KARNATAKA SKILL DEVELOPMENT PLAN...The KJA, in its 7th Meeting, considered the report and has now finalised the KJA Recommendation on Karnataka Skill Development Plan – focusing

KJA RECOMMENDATION

KARNATAKA SKILL DEVELOPMENT PLAN

September 2017

Karnataka Jnana Aayoga

(Karnataka Knowledge Commission)

Government of Karnataka

PREPARED BY KJA TASK TEAM

(PREPARED BY KJA TASK TEAM)

(RECOMMENDATION SUBMITTED BY KJA)


September

2017




Published by:




Room No. 432, 433, 438 and 439

4th Floor, Vikasa Soudha

Dr. B. R. Ambedkar Veedhi

Bengaluru – 560 001

e-mail:[email protected]

www.karnataka.gov.in/jnanaayoga

mailto:[email protected]

http://www.karnataka.gov.in/jnanaayoga

K Kasturirangan,

Chairman, KJA

MESSAGE

Skill is the ability of any individual to carry out a task with high-level of performance

and repeatability – basically it develops with foundations of good education which

stimulates thinking and is developed with external training and orientation that brings

performance. Skill Development means developing, mostly newer or better skill sets to

add value for the work one does and achieve success and performance in the sphere

of an individual, an organization, in society, in governance or for the nation, at large.

General-skills and domain-specific skills are becoming critical in the career of

individuals and for workplace success. Nowadays, in a fast changing economic and

technological world that Karnataka is in, individuals will need a broad range of skills

to contribute to the economy and for their own success in life – stagnated skills and

learning is becoming a big hinderance in societal development. Different types of

skills - workforce skills, life skills, people skills, social skills, soft skills, hard skills etc. are

becoming more and more important for the people of the state of Karnataka.

KJA recognised the importance of skill development – especially in the un-organised

sector of the economy as also in the organised sector. Karnataka is on a high

economic growth path with a younger demographic advantage. Employment and

job will be the key focus for the state in the coming years – so will be developing a

culture of quality and excellence in our people’s work – be they farmers, teachers,

service providers, self-employed professionals, engineers, medical experts, scientists,

lawyers, governance professionals etc. It will be impinging on each individual to be

skilled in some field so that his economic success, thereby the state’s economic

success, can be ensured. It is imperative that organised sectors would develop sound

programmes for skill development for their work-force BUT it is also imperative on

government to address to the needs of the skilling for un-organised sector. Therefore,

a combined strategy is called for.

KJA constituted a Task team for working out a comprehensive skill development plan

for the state and brought together a set of experts onto the platform of KJA. I am

happy that the KJA Task Team on Skill Development Plan – led Mr. Manish Sabharwal,

Mr. Mohandas Pai and Ms. Neeti Sharma, with other experts as Members, has

prepared a comprehensive action plan. The KJA, in its 7th Meeting, considered the

report and has now finalised the KJA Recommendation on Karnataka Skill

Development Plan – focusing on a wide range of issues of skill needs for future and

how the un-organised and organised sectors would have to develop best practices

of skill development for the future needs of the state. Focus on vocational education

has also been emphasised. Career Centres will be the way forward for state and

industry to engage with candidates for jobs. Private sector involvement and

sponsorship is important for skill development – so will be the tremendous push that

Government would have to provide. This KJA Recommendation outlines a roadmap

by which Karnataka could engage in skill development activities and be in vanguard

of creating a vibrant high-skill society.

I use this opportunity to recall and appreciate the active participation of Dr Mukund

Rao, Member Secretary of KJA in the deliberations and also in coordinating for

formalising this KJA Recommendation. I would also like to positively acknowledge the

role of KJA Members – they have provided collective wisdom and direction to the

Task Team and, with unique inputs, have guided in the development of this

Recommendation. Without hesitation I can say that it is their collective efforts that one

more Recommendation from KJA is being submitted to Government of Karnataka –

this time on Skill Development. KJA is also grateful to Dr. Subhash Chandra Khuntia,

Chief Secretary, GoK; Mr. Sanjiv Kumar, ACS of Department for Skill Development,

Entrepreneurship and Livelihood and other senior officers of the Department for Skill

Development, Entrepreneurship and Livelihood for their support and help.

On behalf of the KJA, it gives me great pleasure to formally submit the KJA

Recommendation on Karnataka Skill Development Plan to Government of Karnataka

– I am sure that Government will make best efforts to implement this strategy.

FOREWORD

Government of Karnataka (GOK) has constituted Karnataka Jnana Aayoga (KJA) for

policy definition and recommending knowledge interventions/ideations for various

problems of governance and of society. KJA is mainly a recommendatory body –

generating various recommendations by closely working with the departments and

also taking cognizance of societal needs. KJA activities are mainly “proof-of-

concept” and are “anchored” with one or more departments of GOK – so that

executive implementation can get effectively coordinated by relevant departments

of GOK. Till date, KJA has submitted 10 recommendations on key topics to the GOK.

Skill Development was an important area of debate and discussion amongst KJA

Members. In 2015, the Aayoga decided to undertake a strategy development for

state skill development in a comprehensive manner. It was agreed that an expert

team be constituted for the purpose of developing a skill development plan - focusing

on efforts required from the state to address skill development in a variety of sectors

and involve education, employment, professional development and other in-service

skills.

Karnataka has recognized that knowledge and skill are the driving forces for sustained

growth of economy and social development in the state – the state has established

a new Department for Skill Development, Entrepreneurship and Livelihood directly

under the supervision of the Hon’ble Chief Minister. There is realisation and awareness

of the demand and need of skilled manpower in a number of sectors and also that

large scale skill development is an imminent imperative for the development of the

state – both in the un-organsied and organised economy. Karnataka needs to

prepare itself for higher and better levels of skills so that it can adapt more effectively

to the future challenges and opportunities of bringing development and prosperity to

the state in an effective and sustained manner.

A comprehensive skill development plan requires fundamental education reforms

across primary, secondary and higher education and innovations in

vocational/supplementary skill development. A large thrust to training and orientation

is also imperative for large sections of society. It is also essential that skill is seen as a

basic life-fundamental and is recognized as a changing constant in a span of time for

individuals/citizens, for society, for organisations, for the state and nation, at large. Skill

development plan must involve, apart from the prime role of GOK, role of private

sector, non-profit and for-profit initiatives with the goal of building up-scale models

that will bring many beneficial results. Life skill learning should start from school s in the

education system; professional skills would get developed with higher education and

training; performance skills would be essential with training and orientation. Thus,

individuals, in their life-time, would have to constantly develop skills - in areas other

than their basic education for a progressive and performance oriented career.

Society would have to adopt to changing skill needs and adapt to re-training,

industrial training etc. Governance skills are also needed to be improved to be able

to deal with government activities in future. Thus, a plethora of changing skill patterns

would emerge and the state has to constantly strategise and develop policies to

cater to these changes and demands of society.

As part of an overall process of skill development in the state, the KJA

Recommendation on Skill Development Plan has identified the need to re-define

employment exchanges into career guidance centres and bring in focus on careers

rather “jobs”; establishing a Skill/Vocational University that will enable skill

development leading to certification/degree and standardisation; corporate

involvement in skill development by allowing industry championship for skill

development in different sectors; a major thrust to apprenticeship in private sector

and government – especially bringing parity in best practices for apprenticeship and

engaging large number of government interns in the youth and developing a Skill

Department have been recommended. These recommendations have been

suggested based on an analysis of the status of overall developmental needs and

employment needs – both in the organised and un-organised sectors.

I would like to express my gratitude and thanks to the Task Team-Skill Development

Members and to the 2 Co-Chairs – Mr. Manish Sabharwal and Mr. Mohandas Pai and

to Ms. Neeti Sharma, Member-Secretary of the team for their excellent contributions

and leadership in preparing this report. I would like to thank all KJA Members – who

guided this activity through various deliberations. Ms. Nandhini from KJA Secretariat

has undertaken all the nitty-gritty coordination, research and drafting – her

contributions have been immense.

On behalf of KJA, I would like to thank Dr. Kasturirangan, Chairman, KJA – who

provides the key leadership to KJA, The Task Team was in constant discussion with Dr.

Kasturirangan – who provided innumerable suggestions and ideations for making the

strategy comprehensive and practical – considering a holistic approach of

education, skill development and employment. Grateful thanks to Dr. Kasturirangan

for his guidance, mentoring and overall steering of KJA activities and for guiding the

Skill Development Plan activity.

On behalf of KJA, I would like to place on record and acknowledge, with gratitude

and thanks to Chief Secretary, GOK; Additional Chief Secretary of Department for Skill

Development, Entrepreneurship and Livelihood and other officials of Skills Department

– all of whom have been supportive and provided valuable inputs to shape the KJA

Plan.

On behalf of the KJA, it is a matter of great pleasure for me that KJA Recommendation

on Karnataka Skill Development Plan is now submitted to GOK for further

implementation action.

(Mukund Kadursrinivas Rao)

Member Secretary – KJA

[email protected]

October 13, 2017


KJA RECOMMENDATION


PREFACE

An unprecedented situation calls for unprecedented solution. Six decades of Indian

economic policy has stunted the growth of the formal employment sector which

constitutes only 20% of the labour force. The rest of 80% in the informal sector is outside

the ambit of formal training. The informal sector lives in graded levels of economic

disadvantage – all in spite of increase in GDP. Serious economic, regional, social, and

gender disparities in education, health and income levels are indicators of low human

development. Mass education with increased enrolment in professional education

has not addressed the problems of unemployment and employability of the

graduates. The Vocational Skilling system has a requirement to create policies,

processes and services to facilitate holistic societal development and harmony.

Karnataka State renowned for entrepreneurial spirit, accounts for significant portion

of the industrial investment and production at national level. The State has also

become the Technology and Start-up capital of the country. The state recognizes the

criticality of skill training and continuous skill upgrade amidst globalized competition

and, encourages educational institutions to take up quantitative and qualitative

measures for capacity building.

The report on Karnataka Skill Development Plan is a culmination of series of meetings

and brainstorming sessions with several experts from Academia, Industry and

Government. The report sets the context for Karnataka State, current skills

development scenario and its challenges. The report presents several strategies and

policy recommendations that would enable the state to overcome its challenges in

skill building.

The recommendations submitted here aim to provide systemic and scalable solutions

to the State that would attempt to cover the difficult trinity of cost, quality and scale.

The policy recommendations call for a paradigm shift in Karnataka’s vocational

skilling system to empower the aspiring youth as well as all other key stakeholders and

ensure them a better future.

We are thankful to all the Members of the Skills Task Team for their contribution and

keen interest as well as the team of Karnataka Jnana Aayoga for having facilitated

the work of the Skills Task Team

Mr. Mohandas Pai

Co-Chair, TT-SKILL DEVELOPMENT

Mr. Manish Sabharwal

Co-Chair, TT-SKILL DEVELOPMENT

KJA RECOMMENDATION


KJA RECOMMENDATION


KJA TASK TEAM – KARNATAKA SKILL DEVELOPMENT PLAN (http://www.karnataka.gov.in/jnanaayoga/Pages/TGKSDP.aspx)

Co-Chairs of KARNATAKA SKILL DEVELOPMENT PLAN

• Mr. Manish Sabharwal, Member, KJA

• Mr. Mohandas Pai. T.V. Member, KJA

Member Secretary of KARNATAKA SKILL DEVELOPMENT PLAN

• Mrs. Neeti Sharma, Senior Vice-President and Co-Founder, TeamLease

Services, Bengaluru

Members of KARNATAKA SKILL DEVELOPMENT PLAN

• Mrs. Shukla Bose, Member, KJA

• Dr. Sunney Tharappa, Member, KJA

• Mr. Dilip Chenoy, Former, CEO and MD, NSDC, New Delhi

• Mr. Balachandar Nataraja, Group Director - HR, Cafe Coffee Day,

Bengaluru

• Mr. John Yates, CEO, Manipal City & Guilds, Bengaluru

• Mr. Raj Narayan, Chief HR Officer, Titan Company

• Dr. Mukund K. Rao, Member Secretary, KJA

• Additional Chief Secretary to Government, Department of Labour, GoK

• Principal Secretary to Government, Department of Higher Education, GoK

• Principal Secretary to Government, Department of Primary and Secondary

Education, GoK

Convenors of KARNATAKA SKILL DEVELOPMENT PLAN

• Ms. Nandhini R, Research Associate, KJA Secretariat (Present)

• Dr. Mrs. B.S. Padmavathi, Sr. Research Associate, KJA Secretariat (Formerly)

Research Associate of KARNATAKA SKILL DEVELOPMENT PLAN

• Mr. Animesh Pati – RA, KJA (Formerly)

• Ms. Rachana Lankapalli – RA, KJA (Formerly)

KJA Secretariat Support

• Mr. Ashok Kumar, Admn/Finance Executive, KJA Secretariat

• Mr. Ravi, DEO, KJA Secretariat

• Ms. Vinutha, KJA Secretariat

• Mr. Roshan, Fin Asst, KJA Secretariat

KJA RECOMMENDATION


KJA RECOMMENDATION


ACKNOWLEDGEMENTS

KJA has had numerous consultations and discussions with a wide range of experts and

officials of GOK. Grateful thanks to the following senior officers of GOK:

• Shri. Subhash Chandra Khuntia, IAS, Chief Secretary, Government of Karnataka –

who has provided the leadership of the bureaucracy to KJA and, specifically,

valuable guidance and direction to the Karnataka Skill Development Plan Task

Team.

• Shri. Sanjeev Kumar, IAS, Principal Secretary to Government, Department for Skill

Development, Entrepreneurship and Livelihood, Government of Karnataka (and

Shri. P.B. Ramamurthy, IAS, Additional Chief Secretary, Labour) for the valuable

feedbacks and ideas on sections involving labour skill and guidance to the KSDP

Task Team.

• Shri. Jawaid Akhtar, IAS, Additional Chief Secretary, Higher Education has been

extremely supportive in a pragmatic manner and has helped in the development

of ideations and the strategies for KSDP.

• Shri. Ajay Seth, IAS, (present) & Shri. Rajkumar Khatri, IAS, (former) Principal

Secretary to Government, Primary and Secondary Education for their contributions

and support to the Task Team for improving the infrastructure of Skill development

state vide.

• Shri. S.V. Ranganath, Vice Chairman, Karnataka State Higher Education,

Representatives from NSDC, Vocational Education; – for their invaluable inputs to

the Task Team to provide the best for the students in vocational education.

• Shri. Sameer Shukla, IAS, Commissioner Employment & Training for critically

evaluating the report and providing valuable inputs for finalizing it.

KJA gratefully acknowledges the support of the officials of the Departments of Skills,

Labour, Higher Education, Primary and Secondary Education; under Government of

Karnataka for participating in the numerous discussions and sharing their data in

preparing this report.

KJA expresses its gratitude to the large number of expert delegates who participated

in the important discussions that were conducted by the research group and KJA

thanks the various government agencies, industries and academia who participated.

KJA appreciates and acknowledges the remarkable contributions made by the Skill

Development Task Team and especially the 2 Co-Chairs – Mr. Manish Sabharwal and

Mr. Mohandas Pai. T.V for their enormous contribution, insightful suggestions and for

providing leadership in finalizing this Report.

KJA Members have been the “fulcrum” in defining and shaping the various activities

of KJA – in this case the KSDP Report. The KJA Members have had numerous meetings

KJA RECOMMENDATION


and brain storming sessions in bringing out this comprehensive report. Grateful thanks

to all the KJA Members.

KJA Secretariat provided the back-end research support and coordination support –

a team of youngsters that brought in vital energy in “sewing up” multiple elements

and helping the KSDP TT in all its meetings, record-keeping and in finalising the report.

--------------------------------------------X--------------------------------------------

KJA RECOMMENDATION


CONTENTS

MESSAGE

FOREWORD

PREFACE

KJA TASK TEAM – KARNATAKA SKILL DEVELOPMENT PLAN

ACKNOWLEDGEMENTS

EXECUTIVE SUMMARY ......................................................................................................... 1

1. INTRODUCTION ............................................................................................................. 3

1.1 SOCIO – ECONOMIC STATUS OF KARNATAKA ............................................... 3

1.2 GLOBAL TRENDS IN SKILL DEVELOPMENT ......................................................... 6

1.2.1 SKILL DEVELOPMENT IN AUSTRALIA .................................................................. 7

1.2.2 SKILL DEVELOPMENT IN GERMANY .................................................................. 8

1.2.3 SKILL DEVELOPMENT IN BRAZIL.......................................................................... 9

1.3 NATIONAL TRENDS IN SKILL DEVELOPMENT ................................................... 11

1.3.1 DEMOGRAPHIC DIVIDEND.............................................................................. 11

1.3.2 MARKET REQUIREMENT .................................................................................... 12

1.3.3 CURRENT STATUS OF VOCATIONAL TRAINING INFRASTRUCTURE ............... 13

1.3.4 ELEVENTH PLAN STRATEGIES ............................................................................ 15

2. SKILL DEVELOPMENT IN INDIA .................................................................................... 17

3. SKILL GAP IN KARNATAKA ......................................................................................... 21

3.1 STATE’S VOCATIONAL EDUCATION AND SKILL DEVELOPMENT ..................... 21

3.2 DEMOGRAPHIC DIVIDEND ............................................................................. 23

3.3 STATE LEVEL INITIATIVE .................................................................................... 24

3.4 VOCATIONAL EDUCATION IN KARNATAKA .................................................. 25

3.4.1 TRAINING OF TRAINERS .................................................................................... 27

4. SECTORWISE SKILL GAP ANAYLSIS ............................................................................. 31

4.1 BANKING, FINANCIAL SERVICES AND INSURANCE SECTOR ......................... 32

4.1.1 BANKING AND INSURANCE SECTOR IN KARNATAKA................................... 32

4.1.2 NON-BANKING FINANCIAL COMPANY ......................................................... 36

4.1.3 MUTUAL FUNDS ................................................................................................. 37

KJA RECOMMENDATION


4.2 CONSTRUCTION SECTOR ................................................................................ 37

4.2.1 GROWTH RATE OF CONSTRUCTION INDUSTRY IN INDIA .............................. 37

4.2.2 EMPLOYMENT IN THE SECTOR ......................................................................... 39

4.2.3 PRESENT LABOUR SUPPLY ................................................................................ 40

4.2.4 PROJECTED LABOUR DEMAND ...................................................................... 41

4.3 TEXTILE AND GARMENTS SECTOR ................................................................... 42

4.3.1 INTRODUCTION ................................................................................................. 42

4.3.2 EMPLOYMENT IN TEXTILE SECTOR ................................................................... 45

4.4 MEDIA AND ENTERTAINMENT INDUSTRY ........................................................ 46

4.4.1 INTRODUCTION ................................................................................................. 46

4.4.2 FILM AND TELEVISION....................................................................................... 47

4.4.3 ANIMATION VFX AND GAMING ..................................................................... 47

4.4.4 SKILL GAP .......................................................................................................... 48

4.5 AGRICUTURE ................................................................................................... 48

4.5.1 AGRICULTURE PROFILE OF THE STATE ............................................................. 48

4.5.2 WORK FORCE IN AGRICULTURE: .................................................................... 49

4.5.3 ALLIED SECTORS ............................................................................................... 50

4.5.4 SKILL GAP .......................................................................................................... 52

4.6 TOURISM AND HOSPITALITY ............................................................................ 53

4.6.1 EMPLOYMENT IN TOURISM SECTOR ................................................................ 54

4.7 HEALTHCARE ................................................................................................... 55

4.7.1 INTRODUCTION ................................................................................................. 55

4.7.2 EMPLOYMENT IN HEALTHCARE SECTOR ........................................................ 56

4.7.3 PROJECTED LABOUR DEMAND ...................................................................... 56

4.7.4 SKILL GAP .......................................................................................................... 57

4.8 IT AND ITES ...................................................................................................... 57

4.8.1 PROJECTED GROWTH OF EMPLOYMENT ....................................................... 58

4.8.2 DEMAND DRIVERS OF THE SECTOR ................................................................ 59

4.9 THE UNORGANIZED SECTOR ........................................................................... 60

4.9.1 TEXTILE SECTOR ................................................................................................. 61

KJA RECOMMENDATION


4.9.2 TOURISM SECTOR ............................................................................................. 62

4.9.3 THE FURNITURE AND FURNISHING INDUSTRY .................................................. 62

4.9.4 CONSTRUCTION AND REAL ESTATE ................................................................ 62

4.9.5 DOMESTIC WORKERS ....................................................................................... 63

4.9.6 WELLNESS SECTOR (SALON AND SPA) ........................................................... 63

4.9.7 SECURITY GUARDS ........................................................................................... 64

4.9.8 HANDICRAFTS ................................................................................................... 64

4.9.9 AGARBATTI MAKING ........................................................................................ 64

5. RECOMMENDATIONS ................................................................................................. 67

5.1 AIMS AND OBJECTIVES OF THE SKILL POLICY ................................................ 67

5.2 POLICY INTERVENTIONS FOR PROMOTING SKILLS AMONG YOUTH ............. 69

5.2.1 INFORMATION, AWARENESS AND MOBILISATION ........................................ 70

5.2.2 ASPIRATIONS AMONG YOUTH ........................................................................ 71

5.2.3 STANDARD CURRICULA AND COURSES ........................................................ 72

5.3 POLICY INTERVENTIONS FOR SKILL TRAINING................................................ 72

5.3.1 TRAINING INFRASTRUCTURE ............................................................................ 72

5.3.2 IMPROVING QUALITY OF TRAINING AND CAPACITY OF TEACHERS .......... 73

5.3.3 CAREER GUIDANCE AND PLACEMENT SUPPORT SERVICES ........................ 74

5.3.4 OVERSEAS EMPLOYMENT ................................................................................ 74

5.3.5 APPRENTICESHIP PROGRAMME ..................................................................... 74

5.3.6 VOCATIONAL TRAINING FOR SCHOOL DROPOUTS ..................................... 75

5.4 ENTREPRENEURSHIP DEVELOPMENT AND LIVELIHOOD PROMOTION POLICIES

......................................................................................................................... 75

5.4.1 SKILLS FOR ENTREPRENEURSHIP DEVELOPMENT ............................................ 76

5.4.2 LIVELIHOOD PROMOTION POLLICIES ............................................................. 76

5.4.3 CLUSTER DEVELOPMENT .................................................................................. 77

5.5 MATCHING ...................................................................................................... 78

5.5.1 REVAMP EMPLOYMENT EXCHANGES TO CAREER CENTERS ....................... 78

5.5.2 OBJECTIVE OF THE CAREER CENTERS ............................................................ 78

5.5.3 STRUCTURE ........................................................................................................ 79

KJA RECOMMENDATION


5.5.4 LABOUR LAW AMENDMENTS .......................................................................... 82

5.6 REPAIR ............................................................................................................. 87

5.6.1 STRENGTHEN SKILLS DEPARTMENT .................................................................. 87

5.6.2 IDENTIFY CORPORATE CHAMPIONS .............................................................. 88

5.6.3 STATE LEVEL SKILLS DEVELOPMENT PROGRAM ............................................. 92

5.6.4 CREATE A STATE APPRENTICESHIP CORPORATION ...................................... 93

5.6.5 FOCUSSED SKILLS DEVELOPMENT PROGRAMS FOR THE UNORGANIZED

SECTOR .............................................................................................................. 94

5.7 PREPARE .......................................................................................................... 94

5.7.1 SET UP VOCATIONAL UNIVERSITY THAT PROVIDES A QUALIFICATION

CORRIDOR FOR ITIS/ POLYTECHNICS ETC. WITH ROADMAP TO UNIVERSITY

DEGREE .............................................................................................................. 94

5.7.2 VOCATIONAL SKILLS AS AN ALTERNATE TO LANGUAGES/ VOCATIONAL

SKILLS AT SCHOOL LEVEL ................................................................................. 96

5.7.3 ENGLISH LANGUAGE AT SCHOOLS ................................................................ 97

5.7.4 CAPACITY BUILDING OF SCHOOLS / UNIVERSITY / VOCATIONAL SKILLS

TEACHERS .......................................................................................................... 98

5.8 INITIATION ....................................................................................................... 99

5.8.1 PHASE 1 INITIATION (THE NEXT TWO YEARS – TILL 2019) ............................... 99

ANNEXURE - 1: VOCATIONAL SKILLS UNIVERSITY .......................................................... 101

INTRODUCTION ............................................................................................................. 102

EVOLUTION OF DIFFERENT TYPES OF UNIVERSITIES IN INDIA ..................................... 103

CLASSIFICATION OF UNIVERSITIES ............................................................................... 106

CONTEMPORARY SKILL DEVELOPMENT ISSUES IN INDIA........................................... 106

COMPREHENSIVE SKILL EDUCATION: NEED FOR NEW VARIETY OF TERTIARY

EDUCATIONAL INSTITUTIONS ........................................................................................ 111

HIGHER EDUCATIONAL SYSTEM IN AN UNPRECEDENTED SITUATION ...................... 117

VOCATIONAL UNIVERSITY SYSTEM – A NECESSITY OF THE GLOBALIZED WORLD .. 120

SKILLS UNIVERSITY- A SUPPORTIVE SYSTEM FOR SKILL DEVELOPMENT EFFORTS OF

STATE GOVERNMENT .................................................................................................... 123

SKILLS UNIVERSITY - ORGANIZATIONAL ASPECTS ....................................................... 123

KJA RECOMMENDATION


THE SKILLS UNIVERSITY – SOME FEATURES ................................................................... 127

RATIONALE FOR TWO-YEAR TENURE FOR ASSOCIATE DEGREE PROGRAMMES .... 131

STRATEGY FOR CURRICULUM DESIGN USING CREDIT ASSIGNMENT AND

MODULARIZATION ........................................................................................................ 132

METHODOLOGY FOR CURRICULUM IMPLEMENTATION ........................................... 143

ANNEXURE- 2: GO on KARNATAKA JNANA AAYOGA (KJA) .................................... 151

LIST OF FIGURES AND TABLES

TABLE 1-1 GSDP AND SECTORAL SHARE OF GSDP ..................................................................................................... 3

TABLE 1-2 EDUCATION INFRASTRUCTURE IN KARNATAKA ............................................................................................. 4

TABLE 1-3 GROSS ENROLMENT RATIO OF VARIOUS EDUCATION LEVELS IN KARNATAKA ....................................................... 4

TABLE 1-4 DROPOUT RATE OF VARIOUS EDUCATION LEVELS IN KARNATAKA ..................................................................... 4

TABLE 1-5 CRUDE BIRTH RATE (1995-2015) ............................................................................................................ 5

FIGURE 1-1 LEVELS OF BRAZILIAN VOCATIONAL SYSTEM .............................................................................................. 10

TABLE 1-6 BEST PRACTICES OF SKILL DEVELOPMENT IN OTHER COUNTRIES .................................................................... 11

FIGURE 1-2 PROJECTION OF WORKING AGE GROUP FOR 2020 ..................................................................................... 12

FIGURE 3-1 SECTOR-WISE CONTRIBUTION TO GDP .................................................................................................... 21

TABLE 3-1 SECTOR-WISE CONTRIBUTION TO GSDP AND EMPLOYMENT ........................................................................ 21

TABLE 3-2 SECTOR WISE PROJECTION OF PER CAPITA INCOME .................................................................................... 22

