News: Performance Management
Step up training efforts instead of cutting back, business leaders urge
23 October 2008
Business leaders in the UK have joined forces to issue an open letter urging bosses not to cut back on training during the economic downturn.
Marks and Spencer chairman Sir Stuart Rose and BT chairman Sir Mike Rake are involved, as is Brendan Barber, general secretary of the Trades Union Congress.
In the document they recommend an increase in training investment, noting that employees' "commitment, productivity and ability to add value" are what keep companies competitive when markets are shrinking.
Commenting on the appeal, skills secretary John Denham said it sends "a very strong message" to British firms about survival during the credit crunch, particularly since it comes from some of the country's most respected business and union leaders.
"We know that companies that carry on investing in training their staff do better when the economy starts to pick up again," he added.
In related news, the deputy general secretary of Unite plans to tell senior representatives from the financial services sector today that they should avoid cutting training budgets in a bid to make short-term savings.
The union's Graham Goddard will point out to the London conference that competing in an "aggressive global sector" hinges on performance management and development initiatives that boost workers' expertise and knowledge.
