- Active learning — understanding the implications of new information for both current and future problem-solving and decision-making.
- Active listening — giving full attention to what other people are saying, taking time to understand the points being made, asking questions as appropriate, and not interrupting at inappropriate times.
- Critical thinking — using logic and reasoning to identify the strengths and weaknesses of alternative solutions, conclusions, or approaches to problems.
- Learning strategies — selecting and using training or instructional methods and procedures appropriate for the situation when learning or teaching new things.
- Mathematics — using mathematics to solve problems.
- Monitoring — monitoring or assessing the performance of yourself, other individuals, or the organization to make improvements or take corrective action.
- Reading comprehension — understanding written sentences and paragraphs in work-related documents.
- Science — using scientific rules and methods to solve problems.
- Speaking — talking to others to convey information effectively.
- Writing — communicating effectively in written text as appropriate for the needs of the audience.
OUR PERSPECTIVES
Purpose
This data brief highlights key findings from SHRM's 2026 benchmarking data, focusing on the learning and development (L&D) function. As organizations navigate tighter budgets, rapid technological change, and shifting skills demands, there remains a pressing need to deliver meaningful development opportunities while managing limited resources. This brief offers actionable data to help HR leaders optimize their L&D investments, prioritize the right skills, and prepare their workforces for the future of work.
KEY FINDING NO. 1
Organizations Are Maintaining the Same Amount of Training Hours Despite a 28% Decrease in L&D Spending per FTE in 2026.
The median organizational spend on L&D efforts per full-time equivalent (FTE) in 2026 was $299, a notable decrease from $414 in 2025. Even with this drop in spending, organizations did not scale back the hours of training delivered. The median number of L&D hours per FTE remained unchanged at eight hours annually from 2025 to 2026. Likewise, the percentage of organizations offering skills training held steady at 78%.
Takeaways & Implications
- The decline in L&D spending, paired with steady training hours per FTE, indicates that organizations are maintaining similar levels of learning activity despite reduced investment. This increased efficiency could be made possible by the increased use of technology, different delivery methods, or an increased use of internal resources.
- This could also indicate that L&D professionals continue to operate under constrained budgets while facing the same expectations. Sustained pressure to maintain output without adequate investment could strain internal teams and limit the depth or quality of programs. HR leaders should monitor whether reduced spending begins to affect learning outcomes and consider how technology, internal expertise, and prioritization can help stretch limited resources without compromising impact.
KEY FINDING NO. 2
Organizations in the Professional, Scientific, and Technical Services Industry Spent Nearly Twice the Overall Median on L&D, Investing $543 per FTE in 2026.
The professional, scientific, and technical services industry spent a median of $543 per FTE on L&D in 2026 — nearly twice as much as the overall median (1.8 times more) and the highest of all industries. This may be because organizations within this industry are more reliant on employee knowledge and qualifications acquired through specialized training than other industries and, therefore, are more likely to invest in employee development.
Alternatively, organizations in accommodation and food service and arts, entertainment, and recreation industries spent the least on L&D, investing a median of $149 per FTE in 2026. This may reflect the industry’s higher concentration of lower-wage, high-turnover roles, where employers rely more on shorter onboarding and job-specific training than on formal L&D efforts.
Takeaways & Implications
- Organizations in the professional, scientific, and technical services industry spent the most per FTE on L&D across all industries. Given this level of investment, organizations should assess whether spending is driving measurable outcomes and aligned to workforce skill value. Only 16% of organizations measured the return on investment of their L&D efforts in 2026, revealing a critical gap in evaluating program impact.
- In contrast, organizations in the accommodation and food service and arts, entertainment, and recreation industries spent the least per FTE on L&D. This could reflect a greater reliance on low-cost, informal, and on-the-job upskilling in these industries.
Credential
People Analytics Specialty Credential
Translate workforce data into decisions the C-suite understands at a moment when only 16% of organizations measure the return on their L&D investments. Build the data literacy to measure training impact, close capability gaps, and forecast future skills needs — moving HR from reporting activity to demonstrating the performance the business can act on, and justifying strategic workforce development even under tighter budgets.
