The Role of L&D in Employee Recruitment and Retention

L&D recruitment

In today’s extremely competitive world, not having a planned approach for L&D affects recruitment and employee retention and can increase attrition rates. Organizations that don’t have a set L&D strategy in place struggle with problems like high attrition, inability to hire the right employees, delayed filling of vital roles, and keeping their employees motivated. To ensure that your organizational skill base is efficient and optimal, it is important to make quality L&D recruitment too.

The secret to making the right L&D recruitment lies in understanding what L&D does for your organization. How does learning and development affect recruitment and retention? Here is everything you need to know about this relationship.

L&D and Talent Development – What is the Relationship?

Right now, the average attrition rates across different industries are generally high. A Gartner survey mentions that the annual employee turnover in the US will increase by nearly 20% when compared to pre-pandemic figures.

Organizations spend thousands of dollars on filling up open positions in their pursuit of finding employees who would fit these roles. Many a time, they have to compromise on the quality of talent that’s available or wait to fill the position. This is where talent outsourcing can be of great help. Talent outsourcing has become more common now than before because of this genuine difficulty in identifying the right talent. It won’t be wrong to state that the objectives of talent outsourcing and L&D recruitment overlap somewhere.

So, how does L&D affect talent development? The idea behind investing in learning and development initiatives is that L&D efforts upskill and reskill existing employees and bring down the need for external recruitments. When the right learning and training initiatives are offered to employees, their skills grow. The general quality of talent in the workplace improves. This would, in different ways, help management recruitment and retention initiatives.

Employee L&D and Recruitment

Data from the Society of Human Resource Management (SHRM) mentions that the average cost of recruiting a new employee is $4,700. However, recruiting experts argue that they spend close to 3-4 times the compensation offered to hire someone new.

Robust learning and development programs can have a direct impact on recruitment by bringing down the need to hire new talent frequently. With smart L&D, recruitment costs will reduce consistently, and the organization will be able to channel the savings into the growth of the organization.

How L&D Initiatives Cut Down Recruitment Costs and Improve Employee Retention?

The need for quality L&D recruitment and partnering with an efficient talent outsourcing provider comes from the need to upgrade the skillset, reduce costs on hiring and sustain the right talent hiring. Let us see how L&D helps organizations cut costs and improve retention –

  • L&D initiatives upskill and reskill employees. As a result, the existing workforce will be able to handle newer work challenges and handle technological upgrades without having to look for external experts.
  • Employees who are offered comprehensive and quality L&D opportunities feel motivated to stay back in the organization to make use of the learning systems. This may bring down organic attrition rates and improve employee retention rates.
  • Employees who are offered the right learning and development opportunities at the workplace believe that the management is invested in them. This improves employee motivation and engagement and, as a result, brings down the need for constant new recruitment. 
  • The opportunity for L&D in recruitment also works in favor of the management in a different way. The opportunities to learn and grow make current employees talk well about the brand to their friends. And this increases the chance of hiring new employees without the need to negotiate or pay them excessively. People look forward to working in organizations that offer exceptionally good L&D benefits to them.
  • In some cases, employees quit because they aren’t able to handle the required expertise and skill level of the role. When employee turnover rates are high, the need for recruiting new hires and the costs of recruitment are also high.


In a time when recruitment costs are sky-high and the efforts involved in finding and recruiting new talent are enormous, the fact that learning and development initiatives can handle recruitment challenges is a blessing in disguise. Without the right L&D recruitment and appropriate L&D strategies, talent outsourcing won’t drive the desired results. Organizations need to get to the bottom of their recruitment challenges to sustain the redressals. 

Apart from positively impacting many other aspects of the organization, the impact of L&D on recruitment costs and efforts makes it a very sustainable tool to use to reskill and upskill the existing workforce and bring down attrition rates.

InfoPro Learning is your perfect L&D partner and customizes effective training and learning solutions. That help bring down your cost of recruitment and help optimize the existing workforce. Get in touch with us to know more.