The following comes from the TOEIC USA team.
As discussed in my previous post, lack of employee English proficiency at the levels needed for their jobs is a serious problem even in the United States (as well as other "English speaking" nations increasingly relying on non-native speakers).
But what does this mean for the U.S. employers? How does it impact "cold cash" results? Not well. A few of the different impacts:
Companies that practice highly effective communications deliver 47% higher return to shareholders than those that do not, according to a Towers Watson ROI study. Businesses that lack even assurance that employees know English well enough to do their jobs, can expect to bring far less than half the money they could with well-trained staff.
Employees with poor English skills deliver an hour less work a week on average according to research by software developer GlobalEnglish.
It is well-known that lack of ability to properly understand and respond to questions/complaints is one of the top causes of customer dissatisfaction. Lack of English language proficiency is a major contributor to this problem. Few customers may bother to file a complaint with you over such issues, but many will take their business elsewhere.
Especially if your organization is involved in work that can impact public health and safety, an employee with poor English skills can open you up to legal action. One example is the successful suit and European Union-wide demand for better physician English language testing in the United Kingdom following the death of a patient because of a doctor's low English proficiency.
Staff who are not English proficient often have untapped potential from which you could be benefitting. According to a recent Brookings Institute study, almost half of U.S. immigrants with a bachelor's degree-level education are underemployed and have the education and skills to do higher level jobs. Top reason for not holding the jobs they are otherwise qualified for? Lack of English skills.
Research shows that lack of opportunity for training and development is one of the top three reasons employees plan to leave their jobs.
Better that employees with inadequate language proficiency for their jobs do leave before they do damage? Not so fast. Multiple research studies show that the cost of replacing even a low-paid hourly worker is high—25% to 50% of the employee's annual salary. Costs for losing an employee in sales, management, or other salaried positions can be even more. Training (or screening before hiring) is a better, cheaper solution.
It's hard to fully assess English proficiency for specific positions among potential hires or staff while still meeting EEOC regulations designed to prevent workplace discrimination (and again open yourself up to legal action). You need a valid, objective measure such as TOEIC tests to reliably and safely assess English skills.
—Lia Nigro, USA
