Investing in Spanish-Language Upskilling to Retain Latino Frontline Workers

By 2025, half of all new US workers will be Hispanic. Businesses that invest in Spanish-language upskilling and career development for their Latino frontline employees will gain a competitive edge in attracting and retaining talent.

Frontline Workers in the US: The Unsung Heroes of the Economy, and the Cost of Losing Them

Frontline workers are the backbone of the US economy and society. They make up about 70% of the total workforce in the US and generate about $12 trillion in economic output. Any person who works directly with customers, clients or other recipients of services, regardless of their education or industry is considered a frontline worker. They perform the essential work of making our lives possible by providing care for the sick, helping us get the goods we need, preparing our food, and shipping our goods, among many other things.?

Despite their essential work and wide-ranging impact, many frontline workers struggle to earn a livable wage and advance their careers. A recent study found that 37 million frontline workers, equivalent to three-quarters of all frontline workers, earn wages below the national average. Additionally, only 18% of frontline workers have a bachelor's degree or higher educational attainment*, and 48 million lack foundational and technical skills, which makes their professional development that much more challenging*.

From the business perspective, this frustration manifests in the rate of attrition among frontline workers being almost twice as high as the US national average. The “quit rate” among retail and hospitality frontline workers is the highest among all sectors, outpacing the overall US quit rate by more than 70%*. Additionally, 50% of frontline employees quit within the first 120 days at a new job*. The main reason cited for frontline worker rotation is the lack of career development opportunities, which is an even higher priority for them than pay or benefits*.

• 65% of workers consider employer-provided upskilling to be very important when evaluating a new job
• 48% of American workers would switch jobs for skills training opportunities

(Gallup, 2022)

The high turnover rate among frontline workers is costly to employers. Although turnover costs vary by role and level, according to a WorkStep study, the average cost of losing a frontline worker is estimated to be $12,876, a number that is only going to increase as the demand for frontline workers continues to grow.

With 90% of all companies in the US relying on frontline workers, the "Great Attrition" has emerged as an enormous challenge, putting strategies to attract and retain frontline talent at the top of the priority list.

The Return on Investing in Frontline Worker Development?

Many companies across the US are increasingly investing in educational and upskilling opportunities for their frontline workers. In fact, according to Forbes, 78% of employers say they are providing training or development opportunities to their employees, and 2022 research from SHRM found that 86% of HR managers believe training aids in retention.?

Eye-opening evidence shows that investing in frontline worker education is a strategic business move to retain talent, boost employee satisfaction and productivity, and improve bottom line. According to WorkStep, 75% of turnover can be prevented by investing in employee upskilling.?

Plus pioneering educational companies working with businesses to invest in frontline workforce educational attainment have shown that companies can earn $3 in return for every $1 invested. This result encompasses:

• Reduced turnover: Employees enrolled in an education program are 50% less likely to quit than non-engaged employees.
• Increased employee mobility: Employees who have completed an education program are 2.2x more likely to be promoted within their company.
• Attraction of top talent: A high percentage of new hires cite workforce development benefits as a reason for joining a company*.

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Hispanics in the US Frontline Workforce

Hispanics represent a large part of the US frontline workforce, making up 14% of the 112 million frontline workers and being more prone than any other race to have frontline jobs.? 85% of Latino frontline workers are immigrants (13 million)*, likely meaning a lower level of English proficiency.

Unfortunately, many US Hispanics entering the frontline workforce come in at a disadvantage compared to their peers in terms of wage, educational attainment, English language proficiency, and support from their employers, consequently impacting their engagement and retention.

According to McKinsey & Company (2022):

• Latinos earn the second-lowest wage (22% less than White counterparts).
• Only 35% of Latinos have post-secondary schooling (vs. 52% of Whites).
• Latinos report the second-lowest sponsorship level, negatively impacting career development opportunities.
• Latinos report lack of support for employee well-being at work as a leading reason for leaving their jobs.

It’s no wonder that Latino workers in frontline roles are experiencing a significantly high rate of attrition at work. In fact, they are 37% more likely to leave their jobs than non-Hispanic Whites, according to Pew Research.

Now, let’s take a closer look at an important issue here: Language. 1 out of every 10 working age adults in the US reports limited English proficiency, and given the high concentration of immigrants in frontline roles, English proficiency is significantly lower in the frontline workforce*. Plus, Zippia’s study on frontline worker demographics* found that Spanish is the most common foreign language spoken among frontline workers by a longshot.

The dominance of Spanish as the most spoken foreign language is a variable that companies should be aware of when investing in upskilling for their frontline employees. Employees who are not proficient in English will find it difficult to take advantage of workforce development opportunities offered in English.?

Culturally Relevant Upskilling in Spanish: An Opportunity to Retain Latino Frontline Workers

Evidence shows that work and career development opportunities are important to US Hispanics. A Harvard Business Review* study found that 71% of US Hispanics consider work a major source of personal pride, and say that developing a career path and learning new things at work are key to long-term security and engagement.?

What’s more, a Wall Street Journal article* states that 80% of minority frontline workers want promotions and look forward to receiving more opportunities to advance in their careers or be enrolled in a training program. However, they are less likely than white frontline workers to access or take advantage of these opportunities. In fact, 54% of Latino workers resign due to a lack of growth or promotion opportunities*.?

Investing in educational benefits that are culturally and linguistically relevant for Latino frontline workers represents a unique opportunity for companies to? improve attraction and retention of this demographic.

Aprende Institute: Empowering Hispanics to Succeed in the US Workforce

I’m always proud to write about the essential role that Hispanics play in the US workforce and how Aprende Institute has empowered nearly 200,000 students, including frontline employees.

Over the past four years, we’ve worked hard to build a leading online skills-based training platform that meets the needs of millions of Spanish-speakers in the US and Latin America. Our platform provides accessible, applicable, and culturally relevant programs in Spanish that empower students to turn what they learn into economic and career mobility. Aprende serves as a tool for organizations to make a difference in the lives of their employees, and improve their talent attraction, engagement and retention.

With Aprende Institute, a Latino frontline employee can learn:

• In-demand skills that are relevant to their current job. These skills help employees improve their confidence at work, advance their career, or even earn income on the side.
• Mental and physical well-being practices that help employees reduce stress and improve their overall health and well-being for themselves and their families, which often leads to greater productivity at work.
• Financial and business literacy skills that empower students to make informed decisions about their financial future, such as budgeting, saving, building credit, and taking out a loan, allowing them to maximize their wealth creation in the context of the US.

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As the US Hispanic population continues to rapidly grow, companies that offer their Latino frontline employees the opportunity to learn new skills and advance their careers will have a competitive advantage. By providing language-appropriate training and culturally relevant content, companies can not only help our community achieve their career goals and boost their productivity, but also reduce turnover costs and create a more engaged workforce.

Resources

Race in the workplace: The frontline experience

Bridging the advancement gap: What frontline employees want—and what employers think they want

How retailers can attract and retain frontline talent amid the Great Attrition

Frontline Workers Are Still Quitting En Masse

The Great Attrition in frontline retail—and what retailers can do about it

5 Proven Ways Career Mobility Drives ROI

Race in the workplace: The frontline experience

Investing in English Skills: The Limited English Proficient Workforce in U.S. Metropolitan Areas

Front Line Worker Demographics and Statistics in the US

Hispanic Talent Is the Future for Big Companies

Majority of workers who quit a job in 2021 cite low pay, no opportunities for advancement, feeling disrespected

The economic state of Latinos in the US: Determined to thrive