KEY FINDING NO. 3
Organizations Spent a Median of 15% of Their Total L&D Budgets on External Training in 2026, a Decrease From 25% in 2025, With the Largest Decreases Occurring Among Small and Midsize Organizations.
The median percentage of organizations’ L&D budget spent on external training was 15% in 2026, a 10-percentage-point decrease from 2025. This potentially means that organizations are being more selective about where they are spending to fulfill L&D goals and prioritizing investments that strengthen internal capacity. In addition, organizations could be relying more heavily on technology to accelerate the creation of skills trainings, therefore decreasing the need for outsourcing. Indeed, recent SHRM research indicated that the prevalence of outsourcing at least part of the L&D function decreased by 5 percentage points from last year.
Though organizations of all sizes decreased their spend on external training, small and midsize organizations experienced the largest decreases, meaning that organizations with fewer employees experienced a more dramatic shift toward less outsourcing of L&D than organizations with more employees. Smaller organizations may have less budget flexibility and, therefore, are more likely to reassess the value of external spending on L&D.
Takeaways & Implications
- Organizations reduced spending on external training in 2026, potentially reflecting greater use of technology-enabled learning solutions that reduce reliance on external providers.
- Organizations may be placing greater emphasis on building internal L&D capabilities rather than outsourcing training, particularly among small and midsize organizations, which may have less budget flexibility for external investments.
Credential
HRBP: Becoming a Strategic Influencer
Strengthen your strategic impact and elevate HR from executor to strategist as organizations reduce external training spend to a median of 15% and pivot toward internal capacity. Learn to drive change through data and consultation, understand which people levers move business outcomes, and position HR as a decisive force at the highest levels of your organization — doing more with less even as L&D spend per FTE declined 28%.
KEY FINDING NO. 4
Critical Thinking As Well As Judgment and Decision-Making Rose to the Top of Skills to Be Prioritized Over the Next Five Years, Both Making Notable Gains in Importance.
Less than half of organizations (44%) reported that they prioritized critical thinking in skills training in the past year. But looking forward, 56% of organizations reported that critical thinking will be important to prioritize in the next five years, occupying the No. 1 spot. Notably, judgment and decision-making was not in the top five skills already being prioritized, yet it moved to the second-most anticipated skill to prioritize in the future, with 45% of organizations indicating it will be a priority. Critical thinking as well as judgment and decision-making are both imperative skills for producing and consuming AI-generated content. Because almost half of U.S. workers who use artificial intelligence at work (44%) identified the content they produce as “AI slop” (i.e., lower-quality, factually incorrect information from AI tools), organizations may be recognizing the importance of training skills that bolster responsible use of AI.
Management of personnel resources was the skill most frequently prioritized in the last year (47%) and still remains a top skill that is important for organizations to prioritize in the near future (45%). This aligns with the continued emphasis on leader and manager development, which has been named by CHROs as a top priority for 2025 and 2026.
Takeaways & Implications
- Critical thinking as well as judgment and decision-making were cited as the top two skills to be prioritized in the next five years. With more organizations offering AI tool subscriptions to their employees in 2026 than did so last year, organizations may be recognizing the need to instill skills that promote responsible consumption and use of AI.
- The continued emphasis on management and personnel resources points to the need for competent and effective leaders. Employers should consider pairing internal opportunities (e.g., internships and apprenticeships) with leadership skills training to strengthen leadership pipelines within their organizations.
Credential
SHRM Foundation Skills First Specialty Credential
Lead the shift toward skills first hiring and advancement as critical thinking (56%) and judgment and decision-making (45%) rise to the top of skills organizations plan to prioritize over the next five years. Build a talent strategy that prioritizes potential over pedigree, closes critical capability gaps, and positions your organization to compete for the future-ready workforce the future of work demands.
KEY FINDING NO. 5
Critical Thinking Emerged As an Enterprisewide Skill in Need of Future Prioritization, Taking the No. 1 Spot Across All Industry Groups.
