• DOI:10.1177/001979390806200103
• Corpus ID: 12104735

Economic Development Strategies and Macro-and Micro-Level Human Resource Policies: The Case of India's “Outsourcing” Industry

@article{Kuruvilla2008EconomicDS,
  title={Economic Development Strategies and Macro-and Micro-Level Human Resource Policies: The Case of India's “Outsourcing” Industry},
  author={Sarosh Kuruvilla and Aruna Ranganathan},
  journal={Industrial \& Labor Relations Review},
  year={2008},
  volume={62},
  pages={39 - 72}
}

• S. Kuruvilla, Aruna Ranganathan
• Published 1 October 2008
• Economics, Business
• Industrial & Labor Relations Review

This detailed case study of India's “outsourcing” industry illustrates the challenges in linking macro and micro human resource policies with an economic development strategy based on export-oriented services. The rapid expansion in the outsourcing of services to India has raised the possibility that this sector will be a key engine of India's economic growth. Based on extensive field research carried out over a four-year period, the authors of this study argue that four interrelated human resource policy challenges threaten the outsourcing industry's growth: two “macro” problems (current skill shortages and the inability of the country to produce higher levels of skills for the long-term growth and sustainability of the industry), and two micro problems (very high levels of employee turnover and rapidly increasing employee costs). The authors evaluate current policy responses and suggest options.