58.5% of organisations in India have increased their L&D budgets in FY25: Report

Edtech firm Great Learning found in a study that in FY24, four out of five companies reduced hiring costs due to effective internal talent development, while 58.5% of organisations in India have increased their L&D budgets in FY25.

While 64% of these companies invested in the workforce to cultivate emerging skills among early career professionals, 36% focused on enhancing productivity, innovation, and creativity to improve overall effectiveness and foster a culture of innovation.

The study titled Workforce Skills Evolution Report 2024-25 was conducted across more than 100 learning and development (L&D) and business unit heads. This report offers a comprehensive look at key training trends and forecasts for FY25.

The study further found that in FY24, 76.6% of the respondents focused on skills like AI, machine learning, data science, and data engineering. Notably, enterprises are set to broaden GenAI training beyond technical roles, aiming to include a wider array of functions to automate repetitive tasks and boost efficiency. According to the study, this focus is expected to continue in FY25, as the survey shows that most organisations plan to increase their investment in training employees in these critical fields.

Going ahead, these skills will continue to be top priorities for consulting (44.4%) and energy (41.7%) sectors. Additionally, cloud computing is a key priority in both the IT/ITeS and energy sectors, underscoring the growing importance of scalable and efficient digital infrastructure.

In FY25, at least 50% of organisations plan to advance their teams' skills in generative AI, responding to strong market demand. Notably, enterprises are set to broaden GenAI training beyond technical roles, aiming to include a wider array of functions to automate repetitive tasks and boost efficiency.

The majority of the skilling programmes aimed to bridge the gap between academic learning and industry skill requirements. Meanwhile, over 67% of training for mid- and senior-level executives in manufacturing and retail/e-commerce focused on data-driven decision-making and technical skills. For senior leaders, enterprises preferred 1-3 day capsule workshops that combined new technology training with leadership development.

Commenting on the funding, Ritesh Malhotra, Enterprise Head at Great Learning, said, “Organisations now recognise that generative AI training is crucial for achieving business objectives across all employee levels. By extending this training beyond traditional tech roles, companies are adopting a strategic L&D approach that enables their workforce to streamline processes, automate routine tasks, and drive innovation more effectively, resulting in significant cost savings.”
He further added that today, GCCs are evolving from being mere recipients of change to active enablers of it. They are investing heavily in training for cutting-edge technologies like generative AI, data analytics, and cloud computing to fuel global innovation and enhance organisational efficiency.