TABLE 3-3 PROJECTED SECTOR-WISE CONTRIBUTION TO GSDP AND EMPLOYMENT ........................................................ 23

FIGURE 3-2 GDP – AT CONSTANT (2004-05) PRICES ................................................................................................ 23

TABLE 3-4 TRAINING INSTITUTES STATUS ................................................................................................................ 25

TABLE 4-1 CURRENT EMPLOYMENT IN SEGMENTS OF BFSI INDUSTRY ........................................................................... 33

TABLE 4-2 PROJECTED LABOUR DEMAND FOR BANKING SECTOR ................................................................................. 34

FIGURE 4-1 PROJECTED LABOUR DEMAND FOR BANKING SECTOR ................................................................................. 34

TABLE 4-3 PROJECTED LABOUR DEMAND FOR INSURANCE SECTOR ............................................................................... 35

FIGURE 4-2 PROJECTED LABOUR DEMAND ................................................................................................................ 35

TABLE 4-4 NON-BANKING FINANCIAL COMPANIES IN KARNATAKA ............................................................................... 36

TABLE 4-5 KEY POINTS OF CONSTRUCTION INDUSTRY ................................................................................................ 38

FIGURE 4-3 EMPLOYMENT STRUCTURE IN CONSTRUCTION SECTOR ................................................................................ 40

FIGURE 4-4 NUMBER OF CONSTRUCTION WORKERS REGISTERED .................................................................................. 41

FIGURE 4-5 EMPLOYMENT OPPORTUNITIES IN REAL ESTATE SECTOR .............................................................................. 41

TABLE 4-6 PROJECTED DEMAND FOR CONSTRUCTION WORKERS ................................................................................. 42

FIGURE 4-6 PROJECTED LABOUR DEMAND FOR CONSTRUCTION WORKERS ..................................................................... 42

TABLE 4-7 READY GARMENTS AND TEXTILE IN KARNATAKA ......................................................................................... 43

TABLE 4-8 EXPORT PERFORMANCE OF KARNATAKA STATE .......................................................................................... 43

FIGURE 4-7 VALUE OF CHAIN OF TEXTILE INDUSTRY .................................................................................................... 44

KJA RECOMMENDATION


TABLE 4-9 HANDLOOM WEAVERS AND LOOMS IN KARNATAKA ................................................................................... 45

TABLE 4-10 INCREMENTAL DEMAND FOR LABOUR IN TEXTILE INDUSTRY ......................................................................... 46

TABLE 4-11 AGRICULTURE WORKFORCE IN KARNATAKA .............................................................................................. 49

TABLE 4-12 WORKFORCE ENGAGED IN AGRICULTURE.................................................................................................. 50

TABLE 4-13 FISHERIES CAPACITY & WORK FORCE ...................................................................................................... 51

TABLE 4-14 HORTICULTURE BUDGET ALLOCATION ...................................................................................................... 51

TABLE 4-15 EMPLOYMENT IN SERICULTURE ............................................................................................................... 52

TABLE 4-16 REVENUE REALIZED BY TOURISM ............................................................................................................. 53

TABLE 4-17 NUMBER OF TOURIST ARRIVALS IN KARNATAKA ......................................................................................... 54

TABLE 4-18 EMPLOYMENT IN TOURISM SECTOR ......................................................................................................... 54

TABLE 4-19 HEALTH INFRASTRUCTURE IN KARNATAKA ................................................................................................. 55

TABLE 4-20 MANPOWER REQUIRED IN HOSPITAL ....................................................................................................... 56

TABLE 4-21 INCREMENTAL DEMAND FOR MAN- POWER IN HEALTH SECTOR ................................................................... 57

TABLE 4-22 PERFORMANCE OF INFORMATION AND COMMUNICATION TECHNOLOGY SECTOR ............................................. 58

TABLE 4-23 OVERALL TURNOVER OF IT- SECTOR ........................................................................................................ 58

TABLE 4-24 EMPLOYMENT GENERATED BY THE IT SECTOR ........................................................................................... 59

TABLE 4-25 SHARE OF LABOUR INPUT IN UNORGANISED SECTOR ................................................................................... 60

FIGURE 5-1 ECOSYSTEM ........................................................................................................................................ 81

FIGURE 5-2 CAREER CENTRE WORK FLOW ................................................................................................................ 81

TABLE 5-1 SALARY DEDUCTION ............................................................................................................................. 84

TABLE 5-2 POTENTIAL CHAMPION EMPLOYERS ......................................................................................................... 90

FIGURE A-1 CLASSIFICATION OF UNIVERSITIES BASED ON TYPE OF OWNERSHIP .............................................................. 106

FIGURE A-2 CLASSIFICATION OF UNIVERSITIES BASED ON DOMAINS OFFERED ................................................................ 106

TABLE A - 1 CONTRASTING THE DESIRABLE ATTRIBUTES WITH THE CHARACTERISTICS OF SPECIFIED INSTITUTIONS ................. 115

FIGURE A-3 ORGANIZATIONAL CHART OF SKILLS UNIVERSITY ...................................................................................... 125

FIGURE A-4 ORGANIZATIONAL CHART OF THE UNITS REPORTING TO PROVOST ............................................................... 126

FIGURE A-5 ORGANIZATIONAL CHART OF THE CAMPUS ADMINISTRATION UNIT.............................................................. 126

FIGURE A-6 ORGANIZATIONAL CHART OF THE CAMPUS ACADEMIC UNIT (ONLY A FEW DOMAINS SHOWN) ........................... 127

FIGURE A-7 ORGANIZATIONAL CHART OF COMMUNITY COLLEGES ............................................................................... 127

TABLE A - 2 TEMPLATE FOR SEMESTER-WISE DOMAIN SPECIFIC PROGRAMME STRUCTURE ............................................... 134

FIGURE A-8 REPRESENTATION OF GENERAL MODULARIZATION ................................................................................... 135

FIGURE A-9 REPRESENTATION OF BLOCK MODULARIZATION ....................................................................................... 136

FIGURE A-10 REPRESENTATION OF FRAGMENTAL MODULARIZATION .............................................................................. 137

FIGURE A-11 REPRESENTATION OF BRANCHING MODULARIZATION ................................................................................ 138

FIGURE A-12 CURRICULUM SPREAD ......................................................................................................................... 141

TABLE A - 3 INSTRUCTIONAL TIME FOR ASSOCIATE DEGREE ......................................................................................... 142

TABLE A - 4 CATEGORIES OF FACULTY REQUIRED ...................................................................................................... 143

TABLE A - 5 PROPOSED PROGRAM-WISE FEE STRUCTURE ........................................................................................... 146

TABLE A - 6 AN ESTIMATE ON PROGRAM-WISE STUDENT ENROLMENT ......................................................................... 147

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KJA Recommendation 1 | P a g e

EXECUTIVE SUMMARY

We are all aware of the demographic dividend that India is set to experience over

the next twenty years. A predominant section of the population will be young and

shall be seeking employment. To make the most of this phenomenon, every individual

has to be equipped in such a manner that they can earn their livelihood and thereby

contribute towards the economy. It is for this reason that immediate attention must be

given to skill development. To ensure successful skilling of the nation, it is important that

efforts are made at the State level. Understanding this need, Karnataka envisions

building a strong framework that will provide a wide range of skilling programs and this

“Report on Karnataka Skill Development Plan” provides guidance and policy

recommendations to build such a framework. Karnataka has already established itself

in the field of Information Technology and Biotechnology and therefore it has a natural

advantage of having a strong formal sector to lead skill development initiatives. It

cannot just develop initiatives for skilling but also pave the way for the rest of the

country to follow its lead.

It was envisioned that the report will be a comprehensive document that analyses

every aspect of vocational education to ensure that the best of best is provided to

the students in Karnataka. The report explores skill development programs of other

countries and of India to identify their best practices. The report also contains a

detailed study on some important sectors in Karnataka. The growth and labour pattern

of each of these sectors have been studied to estimate future projections. The

potential demand for labour in a sector will help in identifying which sectors need

attention. Based on interactions with professionals in these sectors, a set of skill gap

has been identified. Using this, a focused skilling program can be implemented at the

State level. In addition to training, the report also addresses the issue of employment.

The recommendation takes into account both these factors.

Vocational education should be introduced in the schools at secondary level as it is

an age at which children are old enough to identify what interests them and what

doesn’t. At present vocational education courses are limited in number. Many

mainstream schools do not provide vocational courses which leads to inaccessibility

and to an extent lack of awareness. In addition to this, the vocational curriculum has

failed to attract academically successful professionals, though they are in grave need

of job skills. The stigma that the vocational education and training courses are mainly

meant for academically less proficient people has greatly contributed to this notion.

It is imperative that an image building exercise be undertaken for vocational

education and skill development. Vocational Courses need to be designed for all

levels above class 8. This ensures that students have the freedom to switch over from

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general education at any time. It was strongly felt that there needs to be a two-way

movement between general education and vocational education. Students, who

have opted for vocational education at PUC level, do not have the option to return

to general education. This barrier needs to be removed.

The heart of any course lies in its content. The curriculum of all vocational courses must

be up-to-date and made relevant. They must be in tandem with the demand of the

sector and modelled along the lines of global markets. Students must be trained in

such a manner that they can be absorbed in both domestic and global markets.

The Government should undertake a targeted approach towards expanding skill

development infrastructure across the state. To achieve success in this ambitious

skilling mission, it is recommended that following initiatives be undertaken:

• Establishing Career Centres: These centres will be equipped with state of the

art infrastructure, propose to conduct training and offer jobs to local youth.

They will also provide counseling services to job seekers to improve their

employability. The Centre would also help job seekers in job matching services.

• State Skill Department: The newly formed Skills Department should be the nodal

agency for all vocational skilling in the state. This is to ensure that skill

development gets adequate focus. The department should manage the

state’s skill budget, fund apprenticeship programs and channelize entry level

employment through this department.

• Corporate Championship Program: Under this program a company

collaborates with the government to provide training and employment to a pre

– decided number of people. The government will fund other logistic related

expenses. This program will enable Government to bridge the skill gap by

funding training projects that are on par with global standards, and ensure

placement, retention and career progression.

• State Apprenticeship Program: The number of apprentices in India is far less

than that in Japan, Germany and China. To increase the number of

apprentices to a significant level in the State, it is proposed to set up Karnataka

Apprenticeship Corporation. This would be the nodal agency facilitating

apprenticeship program between and among all the stakeholders, including

the central agencies.

• State Level Skill Development Program: The State level skill development

program named Karnataka YuvaKaushalya Program (KYKP) will provide

vocational skills to the identified target groups, which among others include

women, marginalised class and unemployed youth on mission mode basis.

--------------------------------X--------------------------------

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1. INTRODUCTION

1.1 SOCIO – ECONOMIC STATUS OF KARNATAKA

Karnataka has displayed a consistent increase in its human development index in the

past three decades. Although the state rank within the country fell from a position of

6 in 1981 to 10 in 2011, one must not immediately attribute such a fall to poor

education and health as per capita GDP plays a significant role in the same. The per

capita income of the state for the year 2014-15 was Rs 1,01,594. The per capita income

increased more than fourfold from 2000-01 when it was only Rs 18,344. The same trend

can be observed with the State Gross Domestic Product too. The table below

compares Income figures for the years 2000-01 and 2014-15. The values are at current

prices.

Table 1-1 GSDP and Sectoral Share of GSDP

GSDP and Sectoral Share of GSDP

Income Levels (at current Prices) 2000-01 2014-15 CAGR

State Income (in Rs. Cr) 96348 702131 15.24%

Primary Sector 31473 128518 10.57%

Secondary Sector 18684 158679 16.51%

Tertiary Sector 46191 414934 16.98%

Per Capita 18344 101594 13.01%

Data Source: Economic Survey of Karnataka 2014-15

In addition to having a continuous revenue stream, a person must have access to

proper education and health services. It is for this reason that the Government lays

great stress on providing these facilities to its citizens. These services are provided to

enable people improve their conditions in life. The State of Karnataka has been

providing these services to its people. It has a wide network of schools and hospitals

that cater to the needs of its people.

Karnataka has been performing very well in the Education sector. The state’s

achievement in education has been quite remarkable, and it is moving towards

universal literacy at a steady pace. The literacy rate increased from 56.04 per cent in

1991 to 75.40 per cent in 2011, with the female literacy rate increasing more swiftly

than the male literacy rate. Overall, the gender disparity in literacy is also declining.

The decline is not very stark in rural areas as the literacy rate for women continues to

be below 60 per cent. The Table 1.2 gives an overview of Education infrastructure in

the state:

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Table 1-2 Education Infrastructure in Karnataka

Education Infrastructure in Karnataka Type of School No. of Schools Enrolment

Lower Primary School 26374 5,264,365

Higher Primary School 29862 3,224,388

Higher Secondary 15043 1,482,199

PUC 4688 1,145,834

The Gross Enrolment Ratios for lower levels of schooling have recorded high figures for

the year 2014-151.The table 1.3 clearly indicates that GER of higher secondary level

remains low.

Table 1-3 Gross Enrolment Ratio of various education levels in Karnataka

Gross Enrolment Ratio of various education levels in Karnataka

Primary Level Upper Primary Level

Elementary

Level

Secondary

Level

Higher

Secondary

Level

2013-14 100.96 91.81 97.49 77.49 18.39

2014-15 101.86 93.18 98.59 81.8 32.96

Data Source: School Education in India; National University of Educational Planning and

Administration

Table 1-4 Dropout rate of various Education Levels in Karnataka

Dropout rate of various Education Levels in Karnataka

Primary Level Upper Primary Level Secondary Level Grade XI to XII

2012-13 2.97 5.05 39.92 15.33

2013-14 2.32 2.51 27.57 -

Data Source: School Education in India; National University of Educational Planning and Administration

The dropout rate fell from 2.97% in 2012-13 to 2.32% in 2013-14 at Primary Level. The

Dropout rate in Upper primary fell by half in the same time period. “Karnataka has

taken steps to recruit women teachers, whose numbers went up to 54 per cent in 2003-

04. It is seen that from 2005 the number of female teachers continue to be more than

50%, with 2014-15 recording 59.4% (Planning, Programme Monitoring & Statistics

1 “The Gross Enrolment Ratio (GER) and Net Enrolment Ratio (NER) in lower primary are 102.36 and 93.56 respectively in 2013-14. At higher primary stage the GER and NER is 90.47 and 81.78 in 2013-14. At the secondary level the GER and NER are 75.99 and 55.33 respectively in 2013-14” (Economic Survey of Karnataka 2013-2014).

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Department 2014-15)2. The state is taking efforts to achieve high literacy levels by

ensuring that there are schools within travelling distances and that all schools have

adequate infrastructure facilities.

With regard to healthcare, the state has hospitals at various levels to cater to medical

needs of the population. There are 32 District Hospitals, 146 sub-divisional hospitals and

29 Autonomous & Teaching Hospitals in the State. The primary health infrastructure in

rural areas has fulfilled the norms required under the “minimum needs programme” at

the aggregate level. There are 9264 Sub centres, 2233 Primary health centres (PHC),

193 community health centres (CHC) and, 146 Taluk hospitals catering to the health

needs of the rural population3. NRHM has indicated that there is a shortage of Sub

centres and CHCs vis-a-vis the population. List of shortfalls in various categories have

been covered below:

Table 1-5 Crude Birth Rate (1995-2015)

Crude Birth Rate (1995-2015)

Year Crude Birth Rate4 Year Crude Birth Rate

1995 24.1 2006 20.1

1996 23 2007 19.9

1997 22.7 2008 19.8

1998 22 2009 19.5

1999 22.3 2010 19.2

2000 22 2011 18.8

2001 22.2 2012 18.5

2002 22.1 2013 18.3

2003 21.8 2014 18.0

2004 20.9 2015 17.8

2005 20.6 2016

17.5

The current population of Karnataka is 6.52 crores5. The fertility rate of Karnataka is

1.96. It is below replacement rate of 2.1. The fertility rate of Karnataka is below that of

2 Data Source – District Information System of Education; “Elementary Education in India: Trends (2005-2015)”; 27th August 2015 3 Ministry of Health, Rural Health Statistics in India (2014), Number of sub divisional hospital and district hospital & mobile medical units functioning as on 31st March 2014; Number of Community Health Centres during five year plans as on 31st March 2014 Number of sub centres during five year plans as on 31st March 2014 Number of primary health centres during five year plans as on 31st March 2014 [Data Set]. https://nrhm-mis.nic.in/SitePages/Home.aspx 4 Ministry of Health and Family Welfare, Department of Health and Family Welfare, Family Welfare Statistics, State wise Crude Birth Rate (CBR) of India from 1971 to 2012 [Data Set] https://nrhm-mis.nic.in/Publications.asp... 5 The population figure of the current year is estimated based on past census figures. 6 Census of India, Sample Registration System 2012

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India at 2.4. In addition to this, the birth rate has been gradually decreasing over the

past two decades. The State has been declining in population and this has important

implications on schools and healthcare provision. This means Karnataka has to reorient

its strategy to cater to needs of people coming into the working age group, provide

skills training and also prepare for issues when this large population retires. Some of the

issues to be addressed are:

• The large population of youth will age after some decades, and the demand

for health facilities will therefore increase. Adequate measures need to be

taken to ensure that this demand will be met.

• The number of babies born every year in absolute number is gradually

decreasing; therefore, the need for elementary schools will also fall. It is time

that the Government focuses on the quality over the quantity of these schools

to ensure that the future generations benefit from quality elementary

education.

• Due to the demographic dividend, over the next twenty years, number of

people in the age group of 15 and above is going to rise. Therefore, there would

be a rise in demand for higher education. The Government must ensure that

there is adequate physical and soft infrastructure to cater to the increased

demand.

• There is a need to revisit our education curriculum at all levels to ensure that it

is relevant for the current century. With rapid technological progress, it is

important that the present and future generations are equipped to manage

and adapt to changes in technology.

1.2 GLOBAL TRENDS IN SKILL DEVELOPMENT

The concept of development that dominated the past century has been broadened

by scholars to include a holistic and humanistic approach to development. At the turn

of the last century, providing education facilities for citizens was considered a fiscal

expenditure. Today it is seen as an investment in human capital. It is an attempt to

enable individuals to tap into their potential and optimize their productivity. Therefore,

the key to economic growth lies in the talent, know-how, skills and capabilities of its

people – its human capital. Investing in this and innovating for education and

employment is critical to both public and private interests.

Moreover, ‘high levels of global unemployment and the rapidly changing nature of

work indicate a growing labour-market crisis, threatening livelihoods and

exacerbating inequality and social tensions’ World Economic Forum 2015). Global

unemployment rate is at 11.7% which is higher than that of the pre-recession rate

(International Labour Organization 2015). In 2015, according to the ILO, 201 million

people around the world are unemployed and these numbers are predicted to

increase to 212 million by 2019. The report credits the rise in unemployment to the slow

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growth of global economy. Industry is also reporting difficulties in finding talent and

many positions remain vacant, which indicate that there is a growing mismatch

between demand and supply of skills.

Technical and vocational education and training (TVET) is steadily emerging as a

winner in the ‘race to the top’ of global debates and government priorities for

education and national development agendas (Marope, Chakroun and K.P.Holmes

2015). TVET consists of formal, non-formal and informal learning for working in industries.

The courses are designed for specific job profiles. Individuals learn know-how and skills

from basic to advanced levels across a wide range of institutional and work settings

and in diverse socio-economic contexts. This will equip them to enter job markets and

to upgrade their skills to climb up the ladder. UNESCO states that skill development is

imperative for poverty reduction, economic recovery and sustainable development.

As India is also trying to address the skilling issues to optimize its demographic dividend;

our attention towards policy on skill development has increased.

Both developed and developing nations are realizing that the situation of

unemployment can be effectively addressed through quality education and

appropriate skilling. Skilled labour would also lead to higher production. This has

resulted in countries giving more attention to skill development. In this regard, many

countries have come out with national policies on skill development aimed at bridging

skill gaps. For the purpose of this report, skill development policies adopted by

Australia and Germany are explored as their models of skill development are well

recognized across the globe. Additionally, skill development policy of Brazil is looked

into as it is a developing nation like India with a similar economic environment.

1.2.1 SKILL DEVELOPMENT IN AUSTRALIA

Vocational Education and Training (VET) forms an integral part of the Australian

education system and is designed to deliver workplace specific skills and knowledge-

based competencies. VET is a sophisticated system governed by interconnected

government and independent bodies functioning within, a strict National Skills

Framework of Qualifications defined by Industry Training Packages and explicit quality

delivery standards of the Australia Quality Training Framework (AQTF). The national VET

system is informed by industry and is client-focused to deliver flexible, relevant and

responsive education and training.

Australia has a separate regulatory body for vocational education and training (VET)

known as the Australian Skill Quality Authority. This body supervises training providers,

known as Registered Training Organisations (RTOs), and monitors their compliance

with the VET Quality Framework or the Australian Qualifications Training Framework

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(AQTF) through audits (iVET, 2014). National Skills Standards Councils support the

regulatory framework for vocational education by advising ministers on the

development, maintenance and implementation of the national standards for

regulation of VET.

The Apprenticeships model has been a mechanism for skills development in Australia

for over a century. Thereafter, Traineeships were introduced as an extension of the

Australian Apprenticeship model with the aim of acting as a ‘stepping stone’ into

primary labour market jobs in order to improve and increase broad based work-

related training. The target group for traineeships are those who had left school before

completing year-12 and in the longer term is to assist others such as those returning to

the workforce, especially women. It was also hoped that by extending the Australian

Apprenticeship model to a wider range of occupations the gender imbalance in the

training model at the time could be corrected to some extent.

Traineeship in health services, community services, aged care and child care, has

contributed enormously to the professionalization of these industries and improvement

in both quality and consistency of service delivery. The improvement of occupational

qualification through traineeship pathways continues to contribute to higher quality

transferable skills across the economy."

1.2.2 SKILL DEVELOPMENT IN GERMANY

In the German education system students commence vocational training upon

completion of high school (age 15-Table 1.6 says 13 years) and the courses span two

to three years. ‘Learning by doing’ is the cornerstone of this system as it combines

hands-on practical exposure with theoretical study. It is a dual system in which a

balanced curriculum of structured training in a company is accompanied by part-

time classroom tuition in vocational and general subjects. Through this mechanism,

students graduate with a university degree and substantial work experience in their

field of interest. The apprenticeship offers 350 occupations covering diverse

fields. Because apprenticeships are such a good route into skilled jobs, many students

who have completed upper secondary school also start with an apprenticeship, even

if they have the credentials to enter university. In order to make the model feasible,

Germany relies on government funding for the schools whereas corporate institutions

provide skill training and job experience.

Regulation and partnership are two principles that make this system successful.

Representatives of the federal state, individual states, employers and employees work

together through consensus to develop curricula, provide training, and carry out

assessment, certification and quality assurance. Also, mutual trust and long-term

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commitment to human resource development have enabled the dual system to

deliver skill sets that meet employers’ requirements while guaranteeing employees

sufficient skills to change jobs and move up the career ladder.

Germany’s economy is described as ‘high skills equilibrium.’ A broad industrial base,

with a large number of small and medium-sized companies involved in export-

oriented activities, requires a highly skilled workforce. Accordingly, companies see

apprenticeships as a vital investment to guarantee their long-term competitiveness.

Training Institutions are at the centre of this model. These institutions have to be aware

of changing needs of the industry and mould their curriculum accordingly. Only then

is the success of such a model is guaranteed. The contribution of trainers is also crucial.

It is through them that the students gain hands-on experience. Therefore, having

experienced trainers who have industry exposure is imperative for this model. It is

important to note that Germany has high economic growth and an aging population;

it is in this context the country maintains low unemployment rates. The first step towards

replicating such a model in India is to develop strong links between the Government

and industry.

1.2.3 SKILL DEVELOPMENT IN BRAZIL

The average monthly income of Brazilians has increased in the past decade7.

Although rise in income can be attributed to growth of the economy, the strategic

investments that prepared young people for jobs and entrepreneurship played a

significant role, especially when associated with an increased focus on the most

vulnerable. A big part of this success is linked to the technical and vocational

education training (TVET) system, which has a flagship federal education and training

program (PRONATEC) and a training arm (Sistema-S).

Since 2011, Brazil has invested significantly in TVET through its flagship program,

PRONATEC. Government spending on skills development increased significantly with

the creation and expansion of PRONATEC. The program offered 8.8 million training

slots between 2011 and 2014, including both the secondary students enrolled in TVET

and 5 million new slots for vocational training of the existing workforce (Ministry of

Education, Brazil). Importantly, PRONATEC has focused on reaching the poor and

disadvantaged populations, with around 40 percent of the slots filled by

7 ‘Brazil Real Average Monthly Income’; Trading Economics (No reference details-publication, year)

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CadastroÚnico registrants (Brazil, Ministry of Social Development and Fight against

Hunger 2013).

1.2.3.1 STRUCTURE OF VOCATIONAL EDUCATION AND TRAINING IN BRAZIL

Figure 1-1 Levels Of Brazilian Vocational System

LEVELS OF BRAZILIAN VOCATIONAL SYSTEM8

1. Initial or Continued formation courses (FIC courses): Anyone can enroll in this

type of program. In particular, 89.5% of FIC courses are offered by the S-System,

while the other 10.15% are the responsibility of federal and states’ technical

networks. These courses are typically short-term courses and don't grant any

educational level degree (secondary or tertiary) but focus on practical

knowledge for very specific careers such as butcher, hair-dresser, waitress,

receptionist, among others.

2. Technical Courses: Technical Courses provide professional training to students

enrolled in secondary school and secondary school graduates. These courses

operate in three modalities:

a. Integrated - Offered to students who want to attend simultaneously

Vocational and General Education courses at the same institution.

b. Concomitant - Offered to those students enrolled in a General Education

course elsewhere but also want to enroll in a technical course in another

institution.

c. Sequential - Offered only to those who complete secondary school.

d. Technological Courses: Technological courses are equivalent to tertiary

level courses. These programs are only available to secondary school

graduates and grant a diploma that is equivalent to a university degree.

8Fundação Getulio Vargas(FGV); Vocational Education and Training in Brazil; Knowledge Sharing Forum on Development Experiences: Comparative Experiences of Korea and LAC (YoP)

Levels

Initial and Continued (FIC)

Technical

Concomitant

Integrated

Sequential Technological

Any Level

High School Level

University Level

Simulta

neous

Simultaneous

Not Simultaneous

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Table 1-6 Best Practices of Skill Development in Other Countries

Best Practices of Skill Development in Other Countries

Australia Direct Intervention by the Government

A separate oversight agency to supervise all training institutes - ASQA

ASQA is vested with powers to suspend registration of training

institutions in the event of non- compliance with national skill

framework. Germany Dual System for Vocational Education and Training

Entry age for Vocation Education in Germany is 10 as compared to 13

in India

Curriculum is designed based on inputs from all stake holders

Training Teachers

VET provides vertical and horizontal mobility for progressively gaining

further qualifications which would in turn inspire parents and students

to treat the vocational pass outs in a dignified manner.

Brazil Various entry levels for Vocational Training.

