This paper explores the significance of formal adult learning in the workplace in the context of human resource management and from the perspective of the employee. Human capital theory suggests that employers lack interest in employees engaging in learning because higher qualifications lead to a demand for higher wages. However, empirical findings have demonstrated that there are advantages for enterprises when employees engage in training (e.g. (Acemoglu and Pischke, 1999, Backes-Gellner and Mure, 2005). Understanding of the impact of workplace learning on the individual is also not well researched (Ananiadou et al, 2004). This paper will draw on case studies in SMEs from 13 European countries to examine: a) the extent to which employee participation in formal education is embedded in the organisational structures in SMEs b) the employers’ motivation and barriers for engaging employees in formal education c) the relationship between these patterns and characteristics of SMEs d) the relations between identified patterns and the overall significance of formal adult education across the countries in relation to social mobility, equity and social inclusion. This paper will draw on the expansive-restrictive framework developed by Fuller and Unwin (2004) to examine the quality of learning environments and to analyse the organisation’s approach to workforce development from the perspective of the employee. It also develops a framework approach for cross-country analysis of training activities in enterprises.