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In alignment with the previous key finding, critical thinking was the No. 1 future training priority for all industries. Likewise, judgment and decision-making as well as management of personnel resources were each in the top three training priorities for six out of the nine industry groups. Other basic and social skills were more frequently cited as priorities in some industries. For example, active listening was the third-most frequently selected skill for those in the accommodation and food service and arts, entertainment, and recreation industry, and it was the second-most frequently selected skill for those in the healthcare and social assistance industry. For those in the accommodation and food service and arts, entertainment, and recreation industry, customer service tends to be of utmost importance, reinforcing active listening as a central need for employees in this industry. For healthcare and social assistance, active listening is likely needed for improved patient experience.
Takeaways & Implications
- Critical thinking emerged as an enterprisewide skill in need of future prioritization. Critical thinking as well as judgment and decision-making skills should be embedded into L&D efforts so that employees can make sound, informed decisions in complex environments.
- L&D leaders should cater training efforts around their unique business needs. For example, those in industries that rely heavily on people-facing roles (such as healthcare and social assistance) indicated that they would be prioritizing active listening, a social skill central to the success of their workforces.
eVENT
ATW 2026 – Skills Accelerator
Build depth where HR performance, compliance, and decision quality matter most — especially as only 32% of organizations offer AI upskilling beyond basic compliance. This curated set of high-impact upskilling seminars and specialty credentials targets the most critical topics in modern HR practice, from the responsible use of AI to the critical thinking and judgment skills that a future-ready workforce depends on.
KEY FINDING NO. 6
Nearly 1 in 3 Organizations (32%) Offered AI Upskilling Beyond Compliance Requirements in 2026, With Notable Variation by Industry.
Only 1 in 3 organizations (32%) offered AI upskilling resources or training beyond what is required for compliance. Because less than half of organizations (47%) have implemented AI (i.e., AI has been integrated into workflows and is used by a significant portion of workers), it may make sense that so few organizations have offered AI upskilling in tandem.
However, the prevalence of employer-sponsored AI upskilling varied by industry. Organizations in the healthcare and social assistance industry were the least likely to offer AI upskilling, and organizations in the information industry were the most likely to offer AI upskilling. This is consistent with recent SHRM research, which revealed that only 37% of organizations in the healthcare and social assistance industry have adopted AI, whereas 75% of organizations in the information, finance and insurance, real estate, and management of companies industry have done so. The healthcare industry generally has strict regulations governing AI use in healthcare settings, as well as a comparatively lower investment in AI through their general HR budgets, as indicated by recent SHRM research.
Takeaways & Implications
- Very few organizations have moved beyond compliance-based requirements to develop their employees' AI capabilities. With the increased use of AI in daily workflows, organizations should prioritize providing employees with the skills needed to use AI safely and effectively.
- The variation by industry highlights how regulatory environments and technological dependence shape AI development strategies. Organizations in heavily regulated fields, such as healthcare, may face legitimate constraints. HR leaders across all industries should assess where AI is reshaping roles within their organizations and proactively invest in upskilling to maintain a competitive, future-ready workforce.
Credential
AI + HI Specialty Credential
Harness artificial intelligence alongside human intelligence to shape the future of work as nearly two-thirds of organizations still lack AI upskilling beyond basic compliance. Build the fluency your teams need to make smarter workforce decisions, apply the critical thinking that combats "AI slop," manage the AI transition through the responsible use of AI, and turn where AI and human intelligence intersect into measurable ROI.
CONCLUSION
The insights presented in this data brief reveal an L&D landscape defined by resourcefulness in 2026. Although organizations reduced their median spending on L&D, they preserved training volume at eight hours per FTE, signaling that L&D professionals continue to deliver consistent value under tighter budgets. At the same time, organizations are recalibrating their priorities — placing value on critical thinking as well as judgment and decision-making to support employees in becoming responsible users of AI.
The rise of AI upskilling further illustrates how organizations are adapting to a rapidly changing world of work, even as adoption varies by industry and regulatory context. Together, these benchmarks offer L&D leaders a clear view of where investment, attention, and innovation are most needed. By leveraging these findings, organizations can build development strategies that maximize impact, prepare their workforces for emerging demands, and sustain a competitive edge in a dynamic environment.
How to cite this research: 2026 Learning and Development Executives Benchmarking: Developing Critical Talent, SHRM, 2026.
Definitions
L&D budget as a percentage of total HR budget: The percentage of total HR budget allocated to the L&D function. This is calculated by dividing the learning and development budget by the total HR budget.