Implementing various types of courses whose eligibility ranges from

having any level of education to university level

1.3 NATIONAL TRENDS IN SKILL DEVELOPMENT

India experienced a paradigm shift in terms of economic development as a result of

liberalization and globalization. It transformed from being a predominantly agrarian

economy to a tertiary-sector driven economy. The global economy, which was

industry intense till the 1990s, gradually grew into a knowledge-based economy. The

demand for knowledge and skill based work force has increased tremendously since

then. A study by Goldman Sachs has projected that India will have a surplus of 47

million people in the working age, giving the country a competitive edge in labour

costs, which will be sustainable up to 2050 (Asia Times, May 5, 2006, on-line edition).

The study has further reported that by 2020 the US will be short of 17 million people of

working age, China 10 million, Japan 9 million and Russia 6 million. This situation

coupled with the demographic dividend will create a natural demand for Indian

labour force in the following decades.

1.3.1 DEMOGRAPHIC DIVIDEND

The Demographic Dividend that India is set to experience for the next 25 years is a

unique window of opportunity. While India’s workforce (age 15-59) starts expanding,

other major economies of the world will be entering the ageing economy

phenomenon (superannuation population outnumbering the working force). This

would result in a global shortage of approximately 56.5 million skilled workforces by

2020(FICCI. Details). Contrary to this global phenomenon India will have

approximately 47 million surplus workforces (Figure 1.2). It is also important to note that,

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of the total workforce 28% will be graduates, which is high among the 28 lowest cost

economies of the world (11 FYP, Planning Commission of India). This would compel

many economies to look to India for workforce.

India will be able to optimize this opportunity only when the workforce possesses

necessary knowledge and appropriate skills to attract the domestic and global

markets. Failing which, economists say India might lose this opportunity, thus resulting

in a “demographic nightmare” (Eleventh Five Year Plan, Vol I, pg. 91)

Figure 1-2 Projection of Working Age Group for 2020

Source-US Census Bureau. BCG.2002-2003

1.3.2 MARKET REQUIREMENT

National and global economies are increasingly becoming knowledge driven and skill

based. Since the early 1990s secondary and tertiary sectors have been absorbing

huge manpower equipped with appropriate skills. Another noticeable trend is the

growing demand for manpower with education beyond vocational skills. In fact, most

employers look for individuals with the ability to communicate, solve problems and

undertake teamwork, and not students trained in narrow vocational skills solely (Skill

Development in India-The Vocational Education and Training System, World Bank

2007).

There are nearly 20 Ministries and Departments involved in vocational education and

skill training. Vocational Education refers to vocational courses offered in schools for

Grades (class) 11 and 12 under a centrally sponsored scheme termed

‘Vocationalization of Secondary Education.’ The Vocational Education Programme in

India started in 1976-77 under the programme of Vocationalization of Higher

3 5 2 4 2

19

47

15 5

17

2 3 3 3 610

0.59

Projection of Working Age Group for 2020(in millions)

Labour-Surplus Labour Scarcity

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Secondary Education in general education institutions. Vocational education falls

under the purview of the Ministry of Human Resources and Development (MHRD). The

All-India Council for Vocational Education (AICVE), under MHRD, is responsible for

planning, guiding and coordinating the program at the national level. At the state

level, State Councils for Vocational Education (SCVE) perform similar functions.

Vocational Training Programmes fall outside the formal schooling system. These are

institution-based training programmes which have varying entry requirements as well

as course durations. There is a predominance of practical over theoretical teaching

in these courses. Central and State Governments share responsibility for vocational

training. At the Central level, National Council for Vocational Training (NCVT) advises

the Central Government on vocational training. The Central Apprenticeship Council

and the National Council of Vocational Training operate as advisory institutions. The

NCVT is responsible for awarding National Trade Certificates; prescribing training

standards; arranging trade tests and developing standards for National Trade

Certificates; recognizing training institutions for the purpose of issuing National Trade

Certificates and laying down conditions for such recognition. Administrative

responsibility is held by the Directorate General of Employment and Training (DGET),

located within the MoLE. ITIs and ITCs operate under the guidance of DGET. At the

State level, State Vocational Training Institutes are being established to implement skill

training plans for the Government.

1.3.3 CURRENT STATUS OF VOCATIONAL TRAINING INFRASTRUCTURE

There are 1244 polytechnics under the aegis of the Ministry of Human Resource and

Development with a capacity of over 2.95 lakh. There are about 9583 schools offering

about 150 educational courses of two years duration in broad areas of agriculture,

business and commerce, engineering and technology, health and paramedical

services, home science and science and technology at +2 stage covering about 1

million students.

But none of these Ministries are imparting skills in sectors where there is high demand

for skilled workforce. This has resulted in great mismatch between demand and supply.

Besides, the total training capacity of these Ministries and Departments is far below

the market requirement. The training offered by private organisations is also too small

and most of them do not adhere to quality norms. Therefore, it is critical for Central

and State Governments to re-structure and orient the existing system to accomplish

the set target. In this direction, the following issues need immediate attention by both

levels of the Government.

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1.3.3.1 MISMATCH BETWEEN DEMAND AND SUPPLY

There is a very glaring mismatch between market demand and skills attained by our

students. The Working Group on National Vocational Training System in its report has

also brought out this point. The report states that the skills imparted by NVTS do not

match with the skills required by the contemporary world of work. The system caters

mainly to needs of traditional manufacturing sector which represents less than 10% of

the total workforce. This mismatch is impacting the modern technology-driven industry

and service sectors to a great extent. Employers of these sectors have expressed that

students with vocational diplomas/certificates lack practical knowledge and need

on-the-job training to enable their skill levels to match needs. This mismatch will

continue to grow if we fail to cater to the demands of knowledge-based and

technology-driven manufacturing and services sectors.

Besides the mismatch there is a non-existence of certain courses. Vision of the National

Skill Development Initiative in India report, produced by Ministry of Labour in 2009,

stated that there is a high demand for skilled workforce in sub-sectors like construction,

ITES, consumer and retail, financial etc., but none of the Ministries offer skill

development courses in these sub-sectors. This trend, if unchecked, could also result

in jobless growth, wherein the sectoral growth and contribution continues to grow at

rapid rate without concurrent rise in the employment rate.

1.3.3.2 INFLEXIBLE AND OBSOLETE CURRICULUM

Inflexible and obsolete curriculum has largely contributed to the demand and supply

mismatch. Vocational courses have remained extremely conventional and non-

responsive to changing market needs. Even among the ITI graduates, the percentage

of unemployed ITI pass-outs in 2001 was 61.16% (this % is for Karnataka only). Majority

of employed ITI pass-outs were working in trade they had not been trained in.

The deficiency of vocational education and training is strongly felt among the

employers too. A survey conducted by Federation of Indian Chambers of Commerce

and Industry (FICCI) on the quality and relevance of vocational/technical training

from an industrial perspective in 2001, confirmed the deficiencies. The survey which

was conducted among 55 enterprises found that 87 % felt that institutions should have

greater exposure to industrial practices; over 43 % felt that academic institutions were

not aligned to the needs of the industry and close to 60 % entrepreneurs said that

institutions were not geared up to meet challenges of the global economy (World

Bank Report,2007, pg.29).

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1.3.3.3 TRAINING CAPACITY OF EXISTING INSTITUTIONS/CENTRES -

INSUFFICIENT

Capacity of the existing vocational education and skill development system is 3.1

million per annum. Across India, every year 12.8 million people enter the workforce

and 80 % of these new entrants have no opportunity for skill training. Data by NSS 68th

Round results show that among persons of age group 15-29 years, only about 2.4% are

reported to have received formal vocational training and another 8.6% reported to

have received non-formal vocational training, indicating that very few young

employees enter the world of work with any kind of formal vocational training. Under

the massive skill development programme the Union Government has set a target of

training 500 million persons by 2022. Quality of the existing vocational education and

training system is also a matter of great concern. Measures must be taken to have

adequate infrastructure, competent faculty members, financial and administrative

autonomy and industry exposure.

1.3.4 ELEVENTH PLAN STRATEGIES

Taking cognizance of the criticality of issues, Government of India constituted the

National Council on Skill Development in July 2008. Subsequently the Ministry of Labour

and Employment drafted a National Policy on Skill Development in February 2009 with

the objective of creating a workforce empowered with improved skills, knowledge

and internationally recognized qualifications to gain access to decent employment

and ensure India’s competitiveness in the dynamic Global Labour market.

Salient features of the Policy are:

1. Demand-driven system guided by labour market signals, thereby reducing skills

mismatch.

2. Expansion of outreach using established as well as innovative approaches.

3. National Vocational Qualifications Framework which will inter-alia include

opportunities for horizontal and vertical mobility between general and

technical education, recognition and certification of competencies

irrespective of mode of learning.

4. System to deliver ‘competencies’ in line with nationally and internationally

recognized standards.

5. Focus on new emerging occupations.

6. Focus on pre-employment training and lifelong learning.

7. Equity consideration, adequate participation of women, disabled persons and

disadvantaged groups including economically backward groups and

minorities-enhancing their access to training; improving employability and

increasing employment opportunities.

8. Stress on research, planning and monitoring.

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9. Involvement of social partners-responsibility for management and financing of

the system would be shared with all stakeholders and provide greater space

for Public-Private Partnership.

10. Promoting excellence

11. Use of modern training technologies including distance learning, e-learning,

web-based learning etc.

12. Skill upgradation of trainers, their quality assurances and improvement of status

(planning commission.nic.in/reports)

Based on this Policy, the National Vocational Education Qualifications and

Certification Framework system was established. NVEQCF is designed to provide

‘opportunities to students and the current workforce alike to pursue their learning

pathways whether they are planning to begin a career or looking for change in their

field of work or trying to upgrade their skills and knowledge without age-bar or

constraints in changing from academics to technical/vocational education streams

and vice-versa, from as low formal qualification as class VIII (or even lower after taking

bridge courses and or recognition of prior learning) for attaining desired levels of the

highest degree through modular flexible approach’ (National Project Implementation

Unit).

--------------------------------X--------------------------------

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2. SKILL DEVELOPMENT IN INDIA

The NDA then launched the National Skill Development Mission officially on 15th July

2015.The need for skilled human resource as a prerequisite for overall development in

general and for livelihood in particular, has been identified by developmental experts

at the start of the new millennium. This is evident from the 'Demographic Dividend'

versus 'Demographic Disaster' debate. Past Governments had also recognized the

importance of skilling India and hence incorporated the National Skill Development

Corporation (NSDC) in 2008. But a fresh impetus in response to this need has been

provided by the current government by bringing Skill Development to the forefront of

all development agendas.

Various new measures have been adopted as well as previous policies revamped for

rapid skill development of Indian youth. The mission aims to achieve a target of 500

million skilled labours in India by 2022. Of this 500 million, National Skill Development

Corporation (NSDC) will train 150 million; Ministry of Labour will train 100 million, MHRD

50 million and the rest 200 million shall be trained by 21 ministries, departments and

various other organisations. This is the same target which the National Policy on Skill

Development, 2009 aimed to achieve by 2022, but now a dedicated ministry has

been created for overseeing this namely, the Ministry of Skill Development and

Entrepreneurship (MSDE). Earlier skill development was pursued by different ministries

within their respective domains. For example, the Ministry of Labour or Ministry of

Minorities and Backward Classes would run skill development programs for labourers

and backward classes respectively. Similarly, the Ministry of Micro, Small and Medium

Enterprises was working around entrepreneurship development. Now MSDE is

mandated to gradually take over all skill development and entrepreneurial efforts in

the country.

NSDC is the nodal body of MSDE responsible for implementation of skill development

programs across India. NSDC has identified 31 different skill sectors in which training is

provided. Depending upon the nature of skill sector, there are various courses aligned

with industry standards ranging from beginner to expert level. As the curricula of these

training programmes are decided by respective Sector Skill Councils (SSCs), which

comprise of industry experts, such training is expected to be very useful for direct

employment in such industries. NSDC, itself being a Public-Private Partnership based

body, lay greater importance on the involvement of private partners at various stages

of skill development. For example, there are approximately 250 private training

partners, for-profit and not-for profit both, with the ever-expanding network of 2500+

fixed or mobile training centres in over 350 districts of India. Another private element

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in the skill ecosystem of NSDC is SSCs which plays a vital role in bridging the gap

between what the industry wants and what the skilling curriculum ought to be.

Prior to the NSDC, skill development was mainly led by the network of Polytechnics,

Industrial Training Institutes (ITIs) and Industrial Training Centres (ITCs). it is are

government owned and ITCs are their private counterpart. These institutions are mostly

responsible for technical education in India at semi-rural and semi-urban levels as they

provide diploma in technical education between duration of few months up to 3

years. Students passing out of these institutions are required to work in the industry for

a year or two, in order to appear for the certification exam conducted by National

Council of Vocational Training (NCVT). NCVT certificate is mandatory for jobs in

reputed companies in relevant industries.

NSDC has launched Pradhan Mantri Kaushal VikasYojna (PMKVY) which aims to

incentivize students for getting enrolled and completing skill training in any of the

identified 29 sectors. Other than PMKVY, NSDC has launched a dedicated skill

development program, named UDAAN, for the state of Jammu and Kashmir. Apart

from these comprehensive efforts for skill development, various other supportive

measures have been taken. The recent announcement of introducing Indian Skill

Development Services (ISDS) as a group ‘A’ service of the technical cadre of the MSDE

is a welcome step. Similarly signing of MoU between Ministry of Defence (MoD) and

MSDE regarding skill development of ex-servicemen is another productive effort. The

National Action Plan for Skill Training of Persons with Disabilities was launched in New

Delhi in March 2015. The National Action Plan is a partnership between

the MSDE and Department of Empowerment of Persons with Disability for skilling 2.5

million Persons with Disability (PwD) over seven years between 2015 and 2022. There

are various state level skill development missions running in parallel, especially in states

with non-NDA government. For example, the UP government is running its Uttar

Pradesh Skill Development Mission (UPSDM). Similarly, many private universities are also

running their own skill development and certification programs. For example, CV

Raman University is running its own training courses in partnership with AISECT, training

partner in the states of Madhya Pradesh and Chhattisgarh. Ministry of Rural

Development (MoRD) is running Deen Dayal Upadhyaya Grameen Kaushalya Yojna

(DDU-GKY) as part of the National Rural Livelihood Mission (NRLM). It aims to skill poor

rural youth ranging between the ages of 15 to 35 years. It leverages upon poor

households notified under various government schemes such as MGNREGA, Rashtriya

Swastha Bima Yojna (RSBY), Antyodaya Ann Yojna (AAY), BPL PDS card holders, NRLM-

SHG and others.

A skill mission with very ambitious targets in a limited span of time as well as multiplicity

of skill development efforts is prone to complexities during on-ground implementation

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and identification of genuine beneficiaries of these efforts. Still, persistent and

coherent efforts from all stakeholders and proper guidance from political leadership

can bring a huge positive impact on the skill development landscape of India which

in turn can lead to improvements in other developmental indicators of people in India.

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3. SKILL GAP IN KARNATAKA

3.1 STATE’S VOCATIONAL EDUCATION AND SKILL DEVELOPMENT

Karnataka is one among few states that benefited largely from the paradigm shift of

India economy. By 1990-91 the service sector’s contribution to GSDP was a little over

that of Agriculture and completely overtook it by 2000-01 (Table 3.1). It can be noted

that by 2013-14, the service sector was driving a major part of the state’s economy.

Figure 3-1 Sector-wise Contribution to GDP Data Source: (Planning, Programme Monitoring & Statistics Department 2014-15)

Karnataka’s growth reflected the national and global trend with some hiccups. The

employment rate and distribution did not correspond to the growth and contribution

of service sector. The table below gives a glimpse of this trend.

Table 3-1 Sector-wise Contribution to GSDP and Employment

Sector-wise Contribution to GSDP and Employment

Secto

rs

1993-94 (50th

Round)

1999-2000 (55th

Round)

2004-05 (61st

Round)

2009-10 (66th

Round)

2014-15

GSDP Employ

ment

GSDP Employ

ment

GSDP Emplo

yment

GSDP Employ

ment

GSDP Emplo

yment

Agric

ulture 36.0% 65.7% 29% 62.4% 18.7% 60.8% 16.2% 57.3% 16.11% 52.2%

Indus

try 26.0% 14.8% 28% 15.1% 30.3% 15.4% 29.1% 17.6% 28.36% 19.9%

Servi

ce 38.0% 19.4% 43% 22.5% 51.0% 23.8% 54.7% 25.1% 55.2% 28.0%

Source: 50th, 55th, 61st, 66th and 68th round of National Sample Surveys on Employment and

Unemployment Situation in India and various Economic Surveys of Karnataka

0

10

20

30

40

50

60

1960-61 1970-71 1980-81 1990-91 2000-01 2013-14

Sector-wise Contribution to GDP (in percentage)

Primary Sector

Secondary Sector

Tertiary Sector

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The industrial sector has been more or less consistent both in terms of employment rate

and contribution to GSDP. Disturbing figures come from agriculture and service

sectors. Agricultural contribution has declined sharply from 36 per cent in 1993 to 16.11

per cent in 2014-15 with comparatively lesser decrease in employment rate. In the

service sector employment rate has slightly gone up by 17 % in 2014-15 over that of

1993-94, but the contribution to GSDP has increased from 38 % in 1993-94 to 55 % in

2014-15.

Table 3-2 Sector wise Projection of Per Capita Income

Sector wise Projection of Per Capita Income9(INR)

Sectors 2010 -11 2012-13 2015-16 2017-18 2019-20 2021-22

Agriculture 18,859.29 25,224.71 39,811.49 47,088.01 55,786.66 75,367.41

Industry 93,710.26 1,15,823.28 1,41,298.30 1,71,339.02 2,08,141.67 2,53,682.01

Service 1,22,363.60 1,77,631.68 2,54,479.77 3,10,288.43 3,78,859.41 4,63,933.29

A projection of sectoral shares of employment and GSDP (table 3.4) based on the

current growth reveals an alarming trend in States economic development. By 2022,

although the population depending on Agriculture would reduce by 7 % from the

current percentage, a little less than half of the working population in the State will still

be engaged in this sector. But the contribution from Agricultural sector to GSDP will

gradually decline and will reach to 17% by 2022. This means a large section of

population will continue to be secluded from the benefits of economic progress that

has been projected for the State. This is also indicated by the projected per-capita

incomes. In 2022, a person engaged in services sector would earn 6 times more than

a person engaged in Agriculture. The same would be true for Industry, where a person

would earn 3 times more than that of agriculture.

9GSDP and Employment percentages have been calculated based on inputs from Industry Experts. The GSDP for Agriculture had been increased to 8% and that of Industry and Services at 14%. Agriculture’s contribution to employment is assumed to be reducing at 1% each year which is then assumed to be absorbed by the Industry and Services at ratio 45:55

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Table 3-3 Projected Sector-wise Contribution to GSDP and Employment

Projected Sector-wise Contribution to GSDP and Employment

Sectors

2014-15 2017-18 2021-2022

GSDP Emp GSDP Emp GSDP Emp

Agriculture 18% 52.2% 16.98% 49.2% 17.04% 45.2%

Industry 27% 19.9% 23.94% 21.2% 22.79% 23.0%

Service 55% 28.0% 59.08% 29.6% 60.17% 31.8%

To avoid escalation of disparity, in terms of sectoral growth and benefits to population,

the workforce which is currently dependent on Agriculture and new entrants to the

workforce should be empowered with skills to proliferate to non-agricultural sectors of

economy, in particular the high-growth sectors. Concurrently the State should also

identify sectors and sub-sectors which have prospects of high growth in the State. This

mapping should be essentially based on regional requirements.

Figure 3-2 GDP – At Constant (2004-05) Prices

3.2 DEMOGRAPHIC DIVIDEND

Karnataka again reflects the national trend in terms of demographic dividend. The

working population of the State is projected to increase by 0.77 crore (3.58 crore to

4.35 crore) between 2006 and 2026, which means an average of 4 lakh new workers

would join the work force each year up to 2026 (unlike national trends the State will

experience the aging economy phenomenon). But the 2008 enrolment of youths

reaching 18 years, for skill development courses in State is abysmally low at 8 %

(Karnataka Vision2020 Document pg.24). Enrolment for general education, except

0

100000

200000

300000

400000

500000

600000

700000

800000

2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13SRE

2013-14FRE

2014-15AE

GDP – AT CONSTANT (2004-05) PRICES

GSDP (in Rs. Crore) Linear ( GSDP (in Rs. Crore))

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primary schooling, in the State is also unsatisfactory. As per 2011 census for every 1000

people 116 people have a diploma, degree or certification. As a result, large

segments of population in the State possess no formal degree or skill training.

3.3 STATE LEVEL INITIATIVE

Policy changes initiated by the Central Government have laid the foundation for the

State government to make necessary interventions in the sphere of vocational

education and skill development. Accordingly, the State Government has initiated

several measures in this direction and one such critical step is setting up of the Skill

Development Corporation in 2008 to expand vocational education and training in the

State.

Concurrently many initiatives were proposed by the Planning Department, GOK in its

Vision for Karnataka 2020. The Vision Document, speaking for inclusive growth to

eliminate regional disparities and thus poverty, had proposed for the following

initiatives from the State Government.

1. Universalisation of secondary education and introduction of skill development

courses within the secondary schooling curriculum. Schools will be equipped

with requisite resources to impart skill training.

2. Setting up of new polytechnics, ITIs and vocational education institutes and

augmenting the capacity of existing institutes.

3. Alignment of vocational education curriculum with the requirements of the

State’s industries.

4. Exploring possibilities of partnering with private agencies for ITI’s, polytechnics

and vocational training centres as per the guidelines set by the National Skill

Development Mission.

5. Mapping of emerging growth sectors, new employment opportunities and skill

deficit in collaboration with private and community organizations.

6. Government to facilitate active industry participation in course design and

resource mobilizations.

7. State will also set-up a Council for Vocational Education and Research for

regional mapping of demand and supply of available and projected skills and

aligning training institutes to area specific industry and services clusters.

8. State to ensure that all its key departments explicitly focus on the various

dimensions of employment-creation of new employment, mapping of skill

deficit, training etc., while formulating respective schemes and plans.

9. Institute scholarship to compensate losses in income during, training for needy

students who take up skill development courses at the secondary and post-

secondary levels Students from farming communities to be encouraged to

undergo vocational training.

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10. Necessary steps would be taken to align States skill development programs with

the objectives of Government of India’s Skill Development Initiative Scheme

which is based on Modular Employable Skills.

3.4 VOCATIONAL EDUCATION IN KARNATAKA

The Department of Employment and Training (DET) is mandated with the task of

Vocational Education and Skill Development in Karnataka. The department imparts

Institutional training through a network of over 1700 Industrial Training Institutions [ITI’s]

located across the state. These ITI’s are either affiliated to the National Board- National

Council for Vocational Training[NCVT] or to the State Board viz., State Council for

Vocational Training[SCVT]. In all there are 258 Government, 196 Private Aided and

1323 Private [unaided] Industrial Training Institute in Karnataka having a seating

capacity of 2.00 lakh.

Table 3-4 Training Institutes Status

DET runs various training schemes such as Craftsmen Training Scheme (CTS),

Apprenticeship Training Scheme (ATS), Modular Employable Skills (MES) and Special

Training Scheme (SPL – TRG). The National Skills Qualification Framework, a Quality cum

competency based Frame work itself has identified 10 levels and four competency

levels. ITI Courses of DET comes under the Level III and IV of NSQF.

Craftsman Training [CTS] is being provided to the youth with the objective to prepare

semi-skilled workers for the industry. Under this scheme training is being imparted in 46

trades required by the Industry and the market in the State of Karnataka such as Fitter,

Electrician, Plumber, Driver cum mechanic, Mechanic Refrigeration and Air-

conditioning etc to name a few. The Course durations range from 1 to 2 years.

A student who has undergone this Skill Training has to appear for Examinations

[Semester Scheme] conducted by National Council for Vocational Training [NCVT]

and on successful completion is awarded National Trade Certificate [NTC]. Under

SCVT currently only one exam is conducted at the end of course and the successful

student is awarded a State Trade Certificate [STC].

Training Institutes Status

Category No. of ITI’s

NCVT SCVT Total

Government 142 116 258

Private[Aided] 196 - 196

Private[Unaided] 1155 168 1323

Total 1493 284 1777

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Admission Criteria for CTS - Minimum Qualification:

For 1 Year Trade Course: Minimum 8th Pass [10th Fail - online application purposes]

For 2 year Trade Course: Minimum10th Pass Apprenticeship Training Scheme [ATS]:

Recognising the fact that training imparted in institutions [ITI’s] alone is not sufficient

for acquisition of Skills and that it needs to be supplemented by training in the actual

workplace, DET implements the ATS. Towards nurturing trained manpower the

department implements the Apprentices Act, 1961 in the State Government

Undertakings / Departments and Private Establishments in the State. The Government

of India has identified and designated 93 Engineering, 60 Non Engineering trades in

the Country, out of which 82 trades have been implemented in Karnataka. Some of

the popular trades are Turner, Fitter, Machinist, Electrician, Electronics, Lab Asst.

Steward etc. Currently over 4232 establishments in the state have been covered under

this scheme and over 39,610 seats [revised now upwards to 43,000] have been

allocated for trade apprentices out of which 24,992 seats have been utilised.

Admission Criteria for Trade Apprentices: Minimum Qualification

10th Pass or ITI Pass-out [NTC or STC holder]

Term: The full-term Apprenticeship course is of 3 years duration and on this 100% rebate

is provided on the number of years of training had under NCVT trades/courses and

50% rebate for those under SCVT.

At the end of the Apprenticeship course an apprentice is allowed to appear for

Apprenticeship Exams and on successful completion is awarded a National

Apprentice Certificate [NAC]. The N.A.C. holders will be eligible for appointment as

skilled Craftsmen in the Industries and appropriate subordinate posts in Govt.

Departments or to take up Self-Employment much in the same way as the ITI trained

Craftsmen.

Modular Employable Skills (MES) Scheme: DET implements MES Scheme under the Skill

Development Initiative imparting Modular Employable Skills for school dropouts,

existing workers, ITI graduates, etc., to improve their employability. In Karnataka, about

800 Vocational Training Providers (VTP) are actively implementing 500 courses under

68 various sectors. About 2 Lakhs trainees have been trained since 2012 in the State.

Special Training Scheme (SPL – TRG): Apart from the above institutional and statutory

vocational training schemes, the Department is conducting many special training

programmes in ITI’s with the objective of improving quality of industrial production and

promoting self-employment among the youth. Some of these programs are:

a. Motor Driving Training Scheme (MDTS)

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b. Advanced Vocational Training System (AVTS)

c. Hi- Tech Training Program which includes Computer Aided Drafting, Computer

Maintenance etc

d. Training Programs specifically designed for Tribals

Under the Vocational Training Improvement Programme, 36 Government ITI’s have

been upgraded into Centres of Excellence. 76 Government ITI’s are being

developed/upgraded under a PPP (Public-Private-Partnership) mode with Industry tie-

ups, where in Industry Partners such as M/s. Toyota Motors, JK tyres, Borukha Power

Corporation, Taj Group, ACC Cements, Ultra tech Cements, Madras Cements,

Heidelberg Cements, Renuka Sugars, Kennametal etc head the Institutional

Management Committees (IMC)set up in these ITI’s. IMC for each ITI is constituted

asSociety offering functional autonomy and entrusted with the responsibility of

managing the affairs of the ITI. They are delegated with sufficient powers to decide

on running of these ITIs, Curriculum development, starting of new trades, courses,

training of trainers, Industrial visits, Placements etc.

