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To Spur Growth, India Must Invest in Employee Training

Saturday, July 23, 2016

In India, the idea that investing in employees is risky business may be hindering training. High-ranking officials in Indian organizations have said they think that the expenditure of training employees isn’t worth the risk. The prevailing attitude is that if resources are spent training employees and equipping them with new skills, they will only be in a better position to leave. There are many reasons for this, including high rates of turnover in Indian organizations and a tendency for Indian employees to move into managerial roles fairly quickly, failing to develop specialized skills. Generally speaking, American organizations spend an average of 8-10 percent of their total budgets on employee training, whereas their Indian counterparts spend an average of 1-2 percent. However, as the Indian economy changes, so too must its executives’ attitudes on training. India will become one of the top five global economies in the next 10 years, and to speed this growth, management must start taking learning and development more seriously.

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