External training spend as a percentage of total L&D expenses: The amount of money a company spends on training and development programs provided by third-party vendors or external organizations for employees, represented as a percentage of total L&D costs.
L&D expenses per FTE: The total amount of L&D spend divided by the total number of FTEs at the organization.
L&D hours per FTE: The total number of employee hours spent learning across the organization in the 12 months prior to data collection divided by the total number of FTEs at the organization.
Percentage of organizations offering skills training resources or opportunities: The percentage of organizations that offer any kind of skills training resources or opportunities for employees intended to maintain or acquire new skills. This does not include training conducted only for compliance purposes.
- Coordination — adjusting actions in relation to others’ actions.
- Instruction — teaching others how to do something.
- Negotiation — bringing others together and trying to reconcile differences.
- Persuasion — persuading others to change their minds or behaviors.
- Service orientation — actively looking for ways to help people.
- Social perceptiveness — being aware of others’ reactions and understanding why they react the way they do.
- Equipment maintenance — performing routine maintenance on equipment and determining when and what kind of maintenance is needed.
- Equipment selection — determining the kind of tools and equipment needed to do a job.
- Installation — installing equipment, machines, wiring, or programs to meet specifications.
- Operation analysis — analyzing needs and product requirements to create a design.
- Operation and control — controlling operations of equipment or systems.
- Operation monitoring — watching gauges, dials, or other indicators to make sure a machine is working properly.
- Programming — writing computer programs for various purposes.
- Quality control analysis — conducting tests and inspections of products, services, or processes to evaluate quality or performance.
- Repairing — repairing machines or systems using the needed tools.
- Technology design — generating or adapting equipment and technology to serve users’ needs.
- Troubleshooting — determining causes of operating errors and deciding how to fix them.
- Complex problem-solving — identifying complex problems and reviewing related information to develop and evaluate options and implement solutions.
- Judgment and decision-making — considering the relative costs and benefits of potential actions to choose the most appropriate one.
- Management of financial resources — determining how money will be spent to get the work done and accounting for these expenditures.
- Management of material resources — obtaining and seeing to the appropriate use of equipment, facilities, and materials needed to do certain work.
- Management of personnel resources — motivating, developing, and directing people as they work and identifying the best people for the job.
- Systems analysis — determining how a system should work and how changes in conditions, operations, and the environment will affect outcomes.
- Systems evaluation — identifying measures or indicators of system performance and the actions needed to improve or correct performance, relative to the goals of the system.
- Time management — managing one’s own time and the time of others.
Methods and Data
The previous analyses highlight key insights derived from SHRM’s 2026 benchmarking data, which builds upon and refines SHRM’s prior benchmarking research. The 2026 data was collected through an electronically fielded survey from a random sample of active SHRM Members between Nov. 24, 2025, and Jan. 23, 2026. Given the robust data collected in this research, an additional stratified sampling approach was implemented to oversample members who held a director or higher position within their organization. In total, 4,657 members responded to the survey. The data is not weighted, and respondents were not required to provide data on every metric, meaning the sample size for each individual metric may vary. Respondents represent a diverse range of industries, sectors, and organization sizes across the U.S.
The analyses in this brief use median values to define central tendency and identify trends in the data over time. Central tendency refers to a statistical measure that identifies the center point or typical value in a data series. The median is a commonly used measure of central tendency; it represents the middle value when the data is ordered from lowest to highest, helping to avoid the influence of extreme outliers that can have a greater impact on the average value. For example, if measuring a set of salaries, the median would be the salary that falls exactly in the middle of the range and avoids being skewed by very high or very low values. By using the median, we improve comparability across different time periods and account for changes in methodology and metric calculations. Additionally, using the median helps mitigate the impact of shifts in the SHRM Membership used for this research over time, ensuring stronger consistency and reliability in the findings.
In all graphs, the axis labels denoting years (i.e., “2025” and “2026”) refer to the years in which the benchmarking reports were published. The data within those reports reflect figures from the 12 months prior to data collection. For example, any data labeled with “2026” reflects figures from the whole year preceding Nov. 24, 2025 (i.e., the start of data collection for the 2026 report).