DET has several Industry Partners supporting Government ITIs under CSR. M/s. Bosch Ltd

runs bridge program in 25 ITI’s, M/s. Toyota Ltd (10 ITIs), M/s. Maruti Suzuki (5), many

more industry partners such as Tata Motors(2), Seimens(3), Volvo, (2), HAL(2), NTPC.

With GAIL Gas Limited, a Subsidiary of GAIL India, DET runs a safety and Technical

Training for Skill upgradation of plumbers/ Fitters to work in City Gas Distribution Industry.

A tie up with Asian Paints Ltd is on to start Colour Academy in 4 ITI’s to begin with.

One Government ITI at Hosur, oldest (established in 1952 and biggest ITI (25 Trades,

1800 trainees) is being upgraded into a Model ITI with GOI and Industry Support with

M/s. Bosch Ltd as Industry lead Partner with 16 other Industries in partnership.

3.4.1 TRAINING OF TRAINERS

To improve the quality of vocational education in the state, it is important that trainers

deliver the content properly. The trainers must also be up-to-date with changes in the

industry. In order to cater to the growing demand for quality trainers and to imbibe

world class training techniques and to enhance the trainer’s capacities, the state

government has set up 3 staff training institutes. State Training and Research Centre

(STARC) at Malavalli provides training to the Technical and Non-Technical personnel

of the Employment and Training Department, and the Technical Staff of Aided /

Private Industrial Training Institutes. In addition to this, there is an Institute of Training the

Trainers (IOTTs) with 1000 seating capacity and Bharat

RatnaMokshagondamVisvervaraya National Training Facility for Skills for All

(BMVNTFSA) Training Institute at his birthplace in Chikkaballpur district with seating

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capacity of 2700 for Training Master Trainers in Skill Development in association with

PSU’s like ONGC and GAIL.

DET is taking steps to improve the quality of ITI’s by subscribing to ISO registration.

Government ITI Gadag and Government ITI Belgaum (W) covered under PPP Scheme

have already been awarded ISO Certification ISO 9001:2015. Another 8 Government

ITIs are likely to get this certification shortly. ITI Hunsur has been awarded ISO 29990:

2010 certification (with ISO 9001:2015), a quality benchmark for training institutions. The

department has embarked on a mission to make ITI’s in each district to be ISO 29990

compliant. They have set up a system to rate ITI’s as a feedback mechanism.

Under the DET, two Special Purpose Vehicles have been set up to impart Modular/

short term skill Training Programmes viz., the Karnataka Vocational Training and Skill

Development Corporation (KVTSDC) and Karnataka German Multi Skill Development

Corporation (KGMSDC). There are 206 training institutes in the state that are registered

to NSDC.

KVTSDC established in the year 2008 as a company to impart vocational training skills

to enhance the employability and to provide the placement to implement objectives

of the state government on training policy and to co-ordinate vocational training in

the State. The Corporation conducts short term Vocational Courses through ITIs or

though Associated Training Providers (ATP) registered/ empanelled with them. The aim

is to train 1 million youth and provide placement to 15 lakh youth by the end of 2020.

Job Fairs (mega udyogmelas) are held to provide a platform for Job seekers and Job

givers.

Karnataka German Multi Skill Development Centre(KGMSDC) is a society promoted

by Government of India and Government of Karnataka with technical support of

German International Services(GIZ-IS). DET manages the programme on behalf of

Government of Karnataka. The primary mission of the Training Centres is to conduct a

broad based multidisciplinary programme in various Industrial Technical Fields,

directed towards the development of skills and trades and to become a world class

training centres that represents specialized trade training programs in alignment with

the Industry requirements across the globe. There are five Karnataka German

Technical Training institute in Karnataka. They are established in Bengaluru, Gulbarga,

Belgaum, Hubli and Mangalore. These Training Centres have total capacity of 3000

Students. The centres have also recorded 100% placements.

Besides DET, Skill Training is being imparted by several other Departments, Boards and

Corporations in the State.

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Higher Education Department:

Department of Technical Education: There are 313 Polytechnics- 81 Government, 44

Private-aided and 188 Private-Unaided Polytechnics having in all an intake capacity

of 1,00,000 in the State imparting Technical Education. Besides there are 207

Engineering Colleges, 10 Government, 10 Private- Aided, and 187 Private- unaided

Engineering colleges having intake capacity of 1,00,000.

Department of Collegiate Education has about 1600 Colleges imparting Graduate

and Post Graduate Courses and imparts Skill Training under the STARC programme.

Skilling Training at Higher Levels is also being imparted at the University Level. The

Visvesvaraya Technical University has set up a Skill Development Institute facility at

Dandeli.

Rural Development Department: Skill programmes being run are:

Rajiv Gandhi Chaitanya Yojane (RGCY): State Government Program “Rajiv Gandhi

Chaitanya Yojane” to provide skill training, loan, self-employment and placement

opportunities for 2 lakhs rural unemployed youth benefitting 40-50 youth per Gram

Panchayat.

Rural Self Employment Training Institutes (RSETIs)

RSETI’s is the nodal agency for providing training to rural youths on self-employment

on different trades. In Karnataka State, 33 RUDSETI / RSETIs have been established in

29 districts with well-established infrastructure and Human resource through which

training on 112 different trades are imparted to the selected candidates.

DeenDayalUpadyayaGrameenaKoushalyaYojane (DDU GKY)

Deen Dayal Upadhaya Grameena Koushalya Yojana (DDUGKY) is placement-linked

skill development program initiated in Karnataka state from October 2014 by

Karnataka State Rural Livelihood Promotion Society, which is integral part of National

Rural Livelihood Mission (NRLM). Karnataka in the FY 2013-14 and FY 2014-2015 had

sent 43 proposals. Out of the 43 proposals, 31 proposals for 1, 18,173 candidates have

been approved by Empowered Committee of MORD for a project cost of Rs. 405.67

crores and the same is under Implementation.

DDUGKY a skill programme of MORD earlier known as Aajeevika Skills (Renamed and

notification has been circulated dated on 24.02.2015) envisages providing jobs after

training by training partners. Skill Development and Placement is part of NRLM.

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The Ministry of Rural Development (MoRD), GOI, has restructured one of its key rural

development programs, the Swarna Jayanthi Gram Swarozgar Yojana (SGSY),

through establishment of the National Rural Livelihood Mission (NRLM) with a clear

objective of rural poverty reduction through creation and strengthening institutional

platforms of the rural poor.

The Department of Municipal Administration is implementing the Urban Livelihood

Mission programme on same lines.

The other Departments implementing skill programmes include the Department of

Industries and Commerce, Social welfare Department, Department for development

of Backward Classes, Department for Minorities Development etc.

While the State Government has been working towards skilling beneficiaries through

various schemes and departments, there are various challenges in ensuring that the

right programs are delivered at the quality and scale that is expected out of these

programs. The State has been facing challenges such as availability of Subject Matter

Expertise, Speed of monitoring, Use of technology products for end to end

implementation of the programs, Distributed nature of the programs, Awareness and

Signaling Value of these programs to the beneficiaries and last but not the least timely

disbursements of funds to PPP partners and other agencies.

--------------------------------X--------------------------------

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4. SECTORWISE SKILL GAP ANAYLSIS

To better understand needs of the skill gap that exists in the state, the team undertook

an in-depth study of selected sectors within the State. Sectors were selected based

on their contribution to the State’s GDP and the proportion of total workforce it

employs. Following is the list of selected sectors10:

1. BFSI

2. Construction

3. Textiles and Garments

4. Media & Entertainment

5. Agriculture

6. Tourism and Hospitality

7. Health Care

8. IT & ITES

Additionally, sectors such as Aerospace, E-Commerce and Energy are picking up in

Karnataka. We have not conducted an in-depth study of these for lack of availability

of data. Nevertheless, the contribution that these sectors will make in terms of

employment shall be significant in the coming years, thus they require a special

mention in this report.

Aerospace Sector: Aerospace Industry has significant presence in Karnataka. The

presence of Hindustan Aeronautics Limited (HAL) in the city has spearheaded the

growth of this sector in the state. In addition to HAL, there are other private sectors

undertakings like BEML, BHEL, GTRE, NAL, DRDO, ADA, ADE and ISRO are based out in

Karnataka. Even as India aims to emerge as a global player in manufacturing

aerospace components and as a ‘Maintenance, Repair Overhaul’ destination,

Karnataka will lead the way. The State has 65% of the country’s investment in the

sector11. Efforts are being made by the State government to facilitate this growth. The

Sector Skill Council for aerospace sector has also been established in Bangalore itself.

The sector attracted an investment of Rs.3,784 crores as part of Invest Karnataka 2015.

Energy Sector: The Energy Sector is gaining lot of prominence, especially the

renewable energy. The central government plans to expand the installed capacity of

renewable energy to175GW by 2022. In Invest Karnataka 2016, the energy sector

garnered the highest investment valued at over Rs.1,00,000crore. Most of these

10Based on analysis of Economic Survey of Karnataka (2014-15) and NSDC Report for Karnataka. 11Urs, Anil Karnataka pitches for Investment in aerospace, Business Line; February 18, 2015. (http://www.thehindubusinessline.com/economy/logistics/karnataka-pitches-for-investments-in-aerospace/article6908576.ece)

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projects were in the renewable energy sector particularly in waste energy, solar

energy and wind projects. Such an investment in the sector would generate significant

employment. Skilled plant design and site engineering jobs, highly skilled jobs in

business development and jobs for performance data monitoring will be created

when this promised investment will be realised in the state.

4.1 BANKING, FINANCIAL SERVICES AND INSURANCE SECTOR

The Banking and Financial system of the country plays a substantial role in promoting

long term growth of the economy. The BFSI sector comprises of Banking, Insurance

and Mutual Funds. The Government is also taking measures to revitalize the growth of

this economy. Macro-economic indicators such as inflation, debt to GDP ratio have

been good this financial year. In addition, RBI’s new measures may go a long way in

helping restructure the domestic banking industry (India Brand Equity Foundation

2015).

The Insurance industry of India consists of 53 insurance companies of which 24 are in

the life-insurance business and 29 are non-life insurers. India's life insurance sector is the

biggest in the world with about 360 million policies which are expected to increase at

a compound annual growth rate (CAGR) of 12-15 per cent over the next five years.

The insurance industry plans to hike penetration levels to five per cent by 2020. The

general insurance business in India is currently at Rs 78,000 crore (US$ 11.7 billion)

premium per annum for industry and is growing at a healthy rate of 17 per cent (India

Brand Equity Foundation 2015).

The Insurance Sector across the nation employs more the 22 lakh individual agents

and 689 corporate agents (IRDA 2011-14). The number of employees in non-life

insurance industry was 1,02,172 in 2013-14. There are a number of agents as well as

intermediaries servicing this sector. As on 31.3.2014, there are 5,16,764 agents and

13,325 persons working with various other intermediaries as well as insurance bodies

(General Insurance Council 2013-14)

4.1.1 BANKING AND INSURANCE SECTOR IN KARNATAKA

At the state level, the Banking and Insurance sector has grown at a rate of 10 percent

in the past financial year. This sector contributed 5.9% to the state’s GDP. Karnataka

also ranked nine amongst other states in India for financial penetration12. Together

12CrisilInclusix Index-2014

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these segments employ around 2 lakhs individuals. Most of the labour employed in

these sectors is skilled, with a requirement of being atleast a graduate.

Table 4-1 Current Employment in Segments of BFSI Industry

4.1.1.1 BANKING SECTOR IN KARNATAKA

Karnataka has 7361 Scheduled commercial banks. In 2014-15, the state recorded

deposits worth Rs.1,74,38,022 crores and credit of Rs.1,60,01,171crores13. Banking

business is predominantly contributed by seven commercial banks constituting almost

three-fourths of the banking business. Currently, twenty six public sector banks, sixteen

private commercial banks and three regional rural banks are operating in the State.

Activities of Banks can be classified into three major headings. They are

1. Sales and Marketing

2. Operations

3. Support Functions

Almost 55-60% of the work force is engaged in operations. Work force employed in

operations would include all people working in branch offices and engaging with

customers. The responsibility to generate new business and promoting products is

taken care of by the sales and marketing division. To facilitate smoother functioning

of banks support staff are employed including those hired for areas like Human

Resources, IT, Audits etc14

13 Data Source: State-wise Number of Reporting Offices, Aggregate Deposit and Gross bank Credit of Scheduled Commercial Banks (SCBs); Reserve Bank of India. 14 The percentage of segment-wise breakup taken from the NSDC Report titled “Human Resources and Skill Requirement in the Banking, Financial Services and Insurance Sector (2022)

Current Employment in Segments of BFSI Industry

Banking 87,659

Insurance 115207.06

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4.1.1.2 PROJECTED LABOUR DEMAND FOR BANKING SECTOR

Table 4-2 Projected Labour Demand for Banking Sector

Projected Labour Demand for Banking Sector (In Thousand)

Year Officers Clerks Sub

Ordinates

Total

2015 45,552 34,952 12,048 92,551

2018 55,298 40,574 11,989 107,862

2020 61,796 44,323 11,950 118,069

2022 68,294 48,072 11,911 128,276

2025 78,041 53,695 11,853 143,588

2028 87,787 59,317 11,794 158,899

2030 94,285 63,066 11,755 169,106

Figure 4-1 Projected Labour Demand for Banking Sector

We correlated the projection data with GDP, Population and Industrial Indices to

identify if there are relations between each of these. It has been observed that there

is a positive correlation with population but there is no correlation between GSDP and

Employee numbers.

4.1.1.3 INSURANCE SECTOR IN KARNATAKA

At the State level, number of offices of Insurance sector jumped from 492 in 2012-13 to

612 in 2013-2014with GDP at Rs.5, 698 crores (General Insurance Council 2013-14).

Insurance penetration at the state level is 0.96 %. Almost 45% of Insurers are from the

motor sector, followed by Health at 30% and Property at 10%

0

20000

40000

60000

80000

100000

120000

140000

160000

180000

2015 2020 2025 2030

No

of

Emp

loye

es

Projected Labour Demand for Banking Sector

TOTAL

Officers(K)

Clerks (K)

SubOrdinates (K)

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Various activities in the value chain of Insurance are:

1. Product Development

2. Marketing

3. Administration

4. Asset Management

5. Claims Management

Product development and pricing is done by a set of highly skilled individuals who are

mostly Actuary. They constitute 1% of the total workforce employed in this sector. Most

of the managerial positions require persons possessing a Master’s in Business

Administration (MBA) or is a Chartered Accountant. Mid-level jobs such as those

having to do with claims management and sales absorb skilled labour such as

graduates.

4.1.1.4 PROJECTED LABOUR DEMAND FOR INSURANCE SECTOR (2015-2030)

Table 4-3 Projected labour demand for Insurance Sector

Projected labour demand for Insurance Sector (2015-2030) In Thousand

Year Emp no. (Karnataka)

Private (K) LIC (K) TOTAL

2015 69,210 85,065 154,276

2018 76,832 87,199 164,031

2020 81,913 88,622 170,535

2022 86,994 90,044 177,039

2025 94,616 92,178 186,794

2028 102,238 94,312 196,549

2030 107,319 95,734 203,053

Figure 4-2 Projected Labour Demand

0

20000

40000

60000

80000

100000

120000

2015 2020 2025 2030

No

of

Emp

loye

esi

n t

ho

usa

nd

Projected Labour Demand

Private (K)

LIC (K)

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We also correlated projection data with GDP, Population to identify if there are

relations between each of these. There is a positive correlation between projected

population and employee numbers while there is a negative correlation between

GSDP (at constant price) and Employee numbers.

4.1.1.5 SKILL GAP15

• Actuary: There is a shortage in terms of numbers.

• Agent: Lack of knowledge about the sector and details of products. The

Selection criterion for becoming an agent is weak.

• Sales and Marketing: Lack of knowledge about the sector and details of

products.

• Claims Management: Inability to verify whether claims are legitimate. (eg: False

claims, Insurance policies in the name of deceased)

4.1.2 NON-BANKING FINANCIAL COMPANY

A Non-Banking Financial Company (NBFC) is a company registered under the

Companies Act of 1956, engaged in the business of loans and advances, acquisition

of shares/stocks/bonds/debentures/securities issued by Government or local

authorities or other marketable securities of like nature, leasing, hire-purchase,

insurance business and chit business. A non-banking institution which is a company

and has principal business of receiving deposits under any scheme or arrangement in

one lump-sum or in installments by way of contributions or in any other manner, is also

a non-banking financial company (Residuary non-banking company). It is mandatory

for all NBFC’s to register with the RBI. There is a significant number of NBFCs present in

the state.

Table 4-4 Non-Banking Financial Companies in Karnataka

Non-Banking Financial Companies in Karnataka

Types of NBFC No. of companies registered in

Karnataka16

Asset Finance Companies 12

Core Investment Companies 4

NBFC not accepting deposits 139

NBFC accepting deposits 6

NBFC- MFI 11

15 Based on Interview with Persons employed in Insurance Sector 16 Data Source: RBI

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4.1.2.1 SKILL GAP IN NBFCS17

• Senior Sales Executive: Inability to differentiate between banking and NBFC

products, as in, when conveyed to consumers

• Junior Sales Executive: In NBFCs, documentation is important. Most sales

executives are not aware as to why companies require specific documents ie

Limited understanding of the sector.

• Communication Skills

4.1.3 MUTUAL FUNDS

The mutual fund industry in India was started in 1963 with the formation of Unit Trust of

India, at the initiative of the Government of India and Reserve Bank of India. Assets

managed by the Indian mutual fund industry have grown from Rs. 10.70 trillion in

October 2014 to Rs. 13.29 trillion in October 2015. That represents a 24% growth in assets

over October 2014(Association of Mutual Funds in India 2015).

4.1.3.1 SKILL GAP IN MUTUAL FUNDS18

Figures for the number of people employed in this segment are currently unavailable

in India. But as the segment has shown tremendous growth in the past year, it was

important to highlight the same. Investor behaviour in India has been changing

gradually; this has had a marked rise in investments in mutual funds. Therefore,

plugging the skill gap at this stage would give a boost to its growth. ‘Nearly everyone

employed in this sector does not have adequate knowledge about the sector and

also of its products at the sales level. Most Advisors19are unable to communicate

details about products. People tend to invest more in Insurance than on Funds owing

to this knowledge gap’

4.2 CONSTRUCTION SECTOR

4.2.1 GROWTH RATE OF CONSTRUCTION INDUSTRY IN INDIA

India is on the verge of witnessing a sustained growth in infrastructure build up. The

construction industry has been witness to a strong growth wave powered by large

spends on housing, road, ports, water supply, and rail transport and airport

17 Based on Interaction with Person employed in a registered NBFC 18 Based on Interactions with Persons employed in Investment Banking Firm 19Person who interact with consumers and guide them through their investment plan.

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development. Over 35 million people are employed in the construction industry,

making it the second-largest employer in India.

The construction sector was expected to grow at 5.7% for 2014-2015 in Karnataka. It

contributed to about 8.8 percent of the GDP (Economic Survey of Karantaka 2014-

2015). This sector is a major employment driver, next only to agriculture. This is because

of the chain of backward and forward linkages that the sector has with other sectors

of the economy. About 250 ancillary industries such as cement, steel, brick, and timber

and building material are dependent on the construction industry. A unit increase in

expenditure in this sector has a multiplier effect and the capacity to generate income

can be as high as five times.

Table 4-5 Key points of Construction Industry

Key Points

Supply The past few years have been witnessing a substantial increase in the

number of contractors and builders, especially in the housing and

road construction segment.

Demand Demand exceeds supply by a large margin. Demand for quality

infrastructure construction is mainly emanating from the housing,

transportation and urban development segments.

Barriers to entry Low, for road and housing construction. However, high working

capital requirements can create growth problems for companies

with weak financial muscle.

Bargaining power

of suppliers

Low. Due to rapid increase in the number of contractors and

construction service providers, margins have been stagnant despite

strong growth in volumes.

Bargaining power

of customers Low. The country still lacks adequate infrastructure facilities and

citizens have to pay for using public services.

Competition Very high across segments like road construction, housing and urban

infrastructure development. Relatively less in airport and port

development.

The State Government is undertaking various projects in the construction sector such

as the proposal to set up the Hubli-Ankola railway line which will connect the

hinterland to the coast, in addition to the Hassan-Mangalore railway line. It has been

proposed to develop minor Airports at Gulbarga, Shimoga, Bijapur, Bellary and Hassan

thereby providing air connectivity across the State. The State also has two Air Force

flying stations, one at Bidar and the other at Belgaum. Logistics parks are also being

developed for planned and systematic handling of goods in and around major cities.

The current Metro Project for Bangalore will generate considerable employment.

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4.2.2 EMPLOYMENT IN THE SECTOR

4.2.2.1 EMPLOYMENT STRUCTURE

Construction is a vast field that needs professionals with different specializations. There

are several lower level employees who are required to carry out construction-based

diverse activities in numerous ways. There are skilled workers who are not required to

possess mandatory academic back ground but need specific experience in

particular construction–oriented fields. The job profiles at this level range from a

general mason to a skilled apprentice. Figure 5.1gives an overview of the various job

profiles within this sector. Workers at these levels are often hired on a daily basis.

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Figure 4-3 Employment structure in Construction Sector

4.2.3 PRESENT LABOUR SUPPLY

The Construction Workers Welfare Board maintains a registry of construction workers.

As registration is not mandatory, the figures do not represent the actual working

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population in the sector but are an indicative of the same. Therefore, for the purpose

of the report, we are assuming the workforce to be equal to the number of persons

employed in the sector. Karnataka ranks 7th among Indian states for workers

registered with the board.

Figure 4-4 Number of Construction Workers Registered

As per CREDAI’s Research, Employment generated by the construction sector is

expected to rise in the next ten years.

Figure 4-5 Employment Opportunities in Real Estate Sector

4.2.4 PROJECTED LABOUR DEMAND

We have taken the number of workers registered with the construction welfare board

of Karnataka as a proxy for the total number of employees in this sector. There is no

data available for the total number of people working in the construction sector. The

table below estimated the number of people required by the construction sector for

each year to follow. A graphical depiction of the same, displays an increasing trend.

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Presently, Construction sector employs 9.6% of the total workforce in Karnataka

(Karnataka Industrial Policy (2014-19)). This amounts to 36,60,646 persons.

Table 4-6 Projected Demand for Construction Workers

Projected Demand for Construction Workers (2015 – 2030)

Year Male Female Total

2012 1,50,236 43,865 1,94,101

2016 1,47,532 51,953 1,99,485

2018 1,55,325 72,733 2,28,058

2020 1,58,623 85,435 2,44,058

2022 1,61,882 97,993 2,59,874

2025 1,68,466 1,19,894 2,88,359

2028 1,74,768 1,41,290 3,16,059

2030 1,78,877 1,55,389 3,34,267

Figure 4-6 Projected Labour Demand for Construction Workers

4.3 TEXTILE AND GARMENTS SECTOR

4.3.1 INTRODUCTION

Textile Sector holds a significant place in Karnataka’s Industrial Setup. Although it

contributes only 0.50 per cent to the GDP of the State, it is one of those sectors which

0

50,000

1,00,000

1,50,000

2,00,000

2,50,000

3,00,000

3,50,000

4,00,000

2012 2016 2020 2024 2028

Projected Labour Demand for Construction Workers

Male

Female

Total

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have employed more than five lakhs persons in the State20. The vast pool of skilled and

unskilled workers, availability of labour at low costs, strong base for production of raw

materials characterize the textile industry in Karnataka.

The textile industry is vertically-integrated across the value chain and extends from

fibre to fabric to garments. At the same time, it is a highly-fragmented sector, and

comprises small-scale, non-integrated spinning, weaving, processing and cloth

manufacturing enterprises. The entire industry can be broken down to three segments:

• Production of yarn

• Production of fabric

• Manufacturing of garments

Table 4-7 Ready Garments and Textile in Karnataka

Ready Garments and Textile in Karnataka

Year Ready Garments Textile

Factories Employees Factories Employees

2011 961 339,196 287 37,543

2012 987 393,768 323 36,163

2013 984 391,082 315 43,688

2014 951 322,216 1061 84,036

2015 859 379,492 191 22,302

Source: Karnataka at a Glance various years

“The textiles sector occupies second position in the State in terms of value of exports,

next only to electronics and computer software. The State exports readymade

garments to countries such as the US, the UK, Italy, Germany, Western Europe, Hong

Kong, Turkey, Canada and Australia21”.

Table 4-8 Export Performance of Karnataka State

Export Performance of Karnataka State (In Rs. Crore)

Sr. No. Commodity 2010-11 2011-12 2012-13 2013-14 2014-15

1 Ready Made Garments 6866 8143 7670 4100 4300

2 Silk Products 678 673 654 558 660

3 Wool and Woolen Products 91 129 150 120 155

Source: Department of Commerce and Industries, GoK, Annual Report -2014-15

20Urs, Anil. (25 January 2016) Karnataka pitches for investments in textiles. Business Line. Retrieved from http://www.thehindubusinessline.com/news/national/karnataka-pitches-for-investments-in-textiles/article8151885.ece

21Urs, Anil. (25 January 2016) Karnataka pitches for investments in textiles. Business Line.Retrieved from http://www.thehindubusinessline.com/news/national/karnataka-pitches-for-investments-in-textiles/article8151885.ece

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The State is home to 70 large and medium textile companies and more than 50,000

small units operate under the micro, small and medium (MSME) categories. In 2013-14,

cotton was cultivated in 6.54 lakhs hectares of land in Karnataka. Production of raw

material within the state gives the textile sector additional advantage. Apart from

cotton, the state produces silk. The Karnataka silk is a brand in itself.

The Department of Textiles realized that for the sector to grow furthermore, proper

policy intervention is required. So, in great foresight the department formulated the

state’s textile policies namely, NuthanJavaliNeethi. The current textile policy is from

2013-18. This policy was preceded by SuvarnaVastraNeethi 2008-2013. The policy aims

to attract investments of Rs,10,000 crores to the sector and generate employment for

5 lakhs people.

Figure 4-7 Value of Chain of Textile Industry

4.3.1.1 POWER LOOM

The spinning sector in the state was quite strong at one point in time through the

cooperative spinning sector mills arrangement. Over the years the segment witnessed

various difficulties and the mills had to either shut down or work under various

constraints. Government is taking measures to strengthen the spinning segment. The

power loom sector would be supported and strengthened in order to modernize

production technologies, such that they are able to supply good quality fabrics in the

required quantum. Handloom sector in Karnataka has been able to create some

strong geographical indicators especially in silk sarees and traditional handloom

sarees and dress material. However, due to the low levels of modernization, availability

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of credit in required quantum and marketability of products, handlooms sector would

need to be supported in enhancing viability through the new policy.

4.3.1.2 MANUFACTURING OF GARMENTS:

Karnataka has a very strong presence in the garments segment. Garmenting sector

has witnessed a growth in investments in the State and has not seen any slowdown.

Capacity in garmenting has gone up drastically. There are approximately 6500 units

(Large, Medium, and Small) at organized and unorganized levels with presence in 20

districts across the State. Garment Sector has the potential to employ more number

of people.

