging AI to identify qualified candidates and recommend jobs to potential applicants. The use of AI in recruitment offers benefits such as increased efficiency, enhanced candidate experience, and data-driven decision-making. However, it also raises concerns about bias, fairness, and privacy in the hiring process.

Upskilling as a Competitive Advantage in Employer Branding

Attracting top talent through learning opportunities

Upskilling is a vital strategy in attracting top talent. According to Gallup, 90% of millennials say that professional development opportunities are important to them in a job. This statistic highlights the significance of offering growth opportunities in talent acquisition, making companies who do far more attractive to potential hires. In this way, upskilling programs can help companies differentiate themselves from their competitors, strengthen their brand, and position themselves as employers of choice in the ever-evolving job market.

Enhancing employee loyalty and engagement

Upskilling initiatives have a profound impact on employee loyalty and engagement.

LinkedIn revealed that 94% of employees would stay at a company longer if it invested in their learning and development, while Gallup reported that companies with a strong culture of development are twice as likely to retain their employees.

Companies that prioritize employee development create a vibrant workplace culture, transforming disengaged workers into enthusiastic contributors who feel valued and appreciated. This in turn translates into tangible benefits for the organization, reducing staff turnover rates and recruitment costs, and leading to a 23% increase in profitability.

Case Study - VET by EHL

One example of a successful upskilling program is the Vet by EHL apprenticeship model, which provides a structured approach where learning is deeply embedded within the workplace, allowing employees to gain practical skills while contributing to their roles. By offering tailored upskilling pathways such as these, employers can address skill gaps and align training with their strategic objectives, ultimately enhancing both productivity and employee satisfaction.

For instance, in India, the hospitality sector has recently been suffering from a significant skills gap. To address this, the Confederation of Indian Industry (CII) and the hotel chain ITC partnered with EHL to create the VET by EHL Professional Diploma Programs. These upskilling programs aim to equip employees with technical skills and foster a culture of continuous learning and professional growth. Encompassing three levels of learning within 18 months of training, they give employees the skills they need to become top candidates for hotels around the world, while improving consistency, staff retention and guest satisfaction within ITC Hotels.

This approach not only supports the immediate needs of the business but also strengthens the overall employer brand, positioning ITC as a forward-thinking employer committed to the development of its workforce. It’s a prime example of how companies can use apprenticeship models to effectively include upskilling within their broader talent strategy, showcasing a commitment to employee growth that sets them apart from competitors.

Strategies for Effective Upskilling Programs

Aligning upskilling with business goals

As demonstrated above, to get the most benefit out of upskilling, it’s important for companies to align upskilling initiatives with their business objectives, thereby enhancing individual capabilities while also driving organizational growth and resilience. To achieve this alignment, companies should first clearly define their business goals using the SMART framework: specific, measurable, achievable, relevant, and time-bound. Once established, these goals should serve as the foundation for developing targeted upskilling programs.

For instance, if enhancing customer experience is a primary objective, the organization might focus on upskilling employees in customer service, communication, and empathy. Alternatively, if innovation is the goal, the upskilling program could emphasize creative thinking, problem-solving, and technology adoption.

Encouraging self-directed learning

Self-directed learning (SDL) has gained traction as an effective approach to workplace training. This method transfers the responsibility of learning from the instructor to the employee, allowing individuals to direct their learning as they see fit. When implemented properly, SDL can transform workplace culture and productivity.

One of the key benefits of self-directed learning is that it allows employees to choose skills they are genuinely interested in or need the most. This increased interest often leads to higher mastery of the chosen skills. Additionally, self-learners experience 'deep' learning rather than 'surface' learning, as they think critically about tasks and truly understand concepts.

Creating a supportive learning environment

To maximize the effectiveness of upskilling programs, organizations must foster a supportive learning environment. This involves creating a positive atmosphere where managers lead by example, treating everyone with respect and demonstrating enthusiasm for their work. Open communication is crucial, allowing employees to feel comfortable enough to ask and answer questions. Providing frequent praise and constructive feedback is also essential. Recognizing employees for good work, especially in front of others, helps boost motivation. When offering feedback on mistakes, it's important to use supportive language that encourages learning rather than criticism.

Overcoming Challenges in Implementing Upskilling Initiatives

Addressing resistance to change

Organizations may sometimes face resistance from employees when implementing upskilling initiatives. This resistance typically stems from social or personal concerns, such as lack of awareness, fear of job impact, and uncertainty due to past failures. To address this, companies should focus on communicating effectively with employees and understanding their fears. Managers can prevent resistance by emphasizing the benefits of upskilling and involving employees in the process.

Balancing work and learning time

Effective time management is essential for balancing work and learning. Employees should develop a weekly schedule that includes dedicated time for both work and study. Prioritizing tasks based on deadlines and importance helps manage workload effectively. Using tools like calendars and planners can assist in organizing tasks and deadlines. Employers can support this balance by offering flexible working hours when needed, allowing employees to adjust their schedules for exams or assignments.

Ensuring equal access to upskilling opportunities

To promote equitable upskilling, organizations should address financial barriers that may prevent individuals from accessing training programs. Collaborative partnerships between governments, educational institutions, and private organizations can help provide financial support through scholarships or subsidized training programs. Additionally, creating inclusive curricula that consider diverse learners' needs and perspectives helps overcome biases and ensures a more equitable learning experience. Targeted outreach campaigns can raise awareness about upskilling programs and their benefits, focusing on reaching underserved communities and marginalized populations.

The Power of Upskilling

Everyone wants to feel happy and fulfilled at work. In today’s competitive job market, companies that can foster these feelings in their employees are going to have the edge when it comes to recruiting and retaining top talent. Upskilling has emerged as a powerful strategy for doing just that. By investing in employee development, organizations can boost their employer brand, create a vibrant workplace culture, and increase employee engagement and loyalty, making themselves an attractive place for ambitious, talented people to be.

To make the most of upskilling initiatives, companies should align these programs with their business goals, encourage self-directed learning, and create a supportive environment for continuous growth. Overcoming challenges such as resistance to change, balancing work and learning time, and ensuring equal access to opportunities is crucial in implementing effective upskilling programs.

Ultimately, by embracing upskilling as a core component of their employer branding strategy, companies can position themselves as sought-after employers in the ever-changing job market, driving organizational success, resilience, and profitability.

EHL Hospitality Business School
Communications Department
+41 21 785 1354
EHL

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