Tuition Reimbursement Helps Companies Build a Stronger Workforce

Kansas City, Kan.— Even as the national unemployment rate lingers at nearly 10 percent and the economy continues to teeter along the line between recovery and recession, college enrollment rates are booming. Americans are realizing now is the time to finish their education and employers are stepping up to help. The Benefits USA 2010/2011 survey results found 84.7 percent of companies offer tuition reimbursement to their employees.

As far as the types of employees tuition reimbursement is made available to, 38.2 percent are management employees. Companies reimburse technical or professional and administrative employees at a rate of 37.9 and 37.4 percent, respectively. About 33 percent of hourly employees are offered tuition reimbursement, while 45.3 percent of organizations make it available to all employees.

“The economic state of the past couple of years has amplified individuals’ awareness of the importance of education,” said Amy Kaminski, director of marketing for Compdata Surveys, the nation’s leading compensation and benefits survey data provider. “Companies offering tuition reimbursement are not only providing a valuable benefit to employees, but they are creating a more valuable workforce, giving them a competitive edge.”

To receive tuition reimbursement, companies often require employees meet certain conditions. For example, 63.4 percent of companies obligate their employees to continue working for them after being reimbursed, for an average of 15 months. Over 86 percent necessitate that employees take certain courses to meet reimbursement guidelines.

In addition to reimbursement requirements, most organizations impose annual maximums on the amount they will repay, with the amount varying by region. Companies in the Northeast reimburse the most, $4,183 per year, followed by those in the Southeast at $3,871. Organizations in the West have an average annual reimbursement maximum of $3,731, compared to those in the South Central region of the country, $3,716. Respondents in the Midwest report reimbursing employees the least, $3,624. Only 27.2 percent of survey respondents report they don’t cap the amount employees can be reimbursed for tuition.

About the Survey
Benefits USA 2010/2011 analyzes national and regional data on benefits eligibility and administration policies with detailed information on benefit plans, premiums and provisions. Information was collected from nearly 4,500 benefit plans covering over 6 million employees across the country.

Compdata Surveys is the nation’s leading compensation and benefits survey data provider. Thousands of U.S. organizations provide data each year ensuring the reliability of our results. Compdata Surveys has been providing comprehensive data at affordable prices to organizations from coast to coast since 1988. For further information about their compensation and benefits surveys, contact Michelle Willis at (800) 300-9570.
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This press release was distributed through PR Web by Human Resources Marketer (HR Marketer: www.HRmarketer.com) on behalf of the company listed above.