It is in the garment sector that maximum value addition takes place. The garment

sector is highly labour intensive. During the last policy period, it has been experienced

that everyone lakh investment in the garment sector creates 2-3

jobs(NuthanaJavaliNeethi (2013-2018)). The garment units of Bangalore are producing

primarily, woven fabric based fashion garments. There are about 15,000 mediums to

big units in Bangalore and number of small units in and around Bangalore and Bellary.

Since this sector has potential to create new employment opportunities, forthcoming

policy will continue to welcome investments in readymade garment sector

4.3.2 EMPLOYMENT IN TEXTILE SECTOR

4.3.2.1 CURRENT EMPLOYMENT

The table below gives a snapshot of handloom weavers and looms in Karnataka as

per the 2009-10 handloom censuses.

Table 4-9 Handloom Weavers and Looms in Karnataka

Handloom Weavers and Looms in Karnataka

Particular Rural Urban Total

Total Weaver Households 33,854 3,826 37,680

Weaver Population 121,688 12,650 134,338

Weaving Workforce 69,686 7,163 76,849

Looms 35,662 4,826 40,486

Per Capita Income of weaver household 24,840 25,405 24,897

Source: Handloom Census; Government of India – (2009-10)

4.3.2.2 PROJECTED EMPLOYMENT

As per the textile policy 2014-2019, the sector is expected to generate employment

for 5 lakh persons. The table below gives the incremental demand for labour each

year;

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Table 4-10 Incremental Demand for Labour in Textile Industry

Incremental Demand for Labour in Textile Industry (Investment in Rs. Crore)

Year

/Sector

2013-14 2014-15 2015-16 2016-17 2017-18 2021-22(E)

Inv Emp Inv Em

p Inv Emp Inv Emp Inv Emp Inv Emp

Handloo

m 2 1,000 2

1,0

00 2 1,000 2 1,000 2 1,000 2 1000

Power

loom 50 5,000 75

7,5

00 125

12,50

0 125

12,50

0 125 12,500 340 22,000

Spinning 200 2,600 375 500 475 6,500 475 6,500 475 6,500 605 1,280

Processin

g 50 350 100 900 210 1,575 220 1,575 210 1,575 422 3,070

Garments 500 40,000 750 60,

000 1250

100,0

00 1250

100,0

00 1250 100,000

220

0 176,000

Technical

textile 200 1,500 250

1,7

00 400 2,800 425 3,000 425 3,000 715 4,890

TOTAL 1002 50,450 1552 76,

100 2462

124,3

00 2497

124,5

75 2487 124,575

428

4 208,240

As the investment in Handloom segment was constant from 2013-2018, we have assumed the same for

estimated years also.

4.4 MEDIA AND ENTERTAINMENT INDUSTRY

4.4.1 INTRODUCTION

The media and entertainment industry has grown exponentially in the past decade.

Nation-wise, the Industry is worth 1026 billion rupees and is expected to grow at a rate

of 15.5% in 4 years (FICCI & KPMG 2015). Media and Entertainment Industry consists of

the following segments:

1. Television

2. Print

3. Films

4. Radio

5. Music

6. Animation

7. Gaming Advertising – Internet and Outdoor

The industry currently employs approximately 4 lakh people and is expected to

employ 6.5 lakhs by 2017(NSDC report 2015). According to the industry expert

Karnataka contributes about 8% of the total employment. Therefore, the current

employment for media and entertainment sector in Karnataka is about 32,000,

following the same assumptions the employment would then grow at 52,000. Major

part of this work force is employed with the Television and Films section. Across India,

35% of the total workforce is engaged with the film industry. Most of them are

contractual labourers.

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4.4.2 FILM AND TELEVISION

The Kannada film Industry, also known as the Sandalwood industry released 118

movies in 2014. The first government institute in India to start technical courses related

to films was established in 1941. In September 1996, two specialized courses

Cinematography and Sound & Television were created and a new Institute,

Government Film and Television Institute was started at Hesaraghatta, under the World

Bank-Assisted, Project for Technician Development in India.

4.4.3 ANIMATION VFX AND GAMING

In Animation and VFX, the spike in outsourcing activities has created demand for

professionals such as character designers, key-frame animators, modellers, layout

artists etc. There is significant demand for animation as it is being used in varied spaces

like education, advertising, movies, games etc. This segment needs a highly skilled

workforce with creative mindsets and technical expertise. This segment has seen

tremendous growth at the state level. International Organizations such as Dreamwork

Studios and Rockstar games now have offices in Bangalore. In addition to this,

Karnataka has indigenous companies that work in Animation such as Xentrix. The State

has also released an AVGC policy to give a boost to the sector.

Number of employees at each of these firms ranges from 300 to 45022. There is demand

for animation artists and tech artists in the field. There is a supply constraint for

appropriately skilled individuals. All firms in the industry have plans to expand their

work. This would generate employment in this sector over the next few years. Also, the

Indian market for animation and VFX is currently at a nascent stage, but it is picking

up gradually. As the demand for such content rises in local markets, demand for

labour will also increase.

Internet penetration in India has also improved lately and so as the use of smart

phones. There is also a global rise in the use of smart phones; which has created a

demand for skilled professionals such as app developers, software testers and

programmers.

The advertising industry has also grown tremendously. E-commerce is contributing to

this recent growth. This had resulted in demand for workforce in media

planning/buying, advertisement development and copy writing.

22 “Emerging Trends in Animation Gaming Visual Effects’; BangaloreITE.biz Conference; December 2015.

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In addition to all the projections of growth, it is important to note that the sector’s

growth primarily depends on economic outlook. Industries such as film and television

are largely driven by consumer demand and their purchasing power.

4.4.4 SKILL GAP23

• Lack of talent is a challenge for this industry especially in case of print media.

• Lack of exposure among students regarding designing, animation as a career

choice.

• There is no shortage in number of educational institutions (for animation) in

terms of demand for and supply of seats, but the quality of training is not on par

with industry demands.

• Many production houses in films, television, animation and news in both print

and broadcasting have in-house training Institutes. There also exists lack of well-

qualified trainers. There is a need to ‘train the trainers’.

• As there is an absence of a vibrant training atmosphere in India, we are not

able to cope with the continuous up-gradation of technology in this sector. It is

crucial to address this issue, in order to develop this space so that there is easier

access to quality training.

• There prevails general skepticism for the industry among the youth because of

the poor remuneration and widespread use of freelancers. A way to deal with

this might be to introduce media and entertainment industries courses in

mainstream ITI’s.

4.5 AGRICUTURE

4.5.1 AGRICULTURE PROFILE OF THE STATE

Karnataka is India's eighth largest state in geographical area covering 1.92 lakhs sq

km of which 1.23 lakh sq km of land is cultivated. As per the population of Census 2011,

agriculture supports 13.74 million workers, of which 23.61 per cent are cultivators and

25.67 per cent agricultural workers. The agricultural sector of Karnataka is

characterized by vast steppes of drought-prone regions and sporadic patches of

irrigated area. Thus, a large portion of agricultural land in the state is exposed to the

vagaries of monsoon with severe agro-climatic and resource constraints. Agriculture

currently employs more than 60 per cent of Karnataka's workforce24.

23 Based on the Panel Discussion on “Emerging Trends in Animation Gaming Visual Effects’; BangaloreITE.biz Conference; December 2015.

24 Agriculture Profile of Karnataka State; Institute of Social and Economic Change, Bengaluru(YoP)

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Agriculture in Karnataka is heavily dependent on the Southwest monsoon as only 26.5

per cent of the sown area (30,900 km2) is under irrigation. “Karnataka ranks 5th in India,

in terms of total area under horticulture and 8th in terms of total horticultural

production accounting for 5.6 per cent of national production. It is the largest

producer of coffee and cocoa in the country and the second largest in production

of flowers and grapes. It is also the third largest producer of plantation crops in India

accounting for 11.6 per cent of the national production and fourth largest producer

of spices, accounting for 8.6 per cent of the national production and 5th largest

producer of fruits in the country” (Tirlapur, Patil and Navalaur 2015). Karnataka is a

major silk producing state in the country25. It has a coastline of 320km and yields an

annual marine production of 425000 MT with 276 varieties of fishes. Karnataka also

leads in the export of silk with an approximate share of 25% of the total Indian export

market.

Agriculture plays an important role in the overall growth of Karnataka’s economy

despite its minimal share in the State Domestic Product. This sector is currently growing

at a rate of 14.3% (Economic Survey of Karnataka 2014-15).

4.5.2 WORK FORCE IN AGRICULTURE:

The latest census figures provide a picture of the employment pattern in the

agriculture sector of Karnataka. Given below are the figures, relating to people

employed in agriculture, based on the 2011 census.

Table 4-11 Agriculture Workforce in Karnataka

Agriculture Workforce (Main Workers) in Karnataka

As per 2011 Census

Karnataka

Cultivators Agricultural Labourers

Person Male Female Person Male Female

Total 6,038,309 4,568,505 1,469,804 5,119,921 2,609,098 2,510,823

Rural 582,4702 4,394,613 1,430,089 4,795,763 2,415,657 2,380,106

Urban 213,607 1,73,892 39,715 324,158 193,441 130,717

25 State-wise Silk Production During 2013-14 & 2014-15; Annual Report of Central Silk Board, Ministry of Textiles, Government of India

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Table 4-12 Workforce Engaged in Agriculture

Workforce Engaged in Agriculture26

Year Persons Engaged in Agriculture

2010 -11 3,91,06,451.52

2011-12 3,41,84,068.08

2012-13 3,40,02,372.70

2013-14 3,38,10,129.86

2014-15 3,36,07,095.43

2015-16 3,33,93,020.72

2016-17 3,31,67,652.36

2017-18 3,29,30,732.28

2018-19 3,26,81,997.58

2019-20 3,24,21,180.46

2020-21 3,21,48,008.19

2021-22 3,18,10,373.16

4.5.3 ALLIED SECTORS

4.5.3.1 PISCICULTURE (FISHERIES)

Karnataka State has 320 Km long coast line along with 27000 Sq. km continental shelf

area, 5.65 lakhs hectares of various inland water resources and has vast scope for

fisheries development. The brackish water area of 8000 hectares also provides good

scope for shrimp/fish culture. There are about 9.61 lakhs fishermen in the state of which

3.28 lakhs fishermen are in marine and 6.33 lakhs fishermen are in inland who are

involved in various fisheries activities. During the year 2013-14, the total fish production

of the state is 5.55 lakhs tones which contributed to 5.8% of the national fish production.

Both marine and inland fishing is practiced in Karnataka. There are various schemes

implemented by the State government to boost the fisheries sector. The Department

of Fisheries manages this sector. The fishes are an important source of export revenue

for the State.

26 These values have been calculated using the percentage figures of person employed in Agriculture (Various NSSO rounds). For the projection it is assumed that employment in agriculture is reducing by 1% each year.

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Table 4-13 Fisheries Capacity & Work Force

Fisheries Capacity & Work Force

Year

Fish Catch (in

tonnes)

Ice Plants Cold Storage

Families involved in

Fisheries

No.

Capacity

(in tonne) No.

Capacity

(In

tonne) Full time Parttime

2010-11 526580 220 3170 41 3350 180,024 131,970

2011-12 546436.668 230 3363 52 3190 180,024 137,743

2012-13 168241.44 230 3363 53 3190 180,024 137,743

2013-14 197954 263 5624.6 49 2924.5 180,024 137,743

2014-15

4.5.3.2 ANIMAL HUSBANDRY

The share of Animal Husbandry in Gross State Domestic Product (GSDP) of Agriculture

and Allied activities was 20.51% during 2013-14. The share of Karnataka in all India

livestock and poultry population was 5.41% and 7.33%, respectively. The density of

livestock in the State was estimated at 151.21 per sq.km and 47468 per lakh human

population. In addition to poultry farms; Cattle, Buffaloes, Sheep, Goat and Pigs are

reared in Karnataka.

4.5.3.3 HORTICULTURE

Karnataka has seen significant growth in this segment. In many dry areas of the state,

horticulture crops are being grown. “Horticulture crops cover an area of 18.35 lakh

Hectares and the annual production is 149.59 Metric Tons. The average Productivity of

Horticultural crops in the state is 8.15 Metric Tons per Hectare. The annual value of

Horticultural products produced in the state is Rs.29741.00 crores and constitutes 40%

of the total income from entire agriculture sector. The share of Horticultural produce

to total GSDP of the state is 10%.” (Planning, Programme Monitoring & Statistics

Department 2014-15). Budget allocation for horticulture also doubled from 2013-14

and 2014-15.

Table 4-14 Horticulture Budget Allocation

Horticulture Budget Allocation

Allocation 2012-13 2013-14 2014-15

Plan 43,493.64 53,377.34 1,12,204.71

Non Plan 6805.04 8612.10 9781.39

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4.5.3.4 SERICULTURE

Karnataka is the largest producer of Silk in the Country. As sericulture is a labour

intensive activity, it generates a lot of employment. The area under mulberry

cultivation in the state was about 88879 hectares at the end of December 2014. The

value of total silk produced in 2014-15 was Rs. 2522.41 crores.

Table 4-15 Employment in Sericulture

Employment in Sericulture

Category Unit 2011-12 2012-13 2013-14 2014-15

Area under mulberry ‘000 hectares 70.96 74.13 80.87 88.4

Production of cocoons ‘000 Metric

tonnes 55.96 49.44 61.41 68.75

Quantum of cocoons

marketed ‘000 Metric

tonnes 55.03 48.95 45.99 -

Raw Silk production ‘000 Metric

tonnes 7.79 8.21 8.57 9.64

Employment in Sericulture Lakh 9.22 9.63 10.51

4.5.4 SKILL GAP

Based on interviews with persons involved with the Agriculture sector, it can be

understood that one cannot make a list of skill gaps within the sector. Since the sector

is extremely vast and diverse, the skills required for each segment of it is different. There

is the basic difference in skills required for cultivation and for other allied sectors such

as sericulture and fisheries.

It is recommended that, for the growth of the Agriculture Sector along with the

increase in Productivity of farmers, the department conduct independent study to

understand the demand and supply of manpower across all levels. Along with

providing skills to farmers in areas of technology usage, agro-sales, product usage etc.

This skill requirement needs a detailed mapping and thereon a skill plan should be

developed.

A general trend seen across this sector in Karnataka is the extent of dependency on

migrated labour. There has been noted an influx of labour from Assam and West

Bengal. Suppose a labourer from Assam is employed at coffee plantations in

Karnataka, he/she may not be aware about cultivation of coffee or exposed to it

earlier. This leads to a significant skill gap. Another problem that exists especially in rural

areas is labour retention. Most youth do not want to work as labourers. Also, landless

labourers prefer to find menial job in the service sector rather than working in the

agriculture sector. Due to lack of availability of labourers, small and marginal farmers

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are growing crops that require less work like Ragi or Eucalyptus. As a result, they earn

less than optimal revenue.

Governments, both at the State and national level have created an elaborate

mechanism to ensure better growth for farmers. It is the beneficiaries who are unable

to access it and make the best use of these facilities

4.6 TOURISM AND HOSPITALITY

The Karnataka is ranked as the fifth most popular state in the country for tourism27. It is

home to 507 of the 3600 centrally protected monuments in India, the largest number

after Uttar Pradesh.28The State Directorate of Archaeology and Museums protects an

additional 752 monuments and another 25,000 monuments are yet to receive

protection29.The state is home to many sites of historical importance like Hampi and

Badami. Some of them have been recognized as UNESCO world heritage sites. In

addition to this the state is home to many beautiful beaches along its 320 Km long

coast from Karwar to Mangalore. Forest cover in south of Karnataka is home to

Bandipur Wildlife Sactuary, Nagarhole National Park and many more. The rich

biodiversity of Karnataka adds to its beauty. Apart from Coorg, which is a well-known

hill station of the state, there are a number of unexplored hill stations situated mostly

in Chikmangalur and Kodagu districts.

Table 4-16 Revenue realized by Tourism

Revenue realized by Tourism (in Rs. Lakh)

Name of Organization 2010-11 2011-12 2012-13 2013-14 2015-16

Directorate of Tourism 119.7 35.61 89.21 101.63 1045

Jungle Lodge and

Resorts 3298.74 4268.21 4093.72 4524.16 3907.68

Karnataka Tourism

Development

Corporation

5240 6256 6684 6583.74 6811

TOTAL 8658.44 10559.82 10866.93 11209.53 11763.7

Source: Economic Survey of Karnataka 2014-15

27Andhra Pradesh top tourist destination: Tourism Ministry - Financial Express Archived February 21, 2014 at the Wayback Machine 28"Alphabetical list of Monuments", Protected Monuments, Archaeological Survey of India.Archived from the original on 2013-08-08. Retrieved 13 June 2007 29Correspondent (6 January 2007). "Plan to conserve heritage monuments, museums". The Hindu (Chennai, India: The Hindu). Archived from the original on 2013-07-24.Retrieved 13 June 2007.

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Developing tourism will have a multiplier effect through the Economy. Apart from

generating revenue for the State including considerable foreign exchange, it will

create employment and generate local wealth which will boost the economy at

large. Clear indication for the growth of the sector lies in the volume of tourists arriving.

If demand to visit a tourist spots increases, only then will the infrastructural setup in that

area improve. It is also important to note that tourism gives a boost to the rural

economy as most tourists’ spots are located in such regions.

Table 4-17 Number of Tourist Arrivals in Karnataka

Number of Tourist Arrivals in Karnataka Indian Foreigners Total CAGR (total)

2011 84,107,390 574,005 84,681,395

2012 94,052,729 595,359 94,648,088 11.8%

2013 98,010,140 636,378 98,646,518 4.2%

2014 118,283,220 561,870 118,845,090 20.5%

Source: Department of Tourism, GOK

4.6.1 EMPLOYMENT IN TOURISM SECTOR

Department of Tourism, GoK has already released its Vision document which outlines

the Government’s plans for this sector. The report stresses on improving current tourist

locations and developing some potential location by investing in infrastructure. This in

return is to generate employment. This Sector currently contributes to about 14.8 per

cent of the GSDP of Karnataka. Currently tourism sector contributes to 5% of the total

employment. It is expected that it will increase to more than 10% by 2024.

Table 4-18 Employment in Tourism Sector

Employment in Tourism Sector

Year Employment As a percentage to working population of Karnataka

2012 18,60,000 5%

2015 34,87,500 9%

2020 62,00,000 15%

To achieve these ambitious targets, tourism development needs support with

adequate human resources. Proper Vocational Training Courses is required to be

provided to all persons who are interested in working in either tourism or hospitality. In

addition to training them in general skills pertaining to the hospitality industry, it is

important to equip them with general understanding about the State also.

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4.7 HEALTHCARE

4.7.1 INTRODUCTION

Health care is one the major sectors of spending in the Indian economy and is also

the country’s principal contributor for employment generation. The Government of

Karnataka has given significant attention to the health sector during the past few

years. Provision of quality health care to people is an essential component of the

health strategy adopted by the State. A brief on the network of health infrastructure

has already been mentioned in the report. Based on population figures and rural

health statistics, NRHM has given figures on the shortage of number of hospitals in the

state (see table below).

Table 4-19 Health Infrastructure in Karnataka

Health Infrastructure in Karnataka

Particulars Required In position shortfall

Sub-centre 9,063 8,871 192

Primary Health Centre 1,445 2,310 *

Community Health Centre 361 180 181

Health Worker (Female)/ANM at Sub Centres &

PHCs

11,181 11,434 *

Health Worker (Male) at Sub Centres 8,871 3,148 5723

Health Assistant (Female)/LHV at PHCs 2,310 1,036 1274

Health Assistant (Male) at PHCs 2,310 823 1487

Doctor at PHCs 2,310 2,089 221

Obstetricians &Gynecologists at CHCs 180 175 5

Pediatricians at CHCs 180 95 85

Total specialists at CHCs 720 495 225

Radiographers at CHCs 180 172 8

Pharmacist at PHCs & CHCs 2,490 2,417 73

Laboratory Technicians at PHCs & CHCs 2,490 1,058 1432

Nursing Staff at PHCs & CHCs 3,570 4,978 *

Epidemiological transition coupled with IT supported health care practices is

attracting Indian and foreign patients to Bangalore owing to effectiveness in treating

chronic and lifestyle diseases. The healthcare sector’s revenues in Karnataka are

projected to shoot up to US$ 30 billion by 2020 from the current US$5 billion odd – the

biggest contributor to this growth will be Bangalore. For better and effective

management of global standard hospitals and healthcare facilities, Karnataka will

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witness a spurt in demand for hospital management professionals according to India’s

leading healthcare management & research institute, IIHMR Bangalore30.

4.7.2 EMPLOYMENT IN HEALTHCARE SECTOR

According to Report of the Steering Committee on Health for the 12th Five Year Plan

of the Planning Commission, India has 19 health workers (doctors – 6, nurses &

midwives – 13) per 10,000 people in India. The World Health Organisation (WHO)

stipulates a minimum ratio of 1:1,000.. Additionally, there are 7.9 lakh AYUSH

practitioners registered in the country (approximately 6.5 per 10,000)

AYUSH has also prescribed norms for the number of medical and non-medical

personnel required in a district hospital. For the purpose of this study we shall take these

figures as a norm for all hospitals. A hospital of 100 beds is to generate employment

for 105 medical and non-medical staff. In addition to this, another 12 jobs are created

at the administrative level.

Manpower requirement increases with the number of beds, but is not a linear. The

table below gives the minimum essential manpower required for a functional District

Hospital of different bed strengths as indicated.

Table 4-20 Manpower Required in Hospital

Manpower Required in Hospital - Medical and Non Medical

Cadre 100 Beds 200 Beds 300 Beds 400 Beds 500 Beds

Doctors 29 34 50 58 68

Staff Nurse 45 90 135 180 225

Para-medicals 31 42 66 81 100

Administrative Staff 12 15 21 26 29

Total Strength 117 181 272 345 402

4.7.3 PROJECTED LABOUR DEMAND

The World Health Organization stipulates that for every 1000 persons 3.5 beds are

needed. Based on the population projection till 2030, we have estimated the

manpower requirement for this sector. For the sake of simplicity, we have used

guidelines for 100-bed hospitals to calculate manpower requirement.

30Techspirit;” Private health care industry in Karnataka to grow to $ 30 billion by 2020”; dated 13 March, 2015 -http://techspirit.in/private-health-care-industry-karnataka-grow-30-billion-2020/

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Table 4-21 Incremental Demand for Man- Power in Health Sector

Incremental Demand for Man- Power in Health Sector

Year

Population

added

each year

No. of

Beds

Neede

d

No. of

Hospit

al (100

beds)

Staff

Nurse

Require

d

Para-

Medical

Staff

Required

Administ

rative

Staff

Require

d

Doctors

Require

d TOTAL

2016 65,220,744 228,273 2,283 1,02,723 70,765 27,393 66,199 497,636

2017 850,277 2,976 30 1,339 923 357 863 3,482

2018 861,362 3,015 30 1,357 935 362 874 3,528

2019 872,592 3,054 31 1,374 947 366 886 3,573

2020 883,967 3,094 31 1,392 959 371 897 3,619

2021 895,492 3,134 31 1,410 972 376 909 3,667

2022 792,498 2,774 28 1,248 860 333 804 3,245

2023 801,524 2,805 28 1,262 870 337 814 3,283

2024 810,653 2,837 28 1,277 880 340 823 3,320

2025 819,885 2,870 29 1,291 890 344 832 3,357

2026 829,223 2,902 29 1,306 900 348 842 3,396

2027 838,667 2,935 29 1,321 910 352 851 3,434

2028 848,219 2,969 30 1,336 920 356 861 3,473

2029 857,879 3,003 30 1,351 931 360 871 3,513

2030 867,649 3,037 30 1,367 941 364 881 3,553

# 2016 is taken as base year

4.7.4 SKILL GAP

1. Medical Specialists

• Lapses in conducting medical and other audits

• Difficulty in coordinating activities between departments

• Difficulty in using computers

2. Consultant Doctors

• Inadequate skills in working as a team

• Insufficient knowledge of hospital infections

• Limited knowledge of disaster management protocol

3. Ward Attendant

• Limited knowledge of implications of bio-medical waste

• Lack of cleanliness and hygiene management

• Carelessness in observing safety norms

4.8 IT AND ITES

The IT and ITES Sector has grown exponentially over the past 15 years. Karnataka leads

in the information technology sector in India and its capital Bangalore is now known

as the Silicon Valley of India. Karnataka is the IT hub of India and home to the fourth

largest technology cluster in the world. ‘Karnataka has 47 IT/ITeS SEZs, three software

technology parks and dedicated IT investment regions. The exports of IT and

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electronic products from the state reached US$ 32.19 billion in 2014-15. Exports of IT

and electronic products accounted for 40 per cent share in India's IT and electronic

products exports and 62 per cent share in Karnataka’s overall exports as of 2014-

’15(India Brand Equity Foundation 2015).

The table below gives broad overview of the IT sector within the state.

Table 4-22 Performance of Information and Communication Technology Sector

Performance of Information and Communication Technology Sector Particulars Unit 2013-14 2014-15 (upto Dec 2014)

IT Units No. 2425 2560

IT Exports Rs. in Crores 1,80,000 1,76,610

No. of Employees No. in Lakh 9.5 10

Source : Department of ITBT

The major segment of this industry encompasses IT services, BPO, Engineering Services,

R&D and Products. The state accounts for about 40per cent share in India’s electronic

and software products exports. The sector added US$ 17 billion of revenue last year

(NASSCOM). The table below gives a list of overall turnover of the industry and its

segments. The e-Commerce segment is driving rapid growth of domestic IT-BPM;

attracting unprecedented levels of global interest and funding. Nationwide, the

sector is growing at the rate of 13%.

Table 4-23 Overall Turnover of IT- Sector

Overall Turnover of IT- Sector

Category Turnover (in US$ Billion)31 IT Sector 130

IT Services >68

BPM >26

E Commerce >18

Hardware 14

ER&D, Product Development 14

Software Products 6

4.8.1 PROJECTED GROWTH OF EMPLOYMENT

According to the Department of IT, BT and S&T current employment in this sector for

Karnataka is at approximately 10 lakh persons. At present growth rate, the IT sector is

expected to absorb 2 lakh persons every year. Such a rise in demand requires a new

approach to the industry, one that embraces innovation, nurtures a superior talent

31 Data Source: NASSCOM

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pool, manages security and risks, and meets regulatory and policy demands.

Recognizing the required change has the potential to increase employment in the IT/

BPO sector from the current 8 lakh to 20 lakh by 2020.

Table 4-24 Employment Generated by the IT Sector

Employment Generated by the IT Sector (2015-2030)

2015 2020 2025 2030 10 lakh 20 lakh 30 lakh 40 lakh

4.8.2 DEMAND DRIVERS OF THE SECTOR

There are several global megatrends that are reshaping the IT/ BPO space. Changes

in healthcare, education, banking, retail, environment, energy and mobility are

reshaping markets. Based on these trends, the total addressable market for IT and BPO

is likely to grow from US$ 500 Billion to US$ 1.5 Trillion by 2020. India’s contribution in this

can grow from the current $100 Billion to US$ 300 Billion.

