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Companies are failing to upskill their workers and one group of women are the biggest losers   

By
Sara Braun
Sara Braun
Leadership Fellow
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January 29, 2025, 8:30 AM ET
a woman points out data on a computer screen
It's not going great for companies looking to bring their employees to the next level.Kindamorphic—Getty Images

You can’t go for too long in a workplace these days without running into one of the most pervasive buzzwords in recent memory: upskilling.

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Born out of a crucible that includes rising student debt and waning interest in advanced degrees, upskilling is the process of providing additional education and training to expand an employee’s skill set, and prepare them for evolving job roles. It has become increasingly popular among leaders and employees alike, especially as AI becomes a bigger part of working life. 

But a new report reveals that most companies are actually pretty terrible at upskilling their workforces. Only 3.8% of employees are learning new skills on the job within two years of being hired, according to ADP’s recent People at Work 2025 Report, based on data collected from 38,000 working adults across 34 markets. And just 17% of workers strongly agree when asked if they believed their employers were investing in their skills. 

And like most other different aspects of the workplace—including wages and leadership representation—upskilling also has a gender problem. But notably, this seems to be isolated to North America. Around 22% of men in the region reported feeling that their employer invests in the skills they need to advance their career in the future, while just 15% of women felt the same way. 

All in all, the report paints a fairly devastating picture about how employers are falling short, especially considering how important upskilling can be for retention. Workers said that flexible work schedules and career advancements were their top two reasons why they would stay with their employer. And employees who receive training describe themselves as 3.3 times more productive than those who do not. 

“Employers who devote resources to on-the-job development can build a more highly skilled workforce,” write Mary Hayes, Jared Northup, and Nela Richardson, who all contributed to the report. “And that investment can result in teams that are more productive and loyal to the organization.”  

Sara Braun
sara.braun@fortune.com

Around the Table

A round-up of the most important HR headlines.

The number of U.S. workers with more than one job is the highest it’s been since 2019, as remote work has allowed more people to take on side hustles. Washington Post

President Trump has fired Gwynne Wilcox, head of the National Labor Relations Board, in a move she described as “unprecedented and illegal.” The Guardian 

Consumer confidence about the job market fell to a four-month low in January, amid lengthy job searches and unease about how Trump’s policies will affect the economy. Bloomberg

Watercooler

Everything you need to know from Fortune.

Gen Z, you’re fired. Bosses are rapidly letting go of young workers just months after hiring them, with 75% of companies finding recent graduate hires unsatisfactory in some way. —Orianna Rosa Royle  

Just did it. How Nike’s new CEO worked his way from intern to the top—and why he ended his short-lived retirement. —Emma Burleigh

How to avoid a “ghost job.” Job-seekers are facing more and more deceptive job listings and applying for roles that don’t exist. —Chloe Berger

This is the web version of Fortune CHRO, a newsletter focusing on helping HR executives navigate the needs of the workplace. Sign up to get it delivered free to your inbox.
About the Author
By Sara BraunLeadership Fellow
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Sara Braun is the leadership fellow at Fortune.

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