Austria: Apprenticeship training pays off - valuable investment for companies

Since the 1970s, regular studies have assessed the costs and benefits of company-based training. At the end of 2024, a report on the professional image screening was published, providing a cost-benefit analysis of apprenticeship training.

Costs and revenue

The report reveals that, based on the latest data from 2023, the average costs to train an apprentice in Austria over three years is around EUR 33 000, after deducting the value for productive work and the basic subsidises. Most costs arise from apprentice salaries, training staff and material. While productive work generates some revenue, it does not fully offset these costs.

Training costs compensated by recruitment savings

The net costs of apprenticeship training look very different when considering post-training benefits and the costs of recruiting skilled workers. In 2023, hiring a skilled worker – including the search, selection and induction of staff – costs companies an average of EUR 34 000. These costs rise with higher staff turnovers.

Companies that hire their former apprentices avoid these recruitment costs. For example, companies with a 30% staff turnover replace a skilled worker every three years. As their investment in apprentices is similar to recruitment costs for new employees, apprenticeship training generally pays off within three years. Moreover, apprentices typically stay with the company for an average of 2.4 years after training, reducing the need for further recruitment. The higher the staff turnover, the sooner the apprenticeship training pays off. It is therefore unsurprising that 84% of the surveyed companies stated that they were very or fairly satisfied with the cost-benefit ratio of training.

Additional benefits

Beyond economics, companies indicate several other reasons for providing training. Most importantly, they can prepare skilled workers with the specific qualifications needed in-house. Many companies see it also as their responsibility to support local and regional skilled labour supply. Other advantages include improving the company’s image, boosting attractiveness to external workers, developing targeted skills and fostering a culture of continuous training.

Conclusion

Apprenticeship training pays off – in more ways than one. During the apprenticeship period, companies benefit from productive work, avoid recruiting external skilled workers and strengthen employee loyalty. They also gain cultural and strategic advantages beyond purely economic ones. With demand for skilled workers rising, investing in apprenticeship training remains a smart choice for companies and the public sector, making it an even more attractive option to move forward.

Further links:

• A & W Blog on the study (2025, June 16). Investition in die Lehrlings­ausbildung zahlt sich aus. (Investment in apprenticeship training pays off).
• Löffler, R.; Kessler, G.; Schnell, Ph. (2024). Berufsbildscreening und Kosten-Nutzen-Anlayse der Lehrlingsausbildung (Job profile screening and cost-benefit analysis of apprenticeship training).