Outsourcing companies in India are using new special programs to retain employees in an increasingly competitive market for skilled English speakers. Despite rising pay, outsourcing companies are facing annual attrition rates of 15 percent to 30 percent in their Indian labor force, compared to much lower attrition rates in other countries. Experts agree that employee turnover is one of the biggest challenges facing the Indian outsourcing industry.
See "Outsourcers in India fight for skilled labor", Saritha Rai, International Herald Tribune, October 31, 2005