EdCast Data Shows a 39% Increase in Retention for Employees With 40+ Learning Hours
Employee retention South Africa is a growing commercial challenge for HR and talent leaders. In practice, the ability to predict which employees are likely to leave gives organisations a significant advantage. As a result, the findings from EdCast’s five-year study are worth every HR director’s attention.
The Great Resignation continues to make headlines. Attracting, developing and retaining talent costs the US economy $1.8 trillion per year and $7 trillion worldwide. In addition, turnover carries hard costs beyond the financial. Intellectual capital loss weakens teams. Employee churn reduces morale and performance across the organisation. The commercial impact is significant and often underestimated.
Several factors contribute to turnover. However, a consistent one is the perceived lack of development opportunities. Most employees want to learn, grow and build their careers. The EdCast LXP addresses this directly. It offers a breadth of learning opportunities that connects to employees’ genuine interests and career goals. In addition, a growing body of management literature confirms that engaged employees perform better, experience less burnout, and stay in organisations longer. As a result, EdCast investigated the correlation between learning activity on the platform and actual employee retention outcomes.
EdCast's Study: What the Data Reveals About Learning and Retention
EdCast conducted a study to identify a predictive indicator of employee churn. Specifically, the team obtained LXP platform usage data for a medium-sized organisation over a five-year period. In addition, all data came from EdGraph, EdCast’s built-in data and reporting tool.
The study examined several performance measures. These included content completions, social activity and employee learning hours. After running linear regressions across these metrics, learning hours showed the highest impact on employee retention. In practice, two key measures were used:
- Account status of users on the platform, whether “active” for a current employee or “suspended” for a churned employee.
- Measurement of tenure in months, calculated by subtracting the employee’s first engagement on the platform from the date of departure.
In the figure below, trendlines show that active employees accumulated significantly more learning hours than employees who ultimately left the organisation.
The Numbers: What 40 Learning Hours Mean for Retention
After splitting employees into two groups (above average and below average based on learning hours), the above average group had a survival rate of 85.8% while the below average group had a survival rate of 61.4% for all employees during the five year period. The average number of learning hours for all employees in the study was 40.1 hours.
At the 1-year mark, the average churned employee had 9.3 hours on the LXP versus 28.8 hours for the average active employee. These results show that employees who spent at least 40 hours on the Learning Experience Platform (LXP) were 39% more likely to stay than employees who spent a fewer number of hours.
What This Means for HR and Talent Leaders in South Africa
The value of this insight is considerable. In practice, organisations with access to this data can take proactive steps. Specifically, they can ensure redundancy of knowledge and skills before gaps emerge. In addition, they can outline more effective succession strategies and plan for potential vacancies before they become urgent. As a result, HR and talent leaders can shift from reactive to predictive talent management.
This study demonstrates a strong correlation between learning, skills development and employee retention. Employees who feel in control of their professional development are less likely to leave. In addition, those who actively use learning platforms stay longer and perform at a higher level. As a result, investment in a quality learning experience platform is not only a development initiative. It is a retention strategy.
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About EdCast LXP: South Africa's Learning Experience Platform Partner
EdCast offers an industry-leading LXP designed to support learners and organisations in preparing for the future of work. The EdCast LXP is a consumer-grade digital learning experience platform. In practice, it scales to millions of concurrent users and enables a personalised experience. It integrates with a wide variety of trusted sources of learning and works on any device. As a result, it supports upskilling and reskilling at scale. In addition, EdCast LXP integrates with Learning Management Systems (LMS), HR Information Systems (HRIS), Talent Management Systems (TMS) and third-party content catalogues.
LRMG is a strategic EdCast partner in Africa. To find out how EdCast LXP can improve employee retention in your organisation, contact the LRMG team.
Frequently Asked Questions: Employee Retention South Africa and Learning
Why is employee retention a challenge for South African organisations?
Employee retention in South Africa is challenging for several interconnected reasons. Specifically, these include a competitive talent market, limited development opportunities in many organisations, the ongoing impact of the Great Resignation and the growing expectation among employees that their employer will actively invest in their growth. In addition, the cost of replacing a lost employee is significant. It includes recruitment costs, onboarding time, productivity loss and the impact on team morale. As a result, a proactive retention strategy is one of the highest-return investments an organisation can make.
How does a learning experience platform improve employee retention?
A learning experience platform (LXP) improves employee retention by giving employees direct access to learning that connects to their personal interests and career goals. In practice, employees who feel they are growing and developing in their role are significantly less likely to leave. Specifically, EdCast’s five-year study found that employees who spent 40 or more hours on the LXP were 39% more likely to stay than those who spent fewer hours. As a result, L&D investment in an LXP is directly linked to measurable retention outcomes.
What is EdCast LXP and how does it work?
EdCast LXP is a consumer-grade digital learning experience platform that scales to millions of users. In practice, it delivers personalised learning experiences by connecting employees to a wide range of content from internal and external sources. As a result, employees can build skills at their own pace, in the flow of work. In addition, EdCast LXP integrates with existing HR systems, LMS platforms and talent management tools, making it easy to embed into an organisation’s existing technology environment.
How can South African organisations use learning data to predict employee churn?
South African organisations can use LXP usage data to identify employees at risk of leaving before they hand in their notice. Specifically, low learning hours on the platform are a predictive indicator of churn. In practice, EdCast’s EdGraph reporting tool provides this data in real time. As a result, HR and talent leaders can take targeted action to re-engage at-risk employees through focused development plans, coaching conversations or career mapping sessions before the situation becomes irreversible.
How does LRMG help South African organisations improve employee retention through learning?
LRMG is a strategic EdCast partner in Africa. In practice, this means LRMG helps South African organisations implement, configure and optimise EdCast LXP to deliver measurable retention outcomes. As a result, clients benefit from both the technology and the expertise needed to build a learning culture that keeps people engaged and committed. In addition, LRMG supports the broader talent development and talent advisory strategies that make learning investment commercially effective. To find out more, contact the LRMG team.
