Article 03 - How does learning and development help to retain Talented employees: A comparison between the finance sectors of Sri Lanka and USA

In a fast-paced global economy at the present world, organizations must prioritize retaining their skilled workforce, particularly concerning the competitive financial industry. Regardless of the established financial industry in the USA or the expanding financial services sector in Sri Lanka, businesses need to implement efficient people management strategies to stay competitive. L&D, or learning and development, is one of the most effective tactics for keeping top people. This article will compare the talent management systems in the USA and Sri Lanka, with an emphasis on how both nations use learning and development programs to keep top personnel in the finance sector.

The Role of Learning and Development in Talent Management in Sri Lanka

When considering the Sri Lankan financial sector, at present it is depicting a significant growth in Digitalization of banking facilities, increasing in investments such as foreign investments and regulatory changes. To cope with the industrial demand, there is a major challenge to retain talented employees within the industry. It is because there is an increase of demand for talented employees in specialized banking areas such as Fin Tech, Risk Management and Islamic Finance. Therefore, commercial banks and insurance companies are focusing on improving their existing learning and development programs that satisfy their industrial needs.

Licensed commercial banks who are leading the banking industry in Sri Lanka is having specialized training programs for regulatory compliance, financial technology and certification courses are also offered such as IFRS and financial risk management. The objective of providing these kinds of learning opportunities is that industry leaders want their exiting employees to be competitive and knowledgeable to cope with other competitive banks within the industry. Furthermore, these kinds of initiatives help employees to know that their career development is being considered by their employers (Pallegedara and Madhsuhani, 2023). As per LinkedIn Learning, employees who acknowledge that they are being considered as assets to their exiting employer, they would work for a long period of time which would help to retain talented employees within the organization (LinkedIn Learning, 2025).

The Role of Learning and Development in Talent Management in the USA

In the financial sector of Unites States of America is one of the matured financial markets in the whole world. One of the matured financial markets is the New York global hub where high competition exists which influences financial institutions to invest in more learning and development programs. As an example, Federal Home Loan Bank offers their employees training and development opportunities named as Developing U- peer to peer learning L&D initiative and Toastmasters(Career Development - Federal Home Loan Bank of New York, no date). Furthermore, in general major financial institutions in New York are trying maintain their talented employee workforce by offering leadership training and areas of expertise in blockchain, cybersecurity and about risk management. Countries like the USA does not consider this as an expense to them, but they believe that it is an investment to have good talent management within their own financial institutions.

Financial Firms of United States of America is having a strong interest on leadership development along with technical expertise where these kind of training programs are offered to employees who have a high potential. Programs include leadership summits global retention programs, executive coaching programs where the target of the financial institutions is to prepare those employees to more senior positions. As per Zafar, an organization that gives prominence for leadership development programs, is aiming to develop their employee performance to a higher level along with improving company performance as well(Zafar, 2025). Furthermore, financial institutions like Bank of America have given their employees the opportunity to learn and develop their knowledge through giving access to LinkedIn learning.

Comparing Employee Retention Strategies in Sri Lanka and the USA

1. Financial Industry related training program investments

• Sri Lanka:

  Within Sri Lankan financial industry, there is narrow specification of consideration in sectors such as regulatory compliance, Islamic finance and digital banking. By training employees in accordance with the local and regional industries, this targeted approach enables organizations to provide their employees with skills that they might require rather than just filling in theoretical knowledge which might not practically align with their careers, creating a sense of meaningfulness and making them feel like the organization is investing in their professional growth.

• USA:

  Financial firms of United States are having more diversified approaches in offering varied experience and learning including technical courses (e.g. data analytics, blockchain) and leadership development. This wide-ranging strategy seeks to create versatile workers who can not only excel in various facets of the business but also progress into senior management roles.

2. Professional Development and Internal Mobility

• Sri Lanka:

  To retain top talented employees, organizations in Sri Lanka take initiatives to have advanced mentorship programs and internal career progression. This helps employees to witness their clear career path within the organization, which is particularly important in a developing market where external opportunities may not always be as readily available.

• USA:

  When it comes to the United States financial sector, they offer rotational leadership programs and as well as globalized mobility programs to their employees. High-potential employees are given opportunities to work across various departments or even different regions, which broadens their skills and keeps them engaged in the company.

Inspiration and Employee Participation

• Sri Lanka:

  Opportunities for personal growth has a great impact on employee engagement. Within Sri Lanka it is strongly influenced by personal development opportunities. Banks and insurance firms are increasingly offering specialized learning programs that emphasize both hard skills and soft skills, aiming to develop well-rounded professionals who are engaged and motivated.

• USA:

  When considering United States, Employee participation is greatly influenced by diversified learning culture within the workplace. Providing access to platforms like LinkedIn Learning and Coursera Learning gives an emphasis on continuous personal and professional growth. These kinds of initiatives create an environment where employees feel supported and valued.

Conclusion: Key Points to Consider in Developing Talent Management Mechanisms

Both Sri Lanka and United States of America is in the process of understanding how crucial learning and development (L&D) keeps the top talented employees within the finance industries. Employee engagement, internal mobility and career advancement initiatives are all important aspects when it comes to improving an effective work environment where employees are willing to give their full effort to the organization. Therefore, Financial Sectors of both the countries are willing to give their employees a clear vision on their career growth while providing learning and development opportunities that gives and effective talent management within the finance industry. This kind of Talent Management initiative should be adopted in order to sustain the economy by all of the other industries as well. Need to make sure that those initiatives are suitable for the industry that is focused on.

References

• Career Development - Federal Home Loan Bank of New York (no date). Available at: https://www.fhlbny.com/careers/career-development/ (Accessed: March 29, 2025).
• Linkedin Learning (2025) The rise of career champions.
• Pallegedara, S. and Madhsuhani, P.S. (2023) THE IMPACT OF TRAINING AND DEVELOPMENT AND SUPERVISOR SUPPORT ON EMPLOYEE RETENTION IN SELECTED PRIVATE BANKS IN SRI LANKA: THE MODERATING ROLE OF THE WORK ENVIRO THE IMPACT OF TRAINING AND DEVELOPMENT AND SUPERVISOR SUPPORT ON EMPLOYEE RETENTION IN SELECTED PRIVATE BANKS IN SRI LANKA: THE MODERATING ROLE OF THE WORK ENVIRONMENT. Available at: https://www.researchgate.net/publication/371292635.
• Zafar, M. (2025) “The Impact of Leadership Development Programs on Organizational Resilience and Change Management,” International Journal of Scientific Research and Management, 13(02). Available at: https://doi.org/10.18535/ijsrm/v13i02.em02.