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On Friday last week, Bath & Body Works announced the launch of “Investing in You,” an employee tuition program including benefits from a $3,000 education reimbursement stipend to a tuition-free platform for obtaining degrees.
That’s right, the ‘Home of America’s Favorite Fragrances’ is turning its attention from personal care to personal development for its employees.
The news should certainly smell sweet to its 57,000 employees, who now have greater access than ever to education that can elevate their professional careers and personal lives alike.
And, with the scholarships also available to the families of associates, it totals a monumental investment by the fragrance company in the development of its workforce. But whatever the cost, a program of this kind is a no-brainer for Bath & Body Works – and it should be for your company, too.
“‘Investing in you’ fosters associate growth, development and retention”
There’s a lot to be excited about. ‘Investing in You’ includes access to Guild Education, a program that allows associates to obtain tuition-free General Education Diplomas (GEDs), associate or bachelor’s degrees, and other certifications.
There is also a scholarship fund including 20 $5,000 scholarships per year for US associates, dependents, and spouses for any post-secondary educational opportunity. A further scholarship offers associates, their dependents, and their spouses discounted tuition at Otterbein University in Westerville, Ohio.
Or, if employees prefer, they can take advantage of a $3,000 per calendar year education reimbursement stipend for work-related undergraduate, graduate, or GED coursework.
Many Americans are unable or unwilling to access the greater earnings potential associated with post-secondary education due to the astronomical cost of attending college, which leaves many saddled with overwhelming debt. In pursuit of the great American Dream, there are simply too many barriers in place.
Tuition programs like ‘Investing in You’ propose to fix that. They greatly increase the accessibility of further education, opening up new career possibilities that can carry financial and professional rewards.
Bath & Body Works rightly asserts that ‘Investing in you’ will foster the “growth, development and retention” of its employees, benefits which await any employer that creates a compelling employee tuition program.
Eight in ten employees who participate in tuition assistance programs say it makes them more likely to stay with their employer, and PwC’s latest research on the Great Resignation finds that workers are placing a huge value on the level of skills development on offer to them.
And if that isn’t enough to convince you of the benefits, other employers that have launched employee tuition programs offer a valuable case study.
Chipotle, for example – which saw the retention of staff who participated in a tuition assistance program nearly double in just five months compared to those who didn’t take part – is further proof that workers value meaningful commitment to their education.
Or there's Papa John's, whose “Dough & Degrees” program, launched in 2019, allows workers to finish high school, earn a bachelor's or master’s degree, or achieve another professional certificate; and offers employees tuition reimbursement, student loan repayment, or even free education to help them do so.
29% of the program’s participants have been promoted after starting the program, and the pizza chain's Chief People & Diversity Officer says it has been hugely valuable in recruiting and retaining front-line staff.
Employee tuition makes Bath & Body Works a “stronger, smarter business”
Programs like Investing in You also help employers develop organizational capabilities.
“We are committed to providing growth and development opportunities which give our associates what they need to be at their best both personally and professionally,” says Gina Boswell, Bath & Body Works CEO. “We believe that when people feel valued and empowered to be successful, we can continue to grow as a stronger, smarter business.”
Education is an investment in an employee’s future. But it is also an investment in the business, and the most effective employee tuition programs are at least in some way directed toward the company’s growth.
The $3,000 yearly education reimbursement at Bath & Body Works, for example, must be toward a course that is “work-related.”
This approach gives associates the guardrails to make sure their education is nominally directed toward increasing job and career prospects but also ensures that the skills and capabilities they develop are in line with the company’s broader needs.
Being able to demonstrate how an employee tuition scheme, which is clearly a substantial layout for any employer, directly benefits the business will be necessary to ensure the program is a long-term commitment.
So, be like Bath & Body Works, and commit to supporting your employees with their education. You’ll be a stronger, smarter business for it, with more engaged and loyal workers to boot.
