At the forefront of the outsourcing business is Infosys Technologies, an Indian company that has pursued a strategy of reinvesting the profits from low-skilled work into a vast upgrading of skills to prove itself to Western companies and fend off rivals from China, Eastern Europe and elsewhere.
And industry-specific training with lots of input from employers seems to be more effective than a general upgrading of skills.Improving skills would be costly.
In fact, their lack of commitment to any specific division of labour on the shop floor later enabled European unions to support and promote comprehensive public and private labour-market policies of general upgrading of skills and jobs.
To do that, companies can sell to the most sophisticated and demanding buyers and channels; seek out those buyers with the most difficult needs; establish norms that exceed the toughest regulatory hurdles or product standards; source from the most advanced suppliers; treat employees as permanent in order to stimulate upgrading of skills and productivity.
The keyword is "upgrading of skills" since the mismatch of education and skills, on the one side, and the requirements of a knowledge-based innovative economy, on the other, is currently common knowledge.
The negative findings are predominantly driven by the performance of combinations of classroom and practical training, as well as classroom-based training programs under adverse economic conditions in which an upgrading of skills may not be sufficient to improve labor market integration chances in the short- to medium-run.
As it happened, the American business community looked at all those forces and, instead of fighting against them, they decided to amplify the pressures by taking away—rather than adding to benefits, job security, good pay, and the upgrading of skills.
Temporary migration may produce benefits in the home country through remittances and an upgrading of skills.
In addition, physician migration may produce benefits through remittances and an upgrading of skills upon return of the physician to the home country.
If the host country subsidises the education of foreign students and these migrants return to their home country after they graduate, temporary migration of physicians can contribute to a general upgrading of skills in the home country.
