Purpose: The purpose of this paper is to examine the amount of training received by employees; the extent to which individuals are dissatisfied with the training they receive; and employee perceptions of the extent to which the skill levels they possess are higher than/lower than those required to do their jobs. Design/methodology/approach: A matched workplace-employee data set which has its origins in the 2004 Workplace Employment Relations Survey is created and analysed using ordered and binomial logits. Findings: One in five employees received five days or more training within the last 12 months. One in three received no training at all. One in three are satisfied with the training they received. One in four are dissatisfied. More than half of all employees felt that their skill levels are higher than those required to do their jobs. Only 5 percent felt that their skill levels are lower than those required to do their jobs. Research limitations/implications: There is little evidence of "skills gaps." However, there is much evidence to the effect that employees' skills capacities are under-utilised. Originality/value: The contribution made both to the skills and training policy agenda and the controversy over explanations of the UK's relatively low rate of productivity growth. (Contains 6 tables.)