By: The Capella University Editorial Team with Adam Winterrowd, Vice President, Partner Engagement at Workforce Edge
Reading time: 4 minutes
In a competitive labor market, offering meaningful benefits could make a difference for organizations attracting and retaining top talent. Tuition assistance has an effective way to do that.
Adam Winterrowd, vice president of partner engagement at Workforce Edge, shares his perspective on tuition assistance and what it means for employers and employees.
Tuition assistance is an employee benefit in which an employer pays for some or all of an employee’s education costs – tuition, fees, books and, sometimes, student loan repayment. Programs vary by employer but typically cover courses at accredited colleges and universities, whether or not the coursework is directly job related.
Career growth, not just pay, is now a primary driver of retention. According to LinkedIn’s 2025 Workplace Learning Report, 88% of organizations cite employee retention as a top concern and see learning investment as their number one retention lever – yet only 36% currently qualify as “career development champions” with robust programs in place.
The Workforce Edge 2025 Workforce Impact report found that 93% of employee learners use education benefits to improve their opportunities for advancement or higher pay. In addition, 65% chose programs to prepare for a future role at their company, while 58% selected programs aligned with their current job.
Employers without a tuition assistance program may face a narrower, less qualified candidate pool and higher turnover. With 91% of learning and development professionals agreeing that continuous learning matters more than ever for career success (LinkedIn, 2025), candidates may consider whether a prospective employer supports their growth before accepting an offer.
Financial concerns can also prevent employees from pursuing education. Nearly two-thirds of respondents in the Workforce Edge report – 62% – said they were concerned they could not afford to return to school. Another 44% said they considered returning to education for more than a year before enrolling.
Employers are increasingly funding skills that keep pace with fast-changing business needs, not just traditional degrees. LinkedIn’s 2025 Workplace Learning Report highlights organizations building “agile skills ecosystems,” using tools like skills gap tracking and skills-based career paths to fund learning that closes gaps quickly rather than following a fixed curriculum.
For employees, the question is how to stay relevant as AI changes their roles. Winterrowd says the answer is learning that balances AI-enabled execution with human-led critical thinking and judgment. “This foundational learning is broadly applicable and can create durability as roles continue to evolve,” he says.
Employer tuition assistance generally takes one of two forms. Reimbursement programs pay employees back for course costs after they complete a class, often tied to a grade requirement.
Direct-pay or prepaid programs cover tuition upfront through a partner school, removing the cost barrier before a course even starts. Many employers manage these programs through a dedicated benefits platform, such as Workforce Edge.
Flexibility can influence whether employees use an education benefit. In the Workforce Edge survey, 74% said the variety of available programs and schools was appealing, while 85% were satisfied with the flexibility of their program or class format.
Winterrowd’s advice for employers launching a program or refreshing a legacy model: treat it as a workforce strategy, not an employee perk. “Intentionally map the investment to talent strategy and organizational priorities,” he says, so employers can measure the results. He points to future skill needs, critical roles and pathways, internal talent mobility, engagement and retention as the areas to track. Removing financial barriers gives employees access to education.
The potential workforce impact is significant. In the Workforce Edge report, 70% of respondents said education benefits influenced their decision to stay with their employer, while 80% saw themselves working for their company two years from now. Another 78% said they saw a future at their company because they were gaining the skills they needed to grow.
Building an agile, cross-trained workforce that can move between teams and roles as business needs shift is one of the clearest returns on a well-supported tuition assistance program.
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