Of this, Karnataka’s contribution to IT/ BPO exports has been US$ 26 Billion. Karnataka

can improve its contribution in the IT/ BPO sector and help maintain India’s position as

a dominant global player by recognizing that 80% of future growth will come from

non-traditional sectors, new customers and newer geographies. For example, clinical

solutions in healthcare, environment and climate change solutions around

sustainability and mobile applications alone will contribute to around US$200 Billion.

IT and BPO sectors have been critical to growth in ancillary industries such as

education and training, transport, construction and security. This industry has been

responsible for creating new employment and offering employees an opportunity to

share in wealth creations through stock options (a remarkable trend triggered by IT

that has had a deep and lasting indirect impact on entrepreneurship). The industry

has also led the way with diversity, employing more women and persons with

disabilities than possibly any other industry. Karnataka’s IT and ITeS successes have

attracted international attention not only for the economic change it has brought

about, but also for the social change it has triggered. This trend must be maintained

and enhanced in the coming decade. There are several global megatrends that are

reshaping this IT/ ITeS space.

The change calls for a new approach to the industry one that embraces innovation,

nurtures a superior talent pool, manages security and risk, meets regulatory and policy

demands. The continued focus on IT/ ITeS will ensure accelerated growth of the

economy, will fast-track the development of new centers of growth in the state, add

to employment, and fuel innovation. Bangalore’s brand as a global IT centre must be

enhanced with the new parameters that are coming into play such as productivity,

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infrastructure, quality of life, social equity and environmental sustainability that

indicate the city’s potential to continue to attract global talent and provide the

environment for renewed growth.

4.9 THE UNORGANIZED SECTOR

The term ‘unorganized worker’ is defined in India under Section 2(m) of the

Unorganized Workers Social Security Act, 2008. An unorganised worker is a home-

based worker or a self-employed worker or a wage worker in the unorganized sector

and includes a worker in the organized sector who is not covered by any of the Acts

pertaining to welfare Schemes as mentioned in Schedule-II of Unorganized Workers

Social Security Act, 2008

Unorganised workforce drives almost every segment of the economy – Agriculture,

Manufacturing and Services. The sector wise contribution of unorganised sector, for all

India level has been illustrated in the table below:

Table 4-25 Share of Labour Input in unorganised Sector

Share of Labour Input in unorganised Sector (%)2004-05

Tabulation category/ Description Share of Unorganised

Sector

1 Agriculture and Forestry 99.9

2 Fishing 98.7

3 Mining 64.4

4 Manufacturing 87.7

5 Electricity, Gas and Water Supply 12.4

6 Construction 92.4

7 Wholesale and Retails Trade 98.3

8 Hotel and Restaurant 96.7

9 Transport, Storage and

Communication

82.2

10 Financial Intermediation 32.4

11 Real Estate, renting and business

activities

81.4

12 Public Administration 2.6

13 Education 37.9

14 Health and Social work 55.1

15 Other community, social and

Personal Services

92.5

16 Private households with employed

persons

100

17 Extra territorial Organisation and

Bodies.

87.8

TOTAL 93

Source: Report for the Committee on the Unorganised Sector Statistics.

National Statistics Commission, Government of India. (2012 February)

;Pg 25-26

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Although the data presented in the above table is for the year 2004-05, it provides the

indicative picture of the ground level scenario. Due to insufficient data such a table

for Karnataka could not be constructed.

However, we are aware that 3/4ths of 2.44 crore workers in Karnataka are estimated

to be in the unorganized sector. Most of the workers agricultural and workers in the

sub3sectors of non-manufacturing such as shops, establishments & trade,

construction, real estate& business activities and hotels & restaurants are in the

unorganised sector.

Agriculture and allied sectors hosts the most amount of unorganized labour. Since the

sector has been exclusively studied as a separate chapter we shall not be dealing

with it in this chapter. Some of the sectors in Karnataka that host huge portions of

unorganized labour have been discussed below. The sectors have been identified

based on the reports of the National Skill Development Council for the state. Given

the very nature of the sector in discussion – Unorganised, very little data exists.

4.9.1 TEXTILE SECTOR

One of the biggest sector in Karnataka in terms of both output and people employed

is the textile sector. A significant share of people employed in the sector fall in the

unorganised category. Most of the weavers both of cotton and silk fall under

unorganised category of labour.

Weaving is a skill by itself which is learnt on the job for those employed in the sector. It

is also passed down from generation to generation in families. A better understanding

of fabrics and designing will enable individuals engaged in the sector to better target

their customer groups and thereby earn greater income. Traditional fabrics can to put

in newer designs to attract new customers. With the advent on online retails suppliers

can access bigger markets. To optimise this situation skilling is needed in designing and

use of ICT.

Although the Garment industry itself is much organised the labour employed in the

industry continue to be unorganised. Most individuals in the sectors are engaged in

Stitching. This stitching is mechanised so they are essentially tailors. There is a shortage

of seat for courses on “dress making” and fashion designing in ITI’s. This can be

expanded. Skilling should also involve information dissemination of the sector at large

and quality related aspects so that the aspiring entrepreneurs are well acquainted

with this sector.

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4.9.2 TOURISM SECTOR

Presence of historical sites and sites of natural beauty has rendered Karnataka’s

tourism sector an inherent advantage. Most of the job profile in the tourism sector like

guides, cab drivers, and travel operators can be categorised as unorganised sector.

These are semi-skilled jobs with huge potential.

Skilling must be provided to individuals in trade specific skill. A combination of skill can

also be designed to cater to the ground level needs of the sector. Training for guides

especially for historical sites would be greatly beneficial. Training people in language

to be guides for foreign travellers will further boost the tourism sector. In addition to

providing short term courses or/and certification in hospitality would give support to

small hotels.

4.9.3 THE FURNITURE AND FURNISHING INDUSTRY

The industry is mostly concentrated in and around urban pockets like Bengaluru.

Retails companies have entered the industry but it continues to be dominated by

small time firms. Skilling can involve not just carpentry but also entrepreneurship related

classes which can act as a guide for individuals to set up their own enterprises and

become self-employed. Most of such firms presently fall in unorganised category. This

must be bought under organised sector.

Trade specific skill like designing must be included in addition to inventory

management and storage skills.

4.9.4 CONSTRUCTION AND REAL ESTATE

All unskilled and semi skilled labour engaged in construction sector is unorganised.

Various trades like Plumber, Electrician, Mason, Painter etc are hired on contractual

basis in the sector. Each of this skills learnt by individuals on job. Standardisation of the

skill must take place so that these individuals can be certified for the same. This will

enable them to set up their own businesses exclusively providing these services. India

must adopt an international standard thus enabling them to apply for jobs in the other

nations for any of these trades.

Unskilled labourers in the construction industry are the helper who eventually picks up

a trade. Construction sector requires In-situ skilling. Since the entire sector is

unorganised. Institutionalised skilling is difficult to implement. Therefore, it is

recommended that certification should be focused.

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4.9.5 DOMESTIC WORKERS

Domestic workers have become an indispensable part of Indian household. “National

Sample Survey Organisation (2009-10) data posts the number of domestic workers in

India at 2.52 million, up from 1.62 million in 1999-2000”32. But NGO’s working in the

sector has said the numbers are much higher than the official estimates. Domestic

workers are further categorised based on the job they do like:

4.9.5.1 HOUSEHOLD CLEANING

This includes washing utensils, sweeping, mopping etc.

4.9.5.2 COOKING

Many households with adult working member are now employing cooks. They are

expected to cook basic dishes. A short duration skilling programme for those already

employed in such job profiles can be conducted and certificate for the same can be

provided. A linkage from this job profile to the hospitality sector can also be

established so there is scope for people to grow professionally.

4.9.5.3 CHILD CARE AND ELDERLY CARE

The demand for this job profile is increasing rapidly. Many individuals do not have the

capabilities to fill these roles. A separate job profile must be created for Caregivers

and specialised training with some basic medical related information can be

provided to aspiring Care givers. Certified individuals can then be linked to agencies

which bridge the demand and supply.

4.9.6 WELLNESS SECTOR (SALON AND SPA)

Rise in income levels has enabled people to spend on luxuries like availing services in

a salon or a spa. In urban pockets demand for beauticians, hair stylists, masseuse is

increasing. In addition to retails chain of salons, many independent salons are also

part of the supply side. These independent salons are mostly unorganised. There is also

freelance service provided in this sector.

32 Amrita Nayak Dutta (2013, December 26) Domestic help workforce in India exists without governmental or societal support. DNA.Retrieved from http://www.dnaindia.com/india/report-domestic-help-workforce-in-india-exists-without-government-or-societal-support-1940646.

http://www.dnaindia.com/india/report-domestic-help-workforce-in-india-exists-without-government-or-societal-support-1940646

http://www.dnaindia.com/india/report-domestic-help-workforce-in-india-exists-without-government-or-societal-support-1940646

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In addition to trade related skills, communication and languages can also to taught

in wellness sector related courses.

4.9.7 SECURITY GUARDS

Every enterprise is availing service of private security. It is a semi-skilled job whose

demand is greatly increasing in the past decade. Most people employed in these jobs

do not have any prior experience and are not trained for the job.

Skilling programme have to be offered to security guards. They must be trained in

disaster management protocols, regarding basic criminal and civil law and

communication skills.

4.9.8 HANDICRAFTS

Karnataka is home to some beautiful handicrafts some of which are registered as

geographical indicators. Paintings, ivory carving, sandalwood crafts, Mysore silk etc.,

are some of the many interesting crafts seen in Karnataka. Moreover, metal work of

Udupi is also renowned for their intricate craftsmanship.

Most of the handicrafts are taught through apprenticeship method. Institutionalising

skilling of handicraft would not yield much benefit. Rather the existing apprenticeship

mode of teaching must be recognised. Steps should be taken to bridge the gap

between demand and supply of the handicrafts. Little modification in design can

make various handicrafts of Karnataka appealing and thus creating a new demand.

Therefore, offering courses in designing would be helpful. In addition, training in

marketing and business would enable artisans to use new avenues of retailing like the

online platforms.

4.9.9 AGARBATTI MAKING

The Mysore region in Karnataka is known for their Agarbatti (incense) particularly

made of the sandalwood, which the region is known for. Agarbatti manufacturing is

highly labour intensive sector characterised by low capital requirements and simple

technology. The entire process of rolling agarbattis is catered by the unorganised

sector33 There is not much that can be done in terms of skilling in the sector but

33NiranjankumarNivedita. (2014, October 21) Your Agarbatti’s Dark Side. Indian Express. Retrieved from http://www.newindianexpress.com/cities/bengaluru/Your-Agarbattis-Dark-Side/2014/10/21/article2486925.ece

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mechanism to deal with occupational illness associated with industry has to be

identified or addressed.

The Unorganised sector is a highly fragmented and most employment is done on a

one on one engagement with the employer, hence the respective industry should

take initiative in training them. Currently “on the job training” is the most preferred

mode of training for the sector and this will continue to exist. Policies pertaining to

skilling in the unorganised should be designed in such a manner that existing practices

are incorporated into it. A complete overhaul in terms of strategy would not yield

much return as implementation of such a radically different policy may be hard. A

phased-out implementation will provide space for both the skilling agency and

industry to get adjusted to it.

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5. RECOMMENDATIONS

Way Forward

The Central Government has formulated the national policy framework to guide State

Governments to draw State specific plans with respect to vocational education and

skill development. The State Planning Department has also identified lacunae existing

in vocational education and skill development system. Taking into account the

strategies proposed by the Central Government and suggestions made by the State

Planning Commission, the following initiatives could be taken up by concerned

departments.

5.1 AIMS AND OBJECTIVES OF THE SKILL POLICY

Karnataka government aims to set up a framework that is inclusive as well as learner

and labour market centric in its approach to impart skills.

Vision

Internationally acceptable skilling for all to reap the maximum possible demographic

dividend for rapid balanced sectoral growth and inclusive development with decent

employment opportunities for all.

Goal

The goal of the skill development policy is to recommend ways to provide skills

incrementally to persons who include youth emerging from the formal education as

well as those who yearn to achieve sustainable livelihood either through wage

employment or self- employment options in a year.

Mission

Empower all individuals through improved skills, knowledge, nationally and

internationally recognized qualifications to gain access to decent employment

and ensure State’s competitiveness in the global market.

Aims

The aim of the policy on skill development in Karnataka is to:

• Design and implement skill development, entrepreneurship and livelihood

activities on mission mode basis converging all the schemes and programmes

concerned under skill development, entrepreneurship and livelihood

department;

• Achieve the economic and social integration of target groups by enabling

them to acquire employment relevant skills;

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• Standardise curriculum in line with quality parameters and market demand,

and improve certification norms for improving employability and free

movement of the workforce;

• Set cross sectoral and internationally acceptable standards of skilling with

sound quality assurance and qualification framework;

• Ensure speedy provision of qualitative skills to harness the demographic

dividend and meet the industry needs;

• Strengthen the quality as well as to ensure the long-term sustainability of the skill

development infrastructure – both in the government and private sector; and,

• To provide skills to strengthen livelihoods and promote entrepreneurship

with increased emphasis on innovation, and providing adequate support and

conducive environment to them.

Objectives

In order to achieve the above aims, the skill development policy of Karnataka

government has formulated the following objectives.

1. To provide information to youth, entrepreneurs and workers in the unorganised

sector on employable skills and institutions providing such skills, mobilise them

for acquiring skills, and to undertake innovative measures to make skill

acquisition aspirational for youth.

2. Make vocational training aspirational to both youth and employers so that

youth perceive vocational training as career choice and employers, realising

the productivity potential of skills, offer remunerative employment to skilled

workers.

3. To standardise the curriculum in line with quality parameters and market

demand, and to improve certification norms to promote quality, employability

as well as facilitate free movement of workers.

4. To strengthen and enhance the capacity of training infrastructure and trainers

at all levels to provide quality and relevant training.

5. To ensure equitable and easy access to skill training programmes to every

needy person in the state.

6. To ensure vocational training to those completing school education,

unorganised sector workers and lowly paid workers to enable them to improve

their employability and access to growth opportunities by skilling, re-skilling and

up-skilling.

7. To facilitate mobility between vocational and general education by alignment

of degrees with National Skill Qualifying Framework.

8. To provide suitable skills for improving entrepreneurship and promoting

livelihood security.

9. To provide an institutional base and set up Labour Market Information System

(LMIS) which enables the potential workforce to articulate, represent and

secure their interests for wage employment and self-employment options, and

to use this information in the preparation of curriculum for skill training;

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10. To achieve convergence of existing state and non-state initiatives, provide

clarity of roles of all the stakeholders in the ecosystem, including the

government so that they all can contribute to the achievement of goals

relating to skill development for wage and self-employment based on their

comparative advantage.

11. To achieve improved supply and quality of the workforce for industry,

contributing to increased productivity.

12. To provide services on career guidance and placement, and facilitate

overseas employment of skilled persons.

5.2 POLICY INTERVENTIONS FOR PROMOTING SKILLS AMONG YOUTH

Any marketable skill, acquired through formal or certified informal means, to perform

a job or a certain task competently is considered as skill. Skills are both generic4 and

domain5. The former is to be imparted as part of general education, while the latter

will specifically be addressed by the policy. For skill development, the Department will

undertake the functions of providing awareness on marketable skills and institutions

providing such skills, monitoring the government and private vocational education

courses and informal training programmes, standardising the curricula, improving

certification norms, setting up of NSQF, providing placement services, improving

overseas job opportunities and so on.

Entrepreneurship is defined as the capacity and willingness to develop, organize and

manage a business venture along with any of its risks in order to make a profit. The

most obvious example of entrepreneurship is the starting of new business. The main

function of the department is empowerment of entrepreneurs through skills. It needs

to be noted that skills required for a person to become entrepreneur are different as

compared to a person taking up paid job after obtaining skills. If a person is to become

successful entrepreneur, she/he should be provided with support such as credit,

expertise, infrastructure, skills and official environment conducive to the business. The

department, however, focuses mainly on skills and to some extent linking

entrepreneurs with banks and so on.

Livelihood, which is a means of making a living, encompasses people’s capabilities,

assets, income and activities required to secure the necessities of life. A livelihood is

sustainable when it enables people to cope with and recover from shocks and stresses

(such as natural disasters and economic or social upheavals) and enhance their well-

being and that of future generations without undermining the natural environment or

resource base. The activities to be undertaken to promote livelihoods are, in addition

to providing skills, organisation and mobilisation of youth into Self-Help Groups initiating

measures towards their financial inclusion, facilitating marketing linkages and so on.

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Policy interventions aimed at improving the eco-system of skill development for the

target group in Karnataka are discussed below:

5.2.1 INFORMATION, AWARENESS AND MOBILISATION

• Awareness on the role of skills in the nation building will be created among

parents, teachers and other stakeholders in the society to develop pro-skilling

environment in the state. Messages conveying that each job (small or big,

formal or informal) is to be respected as it directly or indirectly contributes to

national economy will be spread through newspapers, mass media and posters

on buses and trains. Information Education and Communication strategy

along with modules and tools in Kannada will be developed and transmitted

from time to time for effective communication to public in general and youth

in particular.

• Awareness programmes for parents will focus on choices available to their

children in terms of sectors, modules and training providers with better career

opportunities.

• Information and awareness on advantages of skills, returns to skill education,

marketable skills in the technical and non-technical trades and institutions

providing courses on such skills will be provided to students completing

secondary and higher secondary education, school drop outs, unorganised

workers.

• Appropriate programmes will be formulated so that the youth can articulate

and represent their interests and will aspire for vocational education.

• The state government will create web portal for youth interested to go for skill

training. Mobile technology will be used for better social networking,

better engagement and collaboration with the prospective candidates.

• Institutional arrangement will be made for those in secondary and higher

secondary schools to spend a couple of days in an innovative experience

programmes on campuses of ITIs, Polytechnics, industries, specialised training

facilities and others discovering the relevance of vocational education to

themselves. This will focus on hands-on experience in manufacturing, office

and service skills required in the real world.

• Gram panchayats and urban local bodies will provide information on

skill opportunities as well as mobilise the youth through Self-Help Groups and

other community based organisations. These local bodies will also identify and

enroll youth interested in obtaining skills and facilitate the connection between

the youth interested in obtaining skills and institutions providing employable

skills. The existing data base such as Socio-Economic Caste Census (SEC),

20146, will be utilised for identification and mobilisation of youth.

• Local bodies and civil society organisations will be involved to provide

counselling and guidance to youth not only for creating aspirations and but

also to reduce the attrition rates during the training. Skill missions at the grama

panchayat, taluk and district levels will work as multipliers and facilitate

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counselling and guidance to the youth about various skilling programmes and

opportunities.

• Appropriate steps will be initiated to involve industries in the assessment and

provision of information on marketable skills on regular basis.

5.2.2 ASPIRATIONS AMONG YOUTH

• Vocational education is equated with blue-collar low status jobs.

Consequently, status is given more importance as compared to income

prospects that skill education provides. In addition, the structure of vocational

education in India does not give an option to students to pursue general

education possibilities at a future date. This lowers the likelihood of youth

aspiring for vocational education.

• Youth also lack information on job opportunities available for specific types of

training. Weak labour market links between vocational education providers

and employers undermine the willingness of students to incur the resources for

vocational education.

• High quality vocational education options will be made available to students.

In addition, a premium in wages for skilled workers who have gone through

formal vocational education courses will be institutionalized in collaboration

with the industry. Minimum wages will be upwardly revised to make vocational

education aspirational for the youth as well as the industry. Vocational

education will be recast as a profession, with skills that need periodic upgrading

and that command the respect as any professional.

• For any vocational course (one semester or above), an equivalence to general

education will be notified.

• Pathways between vocational education and general higher education will

be created. The state government will initiate necessary reforms in the

education system at the middle and secondary school levels and in technical

training in phased manner to achieve seamless integration of vocational

education into the formal education system. Exposure to different skill streams

to map the skills through aptitude tests and make choices will be introduced.

The assessment and certification bodies will support the Boards of School

Education to carry out reforms.

• Efforts to integrate skill education with general education will be made for

making vocational education as continuous and lifelong learning, so that

young people will aspire for vocational education and skill training

programmes.

• Government will make efforts to bring skill training at par with general

education system. Courses offered under skill development will have both

theoretical and practical framework so that workers have complete

knowledge. This will help them to seek the same promotional and pay

packages as normal jobs offered in private and public sector.

• Initiatives will be taken up to introduce skilling as a subject at college and

university levels by starting courses such as Bachelor of Vocational Studies to

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enable the students to have trans-disciplinary vertical mobility into those

courses where the entry qualification is bachelor degree. Such a course, as

decided by the UGC, will have multiple points of entry/ exist and appropriate

content of general education along with skills relating to a profession.

• Those youth who have gone to private schools performed well academically

and whose parents are relatively well educated are likely to assign low status

to vocational education. Customised awareness campaigns directed at this

group will be undertaken to address the negative perception associated with

vocational education.

5.2.3 STANDARD CURRICULA AND COURSES

Karnataka Skill Development Authority will be set up to standardise the curricula and

courses in line with market demand and quality parameters. If curricula are already

available, these will be adapted or adjusted according to the market demand, and

needs and preferences of trainees.

5.3 POLICY INTERVENTIONS FOR SKILL TRAINING

5.3.1 TRAINING INFRASTRUCTURE

• The quality of infrastructure within the existing ITIs, Polytechnics and other such

institutions will be improved and the existing infrastructure will be put into good

use for delivering training to large number of youth.

• The government will standardise and institutionalise private sector capacity

by increasing the number and mix of skill training courses through means like

public- private partnership, equity, grant and loan support from the

Government of India. Private sector and CSR initiatives in skill training will also

be encouraged.

• Industries will be encouraged to earmark funds for periodic skilling and up-

skilling of personnel employed in the industry by utilising the space and

infrastructure available in the government ITIs and polytechnics.

• Efforts will also be made to encourage industries to start training centres.

• Space available in community centres, schools, youth hostels, polytechnics or

shop floors of industries will be utilised for practical training.

• Community Schools and e-learning platform will be created to address the

issue of scaling up and capacity. Civil society organisations will be encouraged

to set up community schools. In so far as e-learning platform is concerned,

some proportion of curriculum of vocational education, mostly theory part, will

be delivered through the internet.

• In order to reduce gender disparity, basic workshop subjects such as metal

work, woodwork, technical drawing, and basic electricity will be made

compulsory for both girls and boys.

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5.3.2 IMPROVING QUALITY OF TRAINING AND CAPACITY OF TEACHERS

• In line with the central government policy on the quality assurance framework,

the state government will develop the quality criteria and align the same with

the National policy at later point in time when it is finalised. The quality

framework will set minimum standards and provide guidance for effective,

valid, reliable, fair and transparent assessment in the context of NSQF. This

would also facilitate certification and thereby improve status of skills training.

Guidelines for accreditation of training providers based on training capabilities,

infrastructure, and availability of trainers, ties with industry, etc., will be notified.

• To promote accountability among ITIs and assess their performance, ratings

based on their outcome linked parameters will be applied.

• Industry will be encouraged to actively participate in designing curricula and

standards for skill training courses, depute their industry members as faculty,

make shop floor available for practical training and institutionalise paid

apprenticeship. Workplace training will be promoted as part of overall skill

curriculum aligned to NSQF and embedded in appropriate credit framework.

• For effective skill development, the link between demand for skills by employers

and supply of quality skills is crucial. The government will provide incentives to

those industries which are successful in establishing such a link.

Preparing curriculum which is in sync with emerging market demands and aligned to

latest NSQF. Qualification packs will be recommended by the sector mentor

committees. The latest teaching aids will be promoted to disseminate quality training

on a large scale. The curriculum will be revised once in every three years to

accommodate the changes in the market, and in consultation with the industry.

The policy visualises skilled and certified teachers so as to provide qualitative skills to

students in Karnataka.

• A separate course for the teachers of vocational education, along the lines of

B.Ed. will be started.

• Training and retraining program will be organised for the teachers of ITIs and

Polytechnics so that they are updated on the current curriculum which have

demand in labour market. A focused and restructured teachers training

programme will cover certification, continuous skills up gradation, performance

monitoring, rewards and recognition.

• Teachers will also be encouraged to spend sometime in the industry so that

they are able to learn the technological advances made in the industry. ITIs

and Polytechnics will be encouraged to appoint those working in the industry

as part-time teachers and guest speakers from time to time.

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5.3.3 CAREER GUIDANCE AND PLACEMENT SUPPORT SERVICES

• Employment Exchange and Career Guidance Bureau will be set up for

improving the employability of skilled youth.

• A strategy on career guidance and placement support services will be in

place. A booklet on career opportunities will be periodically brought out to

help skilled youth to obtain jobs.

• Industries will be encouraged to provide in-house training and made

accountable for their placement.

• The focus will be on providing employable skills. Most of the jobs require

knowledge of English language, basic IT and financial literacy. Effort will be

made to prepare required module and integrate these courses along with life

skills and soft skills to youth.

• The focus of the policy will be on placements since the most critical outcome

of skill training is employment, wage or self-employment. Handholding,

placement and post- placement support are critical. Employment tracking of

individuals for at least one year post skill training will be made mandatory under

all skill programmes.

• The Labour Management Information System will be set up to pool data from

industries (both big and small) to assess the demand from time to time. With the

help of these data, skilled workers will be placed accordingly.

5.3.4 OVERSEAS EMPLOYMENT

• Karnataka government will set up Overseas Employment Cell to tap the

potential for overseas employment opportunities for skilled persons.

• In order to promote overseas employment, the government will make efforts to

ensure that the curriculam of vocational education and content of skill training

match international standards.

• Skilled workers interested in taking up overseas employment will be provided

support in bridging the existing skills with those required, information on socio-

economic conditions in the destination country, support to send their

remittances to their families and so on.

5.3.5 APPRENTICESHIP PROGRAMME

• Apprenticeships will not only accelerate skill development but also help to

tackle the problem of unemployability of youth. Apprenticeship programmes

all over the world have gained from increased productivity. Those completing

an apprenticeship earned more than an average college graduate.

• Despite this, the apprenticeship programme in the state is still at the nascent

stage

• (Annex 8) because the Apprenticeship Act of 1961 and amendments in 1973,

1986 and

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1997 were prescriptive and did not work. This means that the employability of the

skilled youth has declined as the industries could not employ youth having only

bookish knowledge.

• Following amendments to the Act made in 2014, which create an

enabling environment, the policy document visualises to make employers

volunteers in the apprenticeship programmes and make customized

programmes.

• Annually, 350,000 youth will be provided apprenticeship training.

• Efforts will be made to include more industries such as telecom, insurance,

banking and finance, information technology, and civil aviation and retail

trade.

• Industries having more than 40 workers will have to provide mandatory

apprenticeship training to 2.5 to 10% of its staff.

5.3.6 VOCATIONAL TRAINING FOR SCHOOL DROPOUTS

• The vocational training will be organised through various private Skill

Development Centers (SDC) or Vocational Training Providers (VTPs). The policy

visualises that SDCs or VTPs will be promoted by: i) NGOs; ii) Private Engineering/

Polytechnic/ ITI colleges; iii) Corporate houses directly or through CSR;

iv) Public Sector Undertakings; v) Religious trusts or organisations; and, vi)

Private skill experts.

