ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -On-the-job training (widely known as OJT) is an important topic of human resource management. It helps develop the career of the individual and the prosperous growth of the organization. On the job training is a form of training provided at the workplace.

Detailed explanation-2: -Firms give on-the-job-training to enhance the productive skills of the workers so as to enable them to absorb new technologies and modern ideas. It can be given in two forms : (i) The workers may be trained in the firm itself under the supervision of a senior and experienced worker.

Detailed explanation-3: -Training allows the supervisors or managers to assess the progress of a person over a short period of time enabling them to determine any flaws or problems and rectifying the problem on the spot. This leads to higher efficiency of not only the person under training but also the organisation as a whole.

Detailed explanation-4: -Expenditure regarding on-the-job training is a source of human capital formation as the return of such expenditure in the form of enhanced labour productivity is more than the cost of it. People migrate in search of jobs that fetch them higher salaries than what they may get in their native places.