The most comprehensive and rigorous study ever undertaken on workplace training in Canada's smaller businesses has revealed this sector invests more than its big business counterparts on total training costs per employee. The study was undertaken by the Canadian Federation of Independent Business – CFIB - and conducted nationally among its members.

Dan Kelly, CFIB's senior vice-president of legislative affairs, said what's unique about this report is that it didn't just focus on formal, professionally delivered training - as most research does - but looked at informal training or on-the-job training which is the predominant mode in smaller firms.

Among its most revealing findings, the study found that a small business owner spends an average of $2,700 annually per employee on all forms of training, and for new ones with no experience the cost rises to $5,400. Kelly said that while informal training represents nearly three-quarters of the average training expense, small- and medium-sized enterprises have also dramatically increased their use of formal training. He explained this adds up to a nation-wide annual investment of $18 billion on employee training in small and medium-sized enterprises.