• The above may be helpful to boys as they may be more forthcoming in

attending training by SDCs or VTPs. For girls, de-centralised training

arrangement will be made.

• The policy will promote training capacity by identifying at least one SDC or VTP

in each of 176 taluks in Karnataka for imparting training in the identified trades.

• The policy visualises strong interface between DET and SDCs/VTPs wherein the

former arranges to provide the necessary support to the latter in (i) making the

standard curricula and courseware available to all at all the time, (ii)

developing and using monitoring tools, (iii) arrange for capacity development

of SDC/VTP trainers so as to improve the quality of delivery, and (iv) assessment

of certification of the trainees.

• DET, GoK, will assess skills imparted and award certificates to those trained by

SDCs or VTPs for their career advancements in line with NSQF equivalent

certification7

5.4 ENTREPRENEURSHIP DEVELOPMENT AND LIVELIHOOD PROMOTION POLICIES

Policies to provide skills for entrepreneurship and livelihood require different focus and

strategy, and hence, these are separately discussed below.

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5.4.1 SKILLS FOR ENTREPRENEURSHIP DEVELOPMENT

Policies for successful entrepreneurship development among youth are below.

• Efforts will be made to identify potential and early stage entrepreneurs from

among those attending formal skilling courses as well as others. In order to

educate and equip them, entrepreneurship education curricula will be

developed by learning from the available education content.

• The Department will provide entrepreneurship curriculum to aspiring

entrepreneurs with the help of ICT. Tracking of those learning through web-

based teaching of entrepreneurship training will be done to monitor and

include those belonging to socially and economically marginalised groups.

These groups will be prioritized in the provision of training inputs.

• Colleges and universities, both public and private will be encouraged to start

entrepreneurship courses.

• Web and mobile based platforms will be created for the students and budding

entrepreneurs to connect with the ecosystem of entrepreneurship. Such a

platform will be helpful not only to find opportunities for skill training but also for

other services such as credit.

• Karnataka government will encourage the creation of new incubators and

scaling up of the existing incubators through appropriate support.

• State-wide network of Entrepreneurship Hubs (E-Hubs) will be set up to provide

guidance and extend support to entrepreneurs such as delivery of services as

part of the state programme on entrepreneurship and other resources.

• The government will undertake steps to rationalise business procedures and

regulations to improve ease of doing business. The Government will constitute

a committee to arrive at the procedures and regulations.

• Access to institutional finance is key for the success of business. The government

will initiate steps to ensure the flow of adequate and timely credit to budding

entrepreneurs by strengthening coordination between entrepreneurs and

banks/ other financial institutions.

5.4.2 LIVELIHOOD PROMOTION POLLICIES

• The identified vocational training programs can be organised by involving

private vocational training providers, NGOs, religious and charitable

organisations and by the industry through CSR initiatives. Mobile training

services will also be used wherever it is necessary.

• Policies to increase in training capacity will be implemented by identifying

adequate training providers to all the villages and localities in Karnataka for

imparting training or re-skilling or up-skilling in the identified trades. The

government also visualises the use of mobile training services and Leaning

Network approaches for improving the training capacity.

• The government will make the standard curricula and courseware and monitor

the training providers. It will also assess the process of certification of the trainee.

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• The government will adopt mobile training service approach because such

an approach: i) makes vocational education and training available where the

trainees work and live; ii) is suitable particularly for target groups in remote rural

areas; iii) makes it possible to organise in terms of time and place so as to

best suit the needs and constraints of the target group in the informal sector;

iv) can offer both formal and non-formal and further training courses; and, v)

benefits women, girls and other disadvantaged groups as they do not have to

travel and incur transaction costs.

• LearnNet approach8 will be adopted, where it is required, as it empowers the

disadvantaged people. In order to minimise barriers as a result of distance or

social restrictions, it will be applied where people live and work such as worksite

of construction workers.

Government will introduce measures to impart green skills for sustaining the livelihoods

of workers in the unorganised sector so that they can work their way out of poverty

and contribute to greener planet.

• The government will introduce the Recognition of Prior Learning (RPL) for

unorganised workers for strengthening and certifying their skill base. Checklists

for various trades in consultation with industry will be prepared. The government

will pre- assess competencies based on checklists and provide both theoretical

and practical training sessions. The government will facilitate formal recognition

of skills/ competencies acquired through non-formal and informal channels

among workers in the unorganised sector by institutionalising this and giving

wide publicity. Policies to include women and those belonging to

disadvantaged groups will be introduced.

• The efforts of training providers in the skill development initiatives will be

recognised and mentorship support through NSDC to scale and create

sustainable models for skill development for Green jobs (agriculture/allied

horticulture, renewable energy, recycling, eco- tourism etc.), Grey job (informal

manufacturing and services), and local trades especially will be promoted.

5.4.3 CLUSTER DEVELOPMENT

• Many youths in Karnataka have been deriving livelihood in agriculture,

livestock, small manufacturing including handicraft activities. However, they do

not receive sustainable livelihood.

• In view of this, the government will take up vocational cluster for the

development of agriculture, livestock, handicrafts and arts to secure the

livelihoods of the poor. The vocational cluster will be a regional entity bringing

together the public and private training providers active in such field to meet

the skill needs of the cluster.

• The policy visualises the provision or upgradation of skills for the workers in such

a cluster. The skill provision will focus on improving the productive capacity of

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the workers, modernisation of their activities, modernising the market, linking

them with outside markets including overseas markets.

• Pilot projects will be initiated on the above for learning and scaling up.

5.5 MATCHING

5.5.1 REVAMP EMPLOYMENT EXCHANGES TO CAREER CENTERS

The objective of setting-up Career Centres across the state with world class

technology and processes is to address the employability gap and to extend

employment opportunities to the local youth. Skills development training will be

provided as a mechanism to develop the right set of skills required by the industry.

These centres will be equipped with state of the art infrastructure and propose to

conduct training and offer jobs to local youth. Following would be the main functions

of the Centres:

• Assess the job seekers on their current competencies and identify the skill gap

• Counselling

• Provide Employability Training/Capacity building of job seekers

• Certification support

• Placements assistance

• Demand Generation (how would the centre influence demand generation?)

– The centre will go to various industries and generate open positions for

employment, in other words generate demand for job openings

• Back-end Support

5.5.2 OBJECTIVE OF THE CAREER CENTERS

The primary objective of the Centre is to provide employability solutions to a wide

range of job seekers. The target group would include:

• Commerce, Science and Art Graduates

• School drop-outs

• 10th / 12th pass students

• Skills upgradation of workers employed in various industries

• ITI Tradesmen.

• Job Seekers seeking certification for their skills acquired informally

• Fresh Graduates

• Workers and ITI graduates seeking skill up-gradation

• Early school drop-outs and unemployed

To improve job seekers’ employability skills, the Centre will provide Assessment and

Counselling solutions which would enable job seekers to understand their current

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capabilities and gaps and accordingly provide training and apprenticeship to

address the gap. The Centre would also help the job seekers in job matching services.

In the long-run the Centre can be used as a platform for bridging the gap between

government and industries. The Centre can be a single point of window at the district

level to provide information on local industries and their manpower requirements.

Local industries can make use of the Centre to reach out to/to interact with local

youth/job seekers.

5.5.3 STRUCTURE

The Centre can be set up on Private-Public Partnership mode with a CEO from industry

with industry background. An Advisory Board with industry experts and government

officials as members can be constituted for efficient service delivery and sustenance.

5.5.3.1 RESPONSIBILITIES OF GOVERNMENT OF KARNATAKA:

1. Infrastructure, provided and owned by the Government

a. Interiors - uplift to the Employment Centre requirements

b. Electrical as defined

c. Electronic Equipment, Computers, AC’s, Printer, LCD Screens

d. Furniture

2. Branding Support

3. Operations Support

4. Management fees to Private Partner to cover Operating Expenses of the

Employment Centre

5.5.3.2 RESPONSIBILITIES OF PRIVATE PARTNER:

1. People, Processes, Technology, Business Expertise

2. Manage day to day operations and be responsible for overall functioning of

the center

3. Deliver desired output for;

a. Registrations

b. Assessments

c. Counselling

d. Training

e. Placements

f. Demand Generation)

5.5.3.3 KEY FEATURES OF THE EMPLOYMENT CENTER:

• Identify the industry demand and generate awareness amongst organizations

and job seekers about the Career Center.

• Demand driven short term training courses decided in consultation with

Industry.

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• Optimum utilization of upgraded infrastructure to make training cost effective.

• Flexible delivery mechanism (part time, weekends, full time, onsite/ offsite) to

suit needs of various target groups.

• Different levels of programmes to meet demands of various target groups.

• Testing & certification of skills.

• Forecasting of emerging areas of employment at micro level.

• Development of instructional material for training.

• Assist in the training of trainers.

• Making available the training & testing facilities.

• Development of assessment standards.

• Monitoring and Quality assurance.

• Job placements.

5.5.3.4 TARGET GROUP

• Job Seekers seeking certification for their skills acquired informally

• Fresh Graduates

• Workers and ITI graduates seeking skill up-gradation

• Early school drop-outs and unemployed

5.5.3.5 PROPOSED OUTPUT: (COVERED IN KEY FEATURES)

Job seekers would be trained and their skills tested, upgraded and certified. Modules

for employable skills as per Industry and Labour market demands would be identified

and course curriculum developed.

• Identification of Employable Skill sets for a region based on the study of labour

market in consultation with Industry

• Development of training modules corresponding to skill sets identified

• Organizing Modules into Course Matrix indicating vertical and horizontal

mobility

• Development of detailed curriculum

• Vetting by representatives of Industry, training providers & trade experts

• Inviting comments from Employers/ Employees Organizations, State

Governments, etc.

• Assist in the training of trainers.

• Making available the training & testing facilities.

• Development of assessment standards.

• Monitoring and Quality assurance.

• Assistance in placements.

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5.5.3.6 ECOSYSTEM

Figure 5-1 EcoSystem

5.5.3.7 CAREER CENTER WORKFLOW

Figure 5-2 Career Centre Work Flow

Ecosystem

Assessment

Counseling

Skill

DevelopmentEmployment

Certification

Mobilization

&

Registration

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5.5.4 LABOUR LAW AMENDMENTS

India’s labour laws make employment contracts perpetual. This means that once you

hire somebody you can’t get rid of them even if you can’t afford them, don’t need

them or they don’t perform. How many of us would buy a house we can’t sell or sign

a lease we can’t end? Employers respond to this asymmetric contract by exploding

informality and contract employment. Labour laws also encourage the capital

substitution and sub-scale enterprises; employment in private sector manufacturing

with more than 10 employees has stagnated for 20 years. 80% of our textile output

comes from firms with less than 10 employees while 85% of China’s output comes from

firms with more than 50 employees. RanaHasan of ADB compared 19 manufacturing

sectors and showed that capital stock per worker in India is consistently higher than

China. But the biggest challenge now is that 100% of net job creation since 1991 has

happened informally. Informal employment - the slavery of the 21st century – is a child

of our labour laws.

There are three tenets for any sustainable labour law reform agenda-

i. It does lead to a final destination of no or weak labour laws

ii. It does not take on all labour laws at the same time, and

iii. Recognizes that one size does not fit all.

The first is important because the demand for reform is not about exploiting workers

driven by what Renaissance physician Paracelsus said; the dose makes the poison.

Anything powerful enough to help has the power to hurt and today these laws hurt

those they masquerade to protect. Most employers agree that there should be non-

negotiable labour laws around health and safety, sustainable employee benefits,

minimum wages, and leave/ timing; they want fewer laws with better enforcement.

The second tenet highlights the difference between a list of ingredients and a recipe.

A recipe details proportions, sequencing, and timing. The agenda should pick and

choose battles because laws written over 100 years cannot be changed in 1 year.

The third tenet is important because there is no such thing as India’s labour market;

our diverse geography of work means that what works for Bengaluru is inappropriate

for Kanpur.

5.5.4.1 PHASES ON REFORMING AN AGENDA

Any reform agenda must have five phases.

1. Definition/Plumbing

2. Benefits Regime

3. Trade Unions

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4. Decentralization

5. Fixing the employment contract

5.5.4.1.1 DEFINITIONS/PLUMBING

This phase is the lowest hanging fruit and must cluster laws and rationalize definitions

e.g. wages are defined differently in the Payment of Wages Act 1936, the Minimum

Wages Act 1948, the Bonus Act 1965, the Gratuity Act 1972, the Provident Fund Act

1952, the ESI Act 1948, the Workmen’s Compensation Act 1923 and the Industrial

Disputes Act 1947. Instead of 44 Central laws and multiple state laws we should aim to

cluster all these laws into five or six thematic areas. This reorganization should also

cover the inspection regime; currently the ability of inspectors to continuously target

specific companies is a large source of corruption and pain for small and medium

entrepreneurs.

5.5.4.1.2 BENEFITS REGIME

The notion that money deducted from employee salaries and paid to EPFO or ESI

belongs to those organizations deserves Motilal Nehru’s quip to the Chief of the Indian

Army in 1925 “What do you mean by Indianising the Indian army? The army is ours.

What we want is to get rid of the Europeans in the Indian army!” Only a fool would

argue that employee salaries do not belong to individual employees. Yet today 50

million dormant accounts at EPFO – 50% of their total accounts – is money left by

employees frustrated with EPFO’s incompetence, corruption or inefficiency. EPFO is

also the world’s most expensive government securities mutual fund. ESI has India’s

worst health insurance claims ratio (it only pays 49% of contributions as benefits) and

does not offer decent care, despite having idle financial investments to the tune of

28,000 crore. Yet our labour laws mandate low-wage employees to suffer a 49%

difference between chitthiwaali salary (gross) and haathwaali salary (take-home) for

mandatory enrolment in programs with poor value-for-money, poor service and

humiliation:

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Table 5-1 Salary Deduction

Salary Deduction

GROSS

SALARY

Rs 5500 RS 55,000

Employer

(% cost)

Employees’

(% cost)

Monthly

Total (%)

Employer

(% cost)

Employees’

(% cost)

Monthly

Total (%)

DEDUCTIONS

Provident

Fund

3.67 12 15.67

PF Expenses 1.61 1.61

EPS 8.33 8.33

ESI 4.75 1.75 6.50

Professional

Tax

3.18 3.18 3.18 3.18

Labour

Welfare

0.36 0.36 0.72 0.72 0.36 0.72

Statutory

Bonus

8.33

8.33

Gratuity 4.81

4.81 4.81 4.81

TOTAL (%) 49.18% 8.71%

NET SALARY Rs 2,795 Rs 53,830

But 100% of India’s net employment in the last 25 years has happened informally

because most employers have moved to a cost-to-company salary model where

benefits are not over and above salary but reduce take-home salary. Giving

employee’s three choices in how their salary is paid – they may choose to continue

with the status quo – would involve:

Choice 1-Paying the 12% EPFO employee contribution

The 12% employee contribution is an unaffordable salary deferment by low wage

employees who cannot live on their 48% of their gross salary. Employees should have

three options; opt out of this contribution at joining, pay it into their individual National

Pension Scheme (NPS) account as done by new civil servants, or continue paying to

EPFO.

Choice 2- Paying the 12% employer contribution to EPS or NPS

The Employee Pension Scheme (EPS) is bankrupt – a deficit of Rs 50,000 crore is being

balanced by brutally and slyly reducing benefits. Employees must be allowed to

choose between EPS or diverting their employer contribution to EPFO as payment to

their NPS individual account.

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Choice 3-Paying their health premium to ESI or an Insurance company

Employees should be given an option to pay their monthly health insurance premium

to ESI or purchase a plan from any IRDA regulated health insurance company. The

Insurance industry would gladly create the IT infrastructure to ensure that these policies

are seamlessly portable when an employee moves from one company to another.

The huge difference between gross wages and take-home salary is justified today in

the name of encouraging long term savings and protecting employees from their own

selves or their “myopia”. Keeping aside the argument that this is politically patronizing,

it is arithmetically impossible for the payroll confiscation rate to be higher than savings

rate. Data suggests that people with annual incomes of Rs 75,000 have saving rates

that are close to zero; the various laws that mandate 49% deduction breed informality.

We also need a revamp of our benefits regime because the employment contract

has changed from a lifetime relationship to a short taxicab transaction and this shift

needs backpack benefits which are easily portable with employer changes. Higher

take-home pay also has implications for our ambitious skill agenda; 50% of India’s

workers are in forced subsistence self-employment and we need more formal wage

employment. Additionally, the work of Nobel Laureate Gary Becker suggests that

individual investments in human capital are highly linked to take-home pay. EPFO and

ESI do not have clients but hostages; India’s demographic dividend desperately

needs this to end.

5.5.4.1.3 TRADE UNIONS

Indian trade unions played a very important part in the independent movement but

lately they have not been able to focus on greater good. This needs trade union

reform because the narrow self-interest of a vocal but organized minority is not

national interest. Most trade union leaders see entrepreneurs as myopic vampires who

can’t focus beyond their nose, view employees as an expense and don’t care for

anything other than profit. This silly stereotype does recognize that shareholders don’t

pay salaries or create jobs but customers do. India’s trade unions have imposed the

most regressive taxation in the world under which a small group of labour market

“insiders” (10% of the labour force) impose costs on the unorganized majority. But

Indian trade unions face an existential crisis because traditional issues - provident fund

rates, dearness allowance, lifetime employment, one grade one pay, etc. - are hardly

inspiring for a younger workforce that cares about employability, performance linked

salary differentiation and portfolio careers. In fact, the issues, challenges and

aspirations of organized and unorganized labour are contradictory. Pending a wide-

ranging review of our labour laws, we must immediately review provisions of the Trade

Union Act to restrict leadership to company employees; the politicization of union

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activity is driven by leaders often disinterested in worker welfare and only interested in

building constituencies or campaign finance.)

5.5.4.1.4 DECENTRALIZATION

The legislative balance between the central and state governments has been

debated for long but the political economy suggests that labour laws should

increasingly be given to state. In 1919 the Montagu Chelmsford reforms introduced

Diarchy under which the British Crown retained important subjects like defence,

communications, foreign affairs, finance, justice, and police but transferred light

weight subjects like sanitation, libraries, veterinary, fisheries, agriculture, weights and

measures, and forests to Indian elected ministers. The continued insult and racism in

these allocations sowed the seeds for provincial autonomy in 1935 and

Independence in 1947. After independence, the delicate balance struck by the

constitution between state and central governments was disrupted. But getting skills

and jobs for the 10 lakh kids who will join the labour force every month for the next 20

years needs moving labour laws from the concurrent list to the state list of the

constitution. There is no such thing as India or Karnataka’s labour market; the dynamics

of matching, repair and prepare are different for Bengaluru, Mysuru, Gulbarga,

Hassan and Hospet. There are many reasons for making labour laws a state subject. It

will create accountability; It will allow nuancing and sequencing between philosophy

(employment contracts that balance leverage between employers and employees)

and plumbing (definitions, benefits, etc.). It will allow for an integrated 3E (education,

employment and employability) strategy that focuses on plumbing rather than poetry

because states already control most delivery systems (Schools, Colleges, Employment

Exchanges, Inspectors, and ITI’s). Chief Ministers have stronger incentives in tackling

the status quo that chooses an organized but vocal minority over the unorganized

majority.

5.5.4.1.5 FIXING THE EMPLOYMENT CONTRACT

This is the last phase of labour reform and should not be attempted in the next two

years till there is considerable progress on the other stuff. But at some point, we will

have to confront labour flexibility because making employment contracts marriage

without divorce leads to massive informality. It also does not recognize the reality that

employment has shifted from a lifetime contract to a taxicab relationship that is short

and sweet; the average kids will have at least four jobs before he or she is 35.

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5.6 REPAIR

5.6.1 STRENGTHEN SKILLS DEPARTMENT

Karnataka was the first state to set up a State Skill Mission– Karnataka Vocational

Training & Skill Development Corporation (KVTSDC) with a target of imparting skills and

employment to 10 lakh youth over years from inception. While the corporation

initiated various activities, it has not been able to achieve its objective of imparting

skills and employment to 10 lakh youth. The department needs to be strengthened

and looked at new pairs of eyes.

The recently set up Skills Department set-up under the leadership of honourable CM

and Chief Secretary should also include Principal Secretaries of departments

concerned with skill training such as RDPR, Department of Social Welfare, Higher

Education Department, Department of Youth Empowerment and Sports etc. as

members.

The State Skills Department’s aim should be to increase the capacity & capability of

the State to deliver quality skill training and professional knowledge to the youth to

enhance their employability and thereby bridge the skill deficit with a view to meet

the growing demand for skilled manpower. The department should focus on few key

areas:

i. Skill Budgets – Skill Development budget in Karnataka has been allocated

across various ministries. The entire budget should be brought under the Skill

Corporation umbrella such that there is better monitoring, controlling and co-

ordination for all skills activities in the State.

ii. Funding Apprenticeship programs – Funding for only skill development

programs has not worked for the corporation. There is a need to initiate funding

for apprentices programs through the corporation. Apprentices can be

trainees trained through empaneled VTPs or other training partners as well as

any other student trained through ITIs, Polytechnic, Diploma, Graduate and

Post-Graduate institutes and industry.

iii. Industry connects – The department should be a consolidating point for all

manpower requirements across industries within the State. A long term

roadmap should be developed keeping the industry requirements in mind and

thereon a Skilling Plan should be made and executed. The department would

be required to map labour intensive industries as well as availability of labour

and enable effective matching of supply and demand. Skilling required basis

the gap should be funded through the skills department.

iv. Reach / Scale – It is recommended that the department have co-coordinating

/ zonal offices across the State (North, South, East and West). This will ensure

larger reach, effective monitoring and faster scale of the corporation.

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v. Governance – The MD/ CEO of the department should be hired from the

industry (e.g. NSDC). A state level committee should be formed to review the

various skill development programs every 3 months. This committee should

have additional representation from industry bodies like FKCCI, FICCI,

ASSOCHAM and CII. Transparency is key to executing any plan and the

department needs to identify ways to keep the operations of the corporation

transparent. All information about the programs conducted through the

corporation should be updated on the corporation website.

vi. Training/Delivery-The department would undertake training of trainers to impart

new knowledge and to enhance quality of delivery. National and international

skilling trends/techniques would be imparted to ToT. A mechanism would be

set up to ensure that the new knowledge is transferred to learners.

vii. Contemporary training modules/schemes- Periodic skill requirement analysis

across the sector-agriculture, industry and service- should be undertaken and

based on the findings, training modules must be developed. Experiences from

countries such as Germany, Switzerland and Singapore to be considered by

the department

5.6.2 IDENTIFY CORPORATE CHAMPIONS

A skill development program can serve its purpose only when it is catering to the

demand. This demand is never constant. All Skill development initiatives must attempt

to be on par with the industry and possibly predict the changes in the skills market. For

this purpose, the industry has to work closely with Government. “Champion Employer”

is one such program that facilitates such collaboration between the Industry and the

Government. Under the program a company collaborates with the government to

provide training and thereafter employment to a stipulated number of people. The

government will fund logistic related expenses. “Champion Employer” as a scheme

has been successfully implemented by the Ministry of Rural Development under its

Deen Dayal Upadhyay Grameen Kaushalya Vikas Yojana. The rationale behind this is

to promote inclusive growth, by developing skills and productive capacity of the rural

youth from poor families.

There are several challenges that are preventing India’s youth from competing in the

modern market, such as lack of formal education and marketable skills. The

government can bridge this gap by funding training projects that are on par with

global standards, and ensure placement, retention and career progression.

5.6.2.1 ROLE OF THE GOVERNMENT

The aim of this program is to provide training to the youth of the State so that they will

become employable. As an equal partner in the program government will have to

play a prominent role. Responsibilities that the government will have to undertake are:

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5.6.2.2 FUNDING

In this frame work it is envisioned that the government will provided financial support

to placement linked skilling projects. Funding components include support for training

costs, boarding and lodging (residential programmes), transportation costs, post-

placement support costs, career progression and retention support costs.

5.6.2.3 PREPARATION OF GUIDELINES

Government will have to prepare a set of comprehensive guidelines for establishment

of a training centre. All such guidelines must be made in such a manner that they are

easy to comprehend and follow. Also, there must be a clear format for all the

permission that the industry would have to take to become a champion employer

The Government can also have a point to contact who can communicate and assist

a company through these processes. The Target and Objective must be clearly

specified at time of beginning collaboration. Industry would also be better prepared

when goals are specified.

5.6.2.4 ROLE OF THE INDUSTRY

The Industry on the other hand will execute this training program. They will develop the

training programme based on their area of expertise. The skilling will be done in such

a manner that trainee will be employed at the end of the training program. The trainee

will also be paid a stipend through the training period which will be funded by the

government. The industry will have to develop their own training space and engage

trainers for this purpose. The guidelines or the manner in which the training is supposed

to be undertaken will be given by the Government. The concerned company will also

have to undergo an audit to ensure that all guidelines mentioned by the government

are adhered to.

All training programs have to be demand based and must lead to placement. The

youth have to absorb in the labour market with some basic skill set. This skill along with

work experience must help them grow up the ladder in the job market. The trade

specific skills are required to follow the curriculum and norms prescribed by specified

national agencies such as the National Council for Vocational Training and Sector

Skills Councils. In addition to the trade specific skills, training must be provided in soft

skills, functional English and ICT.

5.6.2.5 CONTENT FOR THE TRAINING PROGRAMME

Some common skills like communication, English etc remain same across a set of

courses. A standardized content can be developed across training providers. This will

reduce the time consumed in developing content that are foundational and

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common across the sectors. Company could use the standardized format and

develop only trade/sector specific content. The content developed by the company

should then be assessed and approved by the respective sector skill council.

To assess the training program, the government can carry out inspection of the

training facilities and also evaluate the training process. It must be noted that

inspection should be carried out by person who has knowledge of the concerned

sector. For example, a person with expertise in retail cannot assess the training facility

for hospitality sector.

5.6.2.6 CREATING A BRAND FOR CHAMPION EMPLOYER

It is also important to ensure that the tag of “Champion Employer” must be given to a

select few. Only when it is available to a select few, will the novelty of being a

champion employer appeal a company.

5.6.2.7 CERTIFICATE PROGRAM

After undertaking the training given by a company for a selected skill and after

working for a period of 1 year, the trainee could be given a certificate for the same.

This certificate could be equated to a level within the Educational framework. It would

also incentive the trainee to remain in the job for a period of at least one year. Having

invested in the training program it is the interest of the government and industry to

ensure that a trainee remains in the job he/she has been placed in, at least for a

minimum time period.

To initiate this program, the Task Team has identified potential Champion Employer for

the important industries within Karnataka. Given below is list of the sectors along with

the Potential Company:

Table 5-2 Potential Champion Employers

Potential Champion Employers

SECTOR COMPANY Auto and Auto Component / Auto Servicing Bosch

Construction Jindal Steel

BFSI Canara Bank, JP Morgan

Media and Entertainment Wizcraft, Times of India,

Mining

Delivery Service Flipkart and Amazon

Hospitality CCD; VasudevAdiga;

Aircraft Serving HAL

Drivers (Transport) OLA

Security GMR

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CASE STUDY on CAFÉ COFFEE DAY as CHAMPION EMPLOYER with Ministry of Rural

Development (MORD)

• Industry Partnerships is key to the success of the DDU GKY program. Employers

have been involved in providing placement opportunities, helping develop the

content, training of trainers. DDU GKY has taken a step further by providing for

special partnership programs that support Industry to collaborate with the

program to meet its own internal HR and talent requirements. These include:

A Champion Employer Policy whereby organizations that need 5000+

people per annum can tie up with DDU-GKY.

