Many companies consider employee development as a good investment where the employees become more valuable,
improve their knowledge and effectivity that result in customer satisfaction. On the other hand, some companies
question the value of employee development due to the high workplace mobility and ask the question: “Who will
benefit from the expensive employee development, the competitors or us?”
The investments on your employee make them valuable as well as more attractive and marketable for other companies,
mostly for the competitors.
Many companies follow a costly way beginning with a careful employee screening to recruit good people and then train
their employees before putting them in the required positions, while others, mainly smaller companies, lie in wait
for the newly trained employees of competitors and try to poach them away to acquire valuable people on the cheap.
Although this “free riding” may be deterrent for some companies to invest in their employees, most of the companies
still apply to their training programs to retain and increase the value of the people.
Most people will prefer to stay in a company that believe them and invest them to improve their skills & grow in
their careers. Investment in people is necessary for a “learning organization” and in the long term, the real losers
are the free rider firms who do not invest in ongoing learning.