Once it’s understood what is upskilling and reskilling, respectively, the difference becomes evident.
While both terms refer to advancing workers’ current skills or learning additional ones, there is a difference in the purpose of the skill attainment.
Accordingly, employees get upskilled to improve their existing skill set or learn new competencies that will help them be better at their current positions and bring more value to the company.
In contrast, reskilling allows them to learn new abilities to take on a new role at the company, usually in the case when their current position has become non-essential.
Despite the difference in their aims, the importance of upskilling and reskilling in a company is enormous. Above all, they help companies stand out from their competitors by creating agile and diverse personnel who continuously learn and develop their knowledge.
Furthermore, they help attract and retain talent as 94% of employees would stay loyal to a company if it invested in and helped advance their career paths.
According to a survey, companies report a significant impact of upskilling and reskilling training programs in four areas:
- 75% record a considerable boost in company productivity
- 58% note enhancement in employee retention
- 69% say their companies were better at achieving their goals
- 63% noticed an improvement of their reputation
Loran Marmes, the owner of Medicare Solutions, pointed out how companies can introduce upskilling and reskilling to their advantage.
“Upskilling and reskilling are processes of learning new skills to improve work performance. This could mean allowing employees to take short courses, enroll in a degree, or learn new software.
But it can also be as simple as swapping out one tool for another that is easier to use.
There are several advantages to upskilling and reskilling at the workplace.
First, it can help employees do their jobs better, positively impacting productivity and morale.
Second, it can allow them to take on more responsibility and functions, leading to promotion opportunities.
And finally, it can help them keep their skills and knowledge up-to-date, which can help them stay relevant in a rapidly evolving job market.”