How Does Tuition Reimbursement Benefit the Employer?
Creating programs that invest in an employee’s professional development has become a central focal point for forward-thinking organizations in the past few years. According to LinkedIn’s 2021 Workplace Learning report, 59% of Learning and Development leaders identified upskilling and reskilling as one of their top-priority programs. Leaders in all sorts of industries are recognizing that supporting the professional growth and learning of their employees builds a strong brand while keeping employees engaged and excited about their jobs. With today’s national talent shortage, business leaders should be doing all they can to keep their loyal and hard-working staff members on board. The truth of the matter is that if companies want to keep their best employees around, they need to take an active interest in those employees’ careers by offering strong reskilling and personal development opportunities. One of the best ways to do this is by offering tuition reimbursement.
In this blog, we’ll explain how a tuition reimbursement program works, why it’s an excellent investment, and how giving employees the opportunity to explore coding continuing education is beneficial for everyone involved.
What Is Tuition Reimbursement?
An employer tuition reimbursement program allows a company to cover either a portion or all tuition costs of an employee’s continued education. Tuition reimbursement can be used for any kind of educational program so long as the program falls within the business’s tuition reimbursement guidelines. These benefits can cover one-off courses, certifications, conferences, or even undergraduate or graduate degree programs that relate to the employee’s current role in the organization.
How Does Tuition Reimbursement Work?
Tuition reimbursement guidelines vary from company to company. However, there are many resources available for employers to help understand what is needed to properly set up these programs. As a rule, a lot of thought and care goes into selecting reimbursement options that are mutually beneficial for businesses and their workforce. For the most part, companies can set their own regulations according to their preferences but there are a few steps that need to be taken to ensure that the tuition reimbursement policy is legally compliant. SHRM has an excellent resource that outlines the specific legal qualifications for an employee educational assistance policy.
Is Tuition Reimbursement a Good Idea?
In short, yes tuition reimbursement is a win-win for everyone involved. Impressive return on investment capabilities, increased wages, and surges in employee satisfaction are just a few examples of tuition reimbursement benefits that companies and their employees enjoy. Read more about the statistics surrounding these benefits below.
Tuition Reimbursement Saves Everyone Money
Some of the most impressive tuition reimbursement statistics have to do with how much money it saves. Although it may seem like a lot of money to invest in one area of business, these reimbursement programs actually end up saving businesses money in the long run.
A two-year study conducted by the Lumina Foundation found that tuition reimbursement programs have a 129% return on investment, which means for every dollar the company invests an additional $1.29 is generated. This return on investment can be measured in several ways, including reduced recruitment, turnover, and onboarding costs. In addition, generous tax breaks are offered to companies with tuition reimbursement programs. Employers are able to deduct up to $5,525 worth of reimbursements per employee every year.
On the employee side of things, the same Lumina Foundation study found that employees who benefit from a tuition reimbursement program are 43% more likely to receive higher wages than their counterparts.
Tuition Reimbursement Keeps Talented Workers Happy
In addition to monetary incentives, tuition assistance programs also help companies retain talented staff members. Taking a proactive approach and investing in employees’ professional development keeps those workers from leaving and seeking growth opportunities from another employer. Companies that offer these programs are especially popular with younger generations. A study conducted by Brighthorizons found that 88% of Gen Z workers say they are more likely to recommend their employer if the company offers substantial educational benefits.
The Benefits of Coding Continuing Education
Coding certifications or coding courses are some of the most beneficial educational programs for employees to take advantage of. Here are a few reasons why.
Tech Skills Are In Demand
As technology continues to advance in every industry, the need for skilled tech-savvy staff becomes even greater. Therefore, employees who know how to code can prepare companies to face new challenges in this rapidly changing digital business environment. Investing in educational programs that teach existing employees coding techniques provides employers with in-house tech experts and eliminates the headache of outsourcing and recruitment.
A Coding Education Is Beneficial for All Team Members
Just learning the basics of coding can enhance an employee’s creativity, problem-solving, and general technical skills. Even staff members who work in non-technical roles can benefit from a coding course. Non-technical employees who possess a solid understanding of coding basics are better prepared to help the entire business unit rise to the occasion as technology continues to evolve. Therefore, companies whose employees benefit from a coding education are better equipped to face the challenges of a tech-centric business world.
Eleven Fifty Academy’s Coding Bootcamps Can Skill-Up Your Workforce
At Eleven Fifty Academy our corporate training programs allow employers to give their staff an opportunity to develop new coding skills. Our programs can be adapted to meet the business needs of any company, no matter the size or coding skill level of their workforce.
Our team of industry professionals is armed with state-of-the-art tech tools to ensure that all learners stay up-to-date with the newest coding technology and industry best practices.
If you think these courses could benefit your team, test out one of our free introductory online courses and discover how our bootcamps can help your employees broaden their professional skill-sets!