Investment in human capital refers to the process of improving the skills, knowledge, health and abilities of people to enhance their productivity and economic value. It encourages employees to work together and identify improvements that will benefit both the employer and the employee. Its key objective is economics, education and workforce development.
Here are the main components of human capital investment:
1. Education and Training
• Formal education (schools, universities) • Vocational training and professional development • On-the-job training and workshops
• Internships, apprenticeships and mentorships • Job rotation and exposure to different roles
4. Health and Well-being
• Access to healthcare • Nutrition and mental health support • Safe working environments
Businesses invest in human capital by implementing strategies that develop, support, and retain their workforce. Master Builders KwaZulu-Natal through its Learning and Development Programmes offers various programmes such as Bursary Fund, Vuka Makhi Programme and Emerging Contractor Programme. The aim of these programmes is to invest in education and skills development in construction sector and also to support members of the Association as they are the beneficiaries.
Members are encouraged to participate in these programmes for the benefit of their employees and economic growth.
Why It Matters:
• For individuals: It increases employability, earning potential and career growth. • For businesses: It boosts productivity, innovation and competitiveness. • For economy: It drives growth, reduces poverty and improves social outcomes.
Mandisa Khumalo | Learning and Development Manager
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Investment in human capital refers to the process of improving the skills, knowledge, health and abilities of people to enhance their productivity and economic value. It encourages employees to work together and identify improvements that will benefit both the employer and the employee. Its key objective is economics, education and workforce development.