By Noelle Hartt | 08/05/2025
Skill gaps are unavoidable, even among seasoned professionals. As consumer preferences, global trade conditions, and emerging technologies redefine corporate objectives, employers will inevitably note disparities between their talent requirements and employees’ existing skills.
Technical skills and industry-specific “hard skills” are especially susceptible to obsolescence. In fact, actively evolving job functions will likely require 67% of the North American workforce to upskill or reskill by 2030, per a report from the World Economic Forum®.
Career readiness is therefore not a destination, but a journey, and progress is achieved by reskilling and upskilling.
What Is Reskilling, and How Does it Work?
Reskilling is the process of acquiring new competencies that are typically unrelated to an employee’s current role. For example, a staff member who works in customer service and wants to transition to the finance department will need to reskill to develop proficiency in finance job functions.
Companies may leverage partnerships with universities to encourage in-house talent to reskill – and help employees save on the cost of continuing education. Through university partnerships, employers can connect staff members with not only tuition benefits, but also grant programs like TuitionWise from American Public University (APU).
With TuitionWise, students may take online classes and pursue degrees, certificates, and microcredentials at APU with no out-of-pocket tuition expenses.1
What Is Upskilling, and How Does it Benefit Employees?
While reskilling prepares workers to pivot professionally, upskilling builds on employees’ existing capabilities. Through upskilling, workers may develop the knowledge and competencies required to pursue career advancement opportunities in their current fields.
For instance, an entry-level HR assistant might enroll in a master’s degree program to upskill and pursue career opportunities in HR management.
How Do Organizations Benefit from Reskilling and Upskilling Employees?
At first glance, professional development might only seem beneficial to workers – but employers who reskill and upskill in-house teams gain myriad business advantages:
Increased efficiencies: By leveraging underutilized employees, organizations can increase their output without expanding their workforces.
Reduced hiring costs: Companies that invest in their employees’ professional development experience 77% higher employee retention rates than those that do not, according to HR Daily Advisor.
Improved employee loyalty and job satisfaction: Employees feel appreciated when employers show an interest in their long-term career development. In fact, 84% of workers said they would be loyal to organizations that invested in their education, according to EdAssist®, a leader in workforce development and an American Public University (APU) partner.
Moreover, employees with diverse skill sets help foster agile operations, working across teams to reach company goals amid shifting industry standards.
Who Is a Candidate for Reskilling and Upskilling Programs?
Reskilling and upskilling programs can be appropriate for all employees, from frontline and entry-level workers to mid-level managers and corporate executives. Continuing education helps to hone technical competencies as well as “soft skills,” like communication, critical-thinking, and leadership abilities.
How Do Education Benefits Streamline Reskilling and Upskilling Efforts?
Education benefits reduce out-of-pocket tuition expenses for employees who reskill or upskill through university programs. Some common examples of education benefits include direct billing, also known as “tuition assistance,” and tuition reimbursement. Overall, employers agree that these benefits are worth the investment, according to a 2024 study by American Public Education, Inc. and Hanover Research.
Students at APU may apply education benefits toward:
- Degrees
- Certificates
- NanoCert® microcredentials
- Individual online courses
Continuous Learning Is the Key to Sustaining a Competent, Agile Workforce
Just like equipment and machinery, skills can degrade over time without proper care. Industry standards and business objectives are perpetual moving targets that render career-long education not only beneficial, but also necessary. Thus, reskilling and upskilling initiatives are fundamental for the success of workers as well as the organizations they serve.
Learn more about TuitionWise and how employees can pursue career-relevant knowledge and skills with no out-of-pocket tuition expenses at APU.1
1 This program is available to eligible participants only. No out-of-pocket tuition cost may be possible through the use of an employer’s tuition assistance benefit, combined with an APU partner grant. Some programs also may include in-person activities, such as practicums or labs, and other fees, which may result in additional costs to the eligible participant.
World Economic Forum is a registered trademark of World Economic Forum.
EdAssist is a registered trademark of Bright Horizons Family Solutions LLC.