Organizations gain a competitive advantage through utilizing the skills and knowledge of their employees (Bach and Sisson 2000). According to Subedi (2006:90), the highest value for training perceived by managers, supervisors and employees was the "need for performance improvement". If this is true then why don't organizations and individuals still invest in training? Studies show that, although training is recognized as offering an avenue for developing skills, improving productivity and increasing individual and organizational performance (Pride et al 2009; Bulut and Culha 2010), in practice it is still quite rare (Lengermann 1996). While some organizations invest in training, others find it more practical to fire employees, subcontract, or temporarily hire less-skilled workers (Bach and Sisson 2000). Cost, fear of poaching, poor design of training programmes, the inability to ascertain economic returns and measure the effectiveness of training are recognized as some of the reasons why organizations and individuals do not invest in training (Bach and Sisson 2000 ; Lloyd 2002; Jameson 2000; Van den Bossche et al 2010). On the other hand, while individuals can acquire new skills to be better positioned in the labor market (Grugulis 2006), organizations invest in training to gain control also known as monopsonistic power (Booth and Zoega 2000), gain a competitive advantage (Bach and Sisson 2000) and to achieve employee commitment (Bulut and Culha 2010). This essay examines the benefits of training and development and possible reasons why organizations and individuals are reluctant to invest in training. The two main commonly practiced approaches to training are also examined in relation to how they influence...... half of the document ....../www.traintogain.gov.uk/Helping_Your_Business/ttgincontext/ (accessed on November 9, 2010). U.S. Department of Labor (2009). Occupational Outlook Handbook 2009: An Up to Date Guide to Today's Job Market, New York: Skyhorse Publishing Inc. pp. 60-65.UKCES: UK Commission for Employment and Skills (2010). National Employer Skills Survey for England 2010: Key findings report. http://www.ukces.org.uk/upload/pdf/NESS%20Key%20findings%202009_2.pdf (accessed 12 November 2010).Van den Bossche, P., Segers, M., and Jansen, N , (2010). “Training Transfer: The Role of Feedback in Social Support Networks” International Journal of Training and Development, Vol. 14, no. 4, pp. 81-94. Wickramasinghe, V.M. (2006) “Educational Objectives, Transfer, Validation and Evaluation: A Study of Sri Lanka.” The International Journal of Training and Development, Vol. 10, no. 3, pages. 227-247.