‘Companies should begin to move to greater disclosure of:

● Days training per year for categories of staff.

● Expenditure on training, both in total and differentiated between categories of employees.This could be supplemented with information regarding the spread of expenditure during the year.

This is most likely to be best presented in diagrammatic form.

● Career and development policy, both vertically and horizontally. A short statement setting out the relevance of the approach to the future of the company and how management plan to deal with it should be provided and could, over time, be extended to include information on staff turnover rates, average length of service, costs of recruitment, voluntary payments on termination of employment and number of professionally qualified staff ’.23

(a) Discuss the extent to which this information would assist the investor to:

(i) assess stewardship performance;

(ii) predict future cash flows.

(b) Discuss the extent to which the annual report should contain the information suggested in the CIMA publication and the reasons for its inclusion.