With HR teams planning their 2022 budgets, the topic of welfare and learning & development budgets has come into close focus. Compete set out to help companies in tech benchmark these areas against the tech ecosystem.
We are delighted to share with you the results from leading tech companies who joined our survey about their upcoming welfare and L&D budget.
Average Welfare Budget
In 2021, the average welfare budget of start-up companies is $1,799. By comparison, larger companies that are post-IPO, or Private companies, budgeted $3,313 per employee.
In addition to the trend that most companies did not decrease their budget, as seen right, most of the companies that increased their welfare budget were early-stage startups (until Round C).
Among the companies that did not increase their budget (Decreased or Same As Last Year), there is no difference between funding types.
Average Learning & Development Budget
We can see a correlation between the L&D budgets of companies and the size of that company. The average L&D spend among early-stage start-ups (Seed to Round C) is $426.
This increases among start-ups that are Round D and above with an average of $563 per employee. IPO, Exit and Private companies budget the most per employee with an average of $836.
Early-stage start-ups (Seed to Round C) have not increased their L&D budgets as much as they have their welfare budget. Among the 62% of companies that are the “Same as Last Year”, the vast majority (71%) were early-stage start-ups.
Breakdown by company funding type
80% of companies on average spend their L&D budget on all employees.
(The survey and data covers Israeli companies only)