A Captive Employer Scheme in which an entity that can provide 500 or

more captive jobs annually in own or subsidiary agencies/ companies. The

last two years can also tie-up with and gain from DDU-GKY’s experience

and training programs.

• The benefits to the employer include funding support for mobilization, training

and hiring of skilled candidates. Currently unskilled candidates are typically

being sourced either through walk-ins or through support of agencies and then

trained by companies at their cost. This scheme would help in getting skilled

candidates at lower costs

• The benefit to the Government Ministries is that they are able to provide

confirmed employment opportunities to the skilled candidates and thereby

achieve their skilling targets.

Café Coffee Day Experience with DDU GKY

• Café Coffee Day was one of the earliest Champion Employer Partners of DDU

GKY. The company has secured an overall national level mandate to train

20,000 persons annually for 5 years to be employed in the café outlets across

the country.

• The company has so far established 7 training centres in Karnataka, Bihar,

Odisha and Kerala to train 6800 youth in these states in the first year. The

company has so far trained 300 candidates and around 600 students are

undergoing training in these centers.

• The 3-month training curriculum is provided by the Learning & Development

team of Café Coffee Day and includes two months of training in the training

centers and one month on-the-job training in the Café outlets.

• Each of the training centers has a café training lab where the trainee is trained

on various aspects of food and beverages related to the company. S/he is

trained to make coffee to the standards required for service delivery in the café

outlets.

• The Trainers undergo 2 week training of trainer programs before being

deployed in the training centers

• The major challenge is in candidate mobilization, retention during training and

placement. This requires proper identification of interested candidates and

career counselling. The attraction to work with a reputed company has to be

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well communicated during the mobilization process. Café Coffee Day has now

developed structured processes to ensure higher effectiveness of the

mobilization process.

• The first batch of trainees has started working in the café outlets and the

response of the operations managers has been good. The company intends to

build on this.

5.6.3 STATE LEVEL SKILLS DEVELOPMENT PROGRAM

Every problem needs a unique solution and so does Karnataka’s unemployability. We

are aware that every month over 10 Lakh youth join the labour workforce in India. In

Karnataka, about 5 lakh people enter the Job market every year. Most of them are

unemployable with little or no skill, thus reducing the productivity of the organization

they work with.

Karnataka needs to develop a onetime solution to this problem while continuing to

prepare the workforce for future employment. It needs to create a scheme where

over the next 24 months, every youth who will possibly enter the labour workforce

should be trained on atleast one vocational skill based on their Behavior, Knowledge,

Interests and Aptitude.

5.6.3.1 THE SCHEME:

The scheme can be named as Karnataka Yuva Kaushlya Program (KYKP), which will

be aimed at providing vocational skills to the following segment on mission mode

basis:

a. School Dropouts looking for Employment

b. College Dropouts looking for Employment

c. Unemployed Graduates & Post Graduates

5.6.3.2 ROLE OF STATE GOVERNMENT:

a. The State Government must launch this program across the state in timely

manner. The target from beginning to the end of the scheme must be pre-

decided. (maximum 24 months)

b. Provide budget for the scheme (can be brought together from across ministries

that will benefit from the scheme)

c. Identify training partners for implementation of the scheme

d. Monitor the program till completion

5.6.3.3 ROLE OF TRAINING PROVIDERS:

a. Develop capacity for skilling the youth

b. Provide relevant infrastructure for the respective training program

c. Train and Certify trainers for effective delivery of the program

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d. Conduct training of the youth and ensure they get certified

e. Ensure certified trainees are either appointed as Apprentices or as Employees

5.6.3.4 CERTIFICATION:

Certification can be aligned to third party assessment such as the respective Sector

Skill Council such that there is industry validation and value to the certificate awarded

to the successful trainee.

5.6.3.5 TECHNOLOGY FOR MONITORING &PAYMENT:

Karnataka being the IT capital of India, the State should make optimal use of

technology for monitoring the quality of training program, and also make relevant

payment to the training partners through the technology platform. Data and

Documents related to the trainees should be uploaded onto the technology platform

and verification should also be done using the same.

Scale and Speed would be key to this mission mode program being successful.

5.6.4 CREATE A STATE APPRENTICESHIP CORPORATION

India only has 3 lakh formal apprentices while Germany has 3 million, Japan 10 million

and China 20 million. There is a crying need to develop a large base of “skilled”

employees before they enter the labour market. However, not much has been done

in this regard.

The KJA-Task Team on Skill Development recommends setting up of a Karnataka

Apprenticeship Corporation (KAC) that would become the nodal agency within

Karnataka for all stakeholders – Industry, Trainees and Education / Training Institutes.

The primary objective of the corporation would be:

i. Expanding the number of apprentices in Karnataka. We must aim to train 2 lakh

apprentices every year.

ii. Offer academic credit to all apprentices registered with the corporation

iii. Offer apprenticeship opportunities to all ITI / Polytechnic students either

concurrently with their studies or subsequent to completion of their studies.

iv. Set up an Apprenticeship Exchange in Bangalore by taking over an existing

Employment Exchange to become a nodal exchange.

v. Provide the credit framework, as per the National Skills Qualifications

Framework (NSQF) to ensure that there is an appropriate Credit Accumulation

and Transfer mechanism (CATS) and Recognition of Prior Learning (RPL).

The State Apprenticeship Corporation should be set up in PPP mode, wherein the

private partner will be responsible for:

KJA RECOMMENDATION



a. Making all requisite investments such as Technology, People, Processes and

Industry connectivity to setup KAC

b. Setup and operatewww.karnatakaapprentices.in, a complete apprenticeship

portal for students, apprentices and employers.

c. Setup and operate a call center 1800-… in Kannada, Hindi and English for

students, apprentices and employers.

d. Provide complete credit mapping framework for all courses undertaken by ITI /

Polytechnic /Vocational Training/ Other students. Provide regular updates to

the credit framework

e. Facilitate industries & academicians to provide continuous feedback and

improve upon the same. This will also involve using expertise from Industries to

create specific courses which are relevant to the particular industry.

KAC should become the single window for state compliances on apprentices and for

providing a platform to stakeholders to allow trainees and industries to experiment with

a new career and new job seekers respectively.

5.6.5 FOCUSSED SKILLS DEVELOPMENT PROGRAMS FOR THE UNORGANIZED SECTOR

More than 2 crore people in Karnataka are employed in the unorganized sector and

most of them are unskilled when they join the labour force. It is recommended that

the Skills Department provides a special focus on creating long term skilling programs

for the youth who join the unorganized sector in industries such as Textile, Construction,

Tourism, Health & Wellness, Domestic workers, Security etc. This would also enable

them to transit from the unorganized sector to organized sector over a period of time.

5.7 PREPARE

5.7.1 SET UP VOCATIONAL UNIVERSITY THAT PROVIDES A QUALIFICATION CORRIDOR FOR ITIS/ POLYTECHNICS ETC. WITH ROADMAP TO UNIVERSITY DEGREE

India has made remarkable progress in terms of IT, space technology, establishment

of world-class institutions like IITs and IIMs, etc. Still India has issues in relation to

demographic pressures and financial constraints in providing equitable standard of

life to all its population. Much of the population is still rooted in traditional occupations.

Keeping in view the major socio-economic situations, we discuss some of the aspects

of Indian economy in detail. Around 93% of the Indian workforce is in informal sector

without employment and social security, experiencing significant economic

deprivation. India has the lowest proportion of trained youth in the world. The

quantitative dimension of India's skill development challenge is that 80 percent of new

KJA RECOMMENDATION



entrants to the workforce have no opportunity for skill training. Against 12.8 million per

annum new entrants to the workforce, the existing training capacity is only 3.1 million

per annum, causing annual increase in unorganized labour and low income groups.

Among persons of age 15–29 years, only about 2% are reported to have received

vocational training (VT) using formal routes and another 8% through non-formal means

indicating that very few young person’s actually enter the world of work with any kind

of vocational training. This proportion of trained youth is one of the lowest in the world.

The corresponding figures for industrialized countries are much higher, varying

between 60% and 96% of the youth in the age group of 20–24 years. The Indian

economic development depends on mass scale skill inculcation, as the countries with

higher and better levels of skills adjust more effectively to the global challenges and

opportunities. The solution calls for effective measures for education and inculcation

of skills at all levels, so that employment with moderate-income can be secured. The

Prime Minister's National Council on Skill Development has endorsed a Vision to create

500 million skilled people by 2022, whereas, at present, only about 2 percent of the

workforce has skill training. This can be effectively addressed by Skill University.

A need exists for identifying an institutional system that holds comprehensive skill

education (CSE) as its educational purpose. A new category of tertiary educational

institution is needed that fulfils the vocational skill needs and community education

requirements, thereby filling the societal void created by the non- responsive nature

of the traditional system of education to certain social demands for higher education.

This new institution should facilitate the holistic development of the society.

The proposed Vocational University will be an institution of higher education, which

provides academic programmes at all levels (Certificate, Diploma, Associate Degree

and Degree) in vocational domains.

Key features of the proposed Vocational University are:

i. Credit and non-credit Programmes linked to the needs of industry and

community

ii. Focus on teaching theoretical and practical skills (of course the relative portions

depend on the level of the Programme and the clientele group; the University

Programmes, by and large, give more focus on theoretical build-up)

iii. Help in industry recruitment, host small business incubators, provide

entrepreneurship development training and conduct applied research

iv. Coursework fused with apprenticeship in an industry

v. Options available for paid apprenticeship and international attachment.

vi. Faculty require theoretical knowledge and applied skills; part-time faculty used

for imparting skills in many domains

vii. Funds arise from fees, consultancy, training programmes and community

projects

KJA RECOMMENDATION



viii. Effectiveness evaluated through placement of graduates, their career

progression and contribution to improvement of the quality of social life in the

neighborhood.

The Vocational University would offer Associate Degree and its lower modules,

vocational education for the unorganized sector, Labour Education and Community

Education. The Campus also will be offering facilities for degree completion, PG and

Research Programmes and consultancy support to MSMEs. The University will be

undertaking projects relating to vocational training for the organised and unorganised

sectors on public-private partnership mode and in collaboration with private sector.

A details concept note on Vocational Skills University has been included in Annexure

– 1.

5.7.2 VOCATIONAL SKILLS AS AN ALTERNATE TO LANGUAGES/ VOCATIONAL SKILLS AT SCHOOL LEVEL

Language is not merely the medium of instruction at all levels of education; it is the

medium of growth. It provides capacity for preservation and communication of

intellectual life. At higher level, language provides the medium of fresh and free

thinking and research. In education, it is supposed to communicate knowledge, and

in general life it is the instrument to pick up information. We need language to learn,

to retain and to recall our knowledge. It is the primary need for development of a

child.

On the other hand, vocational skills development plays an integral part in the

economic and social prosperity of individuals, employers, communities and nations

worldwide

Productivity enhanced through increase in human capital has a positive and

significant effect on economic growth. Skills development can play an important role

in reducing poverty. Lifelong learning can help redress gender inequities by

supporting women to progress in their careers into higher paid jobs.

It is recommended that the School and Higher Education Departments identify

pathways for inclusion of vocational skills starting from Class 8 till Graduation so that

the student continuously gain skills. Eventually even if he / she go on for further

education, a vocational skill will only enable them to grow in their education or career

better than the ones without any vocational skill.

Time is of constraint to the School & Higher Education departments hence a way can

be found out to replace any Vocational Skill in place of the 3rd language the student

studies (reference be made to KSEP language policy pg. No.45-46). This may not be

the best possible solution, however we are aware increasing duration for students may

http://www.skillsdevelopment.org.uk/default.aspx?page=360#individuals

http://www.skillsdevelopment.org.uk/default.aspx?page=360#employers

http://www.skillsdevelopment.org.uk/default.aspx?page=360#communities

http://www.skillsdevelopment.org.uk/PDF/Skills%20Development%20&%20Poverty%20Reduction.pdf

http://www.skillsdevelopment.org.uk/PDF/3%20%20Gender%20and%20Skills%20-%20A%20Long%20Way%20to%20Go%20V1%200.pdf

KJA RECOMMENDATION



not be possible, and hence replacing vocational skill in place of a language can be

an option.

5.7.3 ENGLISH LANGUAGE AT SCHOOLS

In the current business environment, the need for good communication skills is

imperative. Irrespective of the sector, one common issue that arises in any skill gap

analysis is the need for better soft skills in India. No longer is a professional qualification

enough to secure a job, in the present times in addition to having a degree one needs

to have a good personality and right attitude or proficiency in business language. The

demand for such skills is not restricted to highly skilled jobs. From the drivers of cab

companies to senior management professional, everyone is expected to have good

communication skills.

Communication skills include verbal, non-verbal and interpersonal skills. Knowing

English has become a prerequisite for anyone who wishes to enter the global markets.

Last few decades of last century and this century is being driven by technology.

Operational language for most of these technological instruments is also English.

Therefore, it has become very important for a person to be equipped with such skills.

As India has excess labour a part of the labour can move to countries with labour

constraint. For labour to migrate to other economies and to compete with others at

the global level, ability to communicate in English is a must. It is required not just to

secure a job but also for one to navigate themselves in other countries or states. Most

people undergo spoken English classes while searching for a job. Even if they manage

to speak the language at the end of the course, they don’t feel confident about it.

Low confidence levels, as a result of inadequate communication skills is recurring

problem amongst Indian population. As mentioned earlier industry wants people with

strong personality which cannot be developed with low confidence levels.

A study34 by Aspiring Minds, A New Delhi based employability solutions company

reported that “A significant proportion of graduates, nearly 47 per cent, were found

not employable in any sector, given their insufficient English language and cognitive

skills35.” Although each job profile requires varying degree of proficiency in language

34 The study was conducted in 2013 and it regarded as the first ever national audit of employability of 3-year Bachelor’s degree graduates, drew inferences from data of over 60,000 graduates pan–India, based on Aspiring Minds Computer Adaptive Test (AMCAT) – Daily Excelsior, “47% Graduates In India unemployable for any job: Report” [dated 25-06-2013] 35 Daily Excelsior, “47% Graduates In India unemployable for any job: Report” [dated 25-06-2013]

KJA RECOMMENDATION



and cognitive skill, a significant amount of the people who undertook the survey did

not have the required proficiency in English and communication. With Globalization,

no economy remains isolated, there continuous interaction across the world and

labour is constantly moving across the countries. This requires that the employees are

equipped to talk in English at all levels

Therefore, the task team believes that English should be taught at early levels of

education so that students have adequate time to get used to the language and feel

confident about conversing in it.

5.7.4 CAPACITY BUILDING OF SCHOOLS / UNIVERSITY / VOCATIONAL SKILLS TEACHERS

The Skilling mission can only be successful if certain reforms are bought about in the

Education System. Changes need to be made in both the mainstream level and for

Vocation Education. The Task team recommends that Vocational Education must be

introduced at Secondary School.

Great importance has been given to development of elementary education in the

country. The enrolment rates have improvised significantly in the past few years. Yet

reports suggest that children do not have the prescribed reading and comprehending

abilities. Therefore, changes must be made to improve the quality of education

imparted at schools. The onus of ensuring quality education is on the teachers.

Therefore, one must look at what can be done to train the teacher. It is an accepted

fact that all educated person can be good teachers. Teaching is an art that needs to

be cultivated and groomed so that children can make the most of their learning.

Some of the changes that can be brought about are:

• Stage specific 4-year teacher training programs

• Ending the isolation of teacher education institutes

• Management of Teacher Education

• In-service teacher development

The demand for higher education is vastly different from that of school education. The

level of learning that is imparted to students at higher educational institutions are

supposed to equip them for job market. The purpose is not being served by the present

system. Some of the changes that can be brought about at higher education level

are:

• Common criteria must exist for faculty recruitment across the state

• Mandatory pre-service training for teachers seeking position/appointment in

higher education institutions

• Providing teaching experience during post-graduate education

KJA RECOMMENDATION



• Teacher Performance Indices should be made comprehensive to capture the

real scenario

5.8 INITIATION

5.8.1 PHASE 1 INITIATION (THE NEXT TWO YEARS – TILL 2019)

i. The newly formed Skills Development Department should have a CEO from the

industry, who understands the Skills Landscape and is capable of running the

department as an independent entity. The CEO should report to the Secretary

– Skills. A committee comprising of the Secretaries of all related departments

such as School Education, Higher Education, Labour and Employment,

Industries etc., should be formed to ensure effective integration and

implementation of skill development plan.

ii. Public and Private Sector Participation: Industry and Government needs to

work jointly to make this plan a success. Public Infrastructure should be utilized

to maximize the reach, awareness and benefits to the youth and private

industries should be used to implement skill mapping, training, assessment and

employment linkage. Optimal capacity utilization of the Public Infrastructure &

Resources and Private Training Capabilities need to be developed.

iii. Employment Exchange Revamp: This is the lowest hanging fruit and can be

implemented almost immediately. The impact of each employment exchange

generating 200 – 300 jobs per month would be massive for the State and will

start showcasing Karnataka as the Skill and Labour capital of India.

iv. Develop a focus group for driving Apprenticeships ‘demand and supply’ within

the State

v. Identify few growth sectors basis the recommendations in the report and

develop skill plan for the next five years.

vi. Create a largescale Teachers’ Training and Certification campaign for

Vocational Skills in the State.

By implementing the above few recommendations indicated in Phase 1, we believe

the impact would be close to 30 Lakh job seekers getting skilled and employed.

Few other recommendations that the KJA Skills Committee would like to make

for the Skills Department are:

a. Setup a Skills Bureau: The key objective of this bureau should be to collect,

consolidate and analyse the current industry requirement of skilled manpower.

This need to be a continuous process and active involvement of all

stakeholders is important.

b. KJA recommends that the department employs a team of experts to

understand the demographics, school and higher education enrolments,

dropouts’ etc. along with the number and profile of job seekers entering the

labour market vis-à-vis the industry requirement.

KJA RECOMMENDATION



c. It is recommended that the State Government allocates a specific annual

budget for the purpose of vocational skilling. On an average, 6% of the state

annual budget is allocated for Education. We recommend that a minimum of

1.5% of the 6% budget be allocated for vocational skilling. It is also

recommended that skill development budgets across all ministries such as

Industry, Minority, Women & Child, Rural Development, Urban Development etc

be under the umbrella of the proposed Skills Department.

d. The department should deploy Subject Matter Experts to ensure effective

execution and monitoring of each of the programs conducted by them.

Speed, Scale and Effectiveness are key to make these programs successful.

--------------------------------X--------------------------------

KJA RECOMMENDATION



ANNEXURE - 1: VOCATIONAL SKILLS UNIVERSITY

EXECUTIVE SUMMARY

An unprecedented situation calls for unprecedented solution. Six decades of Indian

higher system has limited its focus on the formal sector that constitutes 8% of the labour

force. The rest of 92% in informal sector is outside the ambit of the universities. The

informal sector lives in graded levels of economic disadvantage – all in spite of

increase in GDP. Serious economic, regional, social, and gender disparities in

education, health and income levels are indicators of low human development. Mass

liberal education with increased enrolment in professional education has not

addressed the problems of unemployment and employability of the graduates. The

university system has a requirement to realign its policies, processes and educational

services to facilitate holistic societal development and harmony.

State renowned for entrepreneurial spirit, accounts for significant portion of the

industrial investment and production at national level. The state recognizes the

criticality of skill training and continuous skill upgradation amidst globalized

competition and, encourages educational institutions to take up quantitative and

qualitative measures for capacity building.

This University can be established in a PPP model and should offer skill based

academic programs to post-higher secondary students. It could enhance

employability of the graduates and provide human resource to the manufacturing

and service sectors. The Skills University (SU) programmes will provide vertical link to the

pass-outs of Vocational Higher Secondary Schools, which can synergize enrolment in

these institutions. Measures will be taken to offer higher education avenues to ITI and

Polytechnic pass-outs as per state Government Resolution through General

Administration Department. The SU can also offer consultancy, skill upgrade and

continuing education services to the Micro, Small and Medium enterprises. With the

support of the state Government, the SU will participate in skill inculcation of the

informal labour and community enrichment education. The proposal discusses the

details of organizational structure of the University, its location, academic offerings,

establishment of Community Colleges, curricular design methodology and research

areas. The SU will employ blended mode of instruction using faculty expertise, hands-

on training, cloud computing capability, VSAT infrastructure and industry interaction.

While offering its multipronged services, which are unprecedented in the Indian

university system, The SU will follow State Government Private Universities Act in its

policies, programmes, processes, decisions and activities.

KJA RECOMMENDATION



INTRODUCTION

Socioeconomic changes call for transformation in an educational system. The focus

of the educational system, still, depends on the role played by the Government. This

is particularly true for dozens of countries, which got liberated from the colonial rule.

In pre-independent India, the colonial rule wanted to make a change in the then

existing educational system to create “a class of persons, Indian in blood and colour,

but English in taste, in opinion, moral and conduct”. In 1857, three Universities were

established in Madras, Bombay and Calcutta to supply supportive work force to serve

the cause of colonial rule. After independence, the Government of India set about

the task of reorienting its educational system to suit the needs and aspirations of a self-

reliant nation committed to democracy. The concerns of the political leadership

towards addressing developmental issues through educational institutions are

reflected in the important national documents like reports of the commissions and

committees and statements of National Policies – starting from the Report of the

Radhakrishnan Commission on University Education (1948-49) and Report of the

Education Commission (1964-66). These Reports played a significant part in deciding

the educational policy that the governments followed. The recommendations

reflected the contemporary socioeconomic aspirations of the Indian society. Two of

the latest documents, the National Knowledge Commission Reports (2006-09) and

National Skill Development Initiatives (2009) reveal the objectives of the nation to put

in place an educational system that can help Indian population to progress towards

economic development and social harmony amidst a competitive scenario of

globalization, economic disparities and unemployment.

The terms higher education and development have a cause-effect relationship.

“Education” in its broadest sense, refers to any act or experience that has a formative

effect on the mind, character or physical ability of an individual. Higher education

refers to education in post higher secondary institutions, college and universities. It is

higher education because it constitutes the topmost stages of formal education and

more importantly, because it is concerned with processes in the more advanced

phases of human learning. The clients are about eighteen years of age; they are

mentally mature and capable of performing at the abstract level. They can analyse,

synthesise and grasp concepts and ideas of all kinds. Consequently, the content,

methods of interaction and organization of work have to be very different from what

they are at the school. Four aspects of higher education are of relatively recent origin:

(i) specialization (ii) formal and institutionalized system (iii) research and (iv) community

related extension work. All these constituencies are used for the higher development

of the individual. The meaning attached to the term, ‘development’ has been varying

with times – whether it means spiritual, civic (developing an individual as a responsible

KJA RECOMMENDATION



citizen), economic (improving in monetary terms) or social (providing for equality and

social justice). Development is taken to mean growth plus change; apart from

quantitative variation, there needs to be a qualitative change as well. In Indian

context, it means increasing the number of graduates on the one hand and bringing

about a favourable change in relation to equity and social justice. Higher education

has to play a vital role in working towards economic growth, self- reliance in the

scientific and technological expertise and mobilization of human resources in a

country.

The term, ‘skill’ refers to an acquired and practised ability or to a qualification needed

to perform a job or a certain task competently. It is a multidimensional concept, as

most jobs require a combination of skills for adequate performance - a combination

of physical abilities, cognitive abilities and interpersonal skills. The curriculum is

therefore to be formulated keeping in view the necessity of both domain skills and life

skills. In the context of economic development, the processes of formal acquisition of

skills and training are important. The formal skill acquisition and training arise from

general educational systems or from Technical and Vocational Education and

Training (TVET) systems. These processes encompass learning meant for developing

skills for entering, re-entering and progressing in particular occupations. It is also

essential to have continuous skill enhancement to adjust to changing technology or

to market requirement or for increased productivity.

While illiteracy debilitates significant section of the population from gainful

employment, the issue of educated unemployed is also serious. The Report of the

Federation of Indian Chambers of Commerce and Industry presented in the Higher

Education Summit 2007 discusses the industry perception of low employability rates of

Indian graduates drawn from various disciplines. The tragedy is that large number of

educated unemployed and dearth of skilled work force co-exist. The reasons

suggested for unemployable nature of the graduates are lack of domain specific

competence, work related skills and non-relevance of the curriculum. The proposal

for establishing a vocational University needs to be seen in this context, since a

nontraditional approach is required for supporting the issue of large-scale skill

development in domains not covered under traditional Universities.

EVOLUTION OF DIFFERENT TYPES OF UNIVERSITIES IN INDIA

The evolution of the University education in State is to be seen as a subset of Indian

higher education system. At the time of independence, India had 20 Universities and

500 Colleges. As per UGC website visited on Feb 5, 2011, there are 504 universities, 33

institutions of national importance in addition and 25,951 Colleges. The University

KJA RECOMMENDATION



system in post-independent India was evolved along the lines of (i) domain focus, (ii)

organizational structure, (iii) regulatory applicability, and (iv) mode of instruction.

EVOLUTION AS PER DOMAIN FOCUS

The domain focus based evolution signifies the shift from multi domain universities to

specified domain institutions.

Multi domain based Universities: The Universities of Bombay, Calcutta and Madras

started functioning in 1857 with multiple domains and a host of affiliated colleges that

would facilitate wider access. Many of the Indian Universities fall under this category.

Specified domain based Universities: From the latter half of 20th century, the

Universities were created for addressing specific segments of societal needs.

a. For fortifying higher education, research and training in Engineering,

Technology and allied Science sectors, the specialized University- level

institution was created for the first time as Indian Institute of Technology (IIT) in

Kharagpur in 1951. This was followed by IITs in Madras, Bombay, Kanpur and

Delhi, Roorkee and a few more recently.

b. For the focused development in Agriculture and related areas, like Forestry,

Fisheries, etc. the first University was started as UP Agricultural University (now

known as GobindVallabh Pant University of Agriculture and Technology) in

1960.

c. For developing Management Education, Indian Institutes of Management

(IIMs) were started; IIM, Calcutta and IIM, Ahmedabad were created one after

another in 1961.

d. The Jawaharlal Nehru Technological University in Hyderabad was the first

Technological University established in India in 1972.

e. In the medical field, the Andhra Pradesh University of Health Sciences (later

named as Dr. NTR University of Health Sciences) was formed in 1986.

EVOLUTION AS PER ORGANIZATIONAL STRUCTURE

Apart from the Universities classified based on the focus on one or more disciplines,

structural variations also exist such as given below:

i. Affiliating Universities: An affiliating university has a number of colleges affiliated

to it, besides its own postgraduate teaching and research departments. These

colleges are under the academic control of the university, but not under its

administrative and financial control. The universities of Mumbai, Uktal, Nagpur,

Andhra, Madras, Mysore, Calcutta, and many others fall under this category.

The affiliated model places less of demand on the parent university in relation

to provision of infrastructural and financial aspects for the affiliated colleges.

ii. Non-affiliating Universities: A unitary university is one wherein teaching work and

research is organized on the campus and the bulk of the students reside in

hostels or within the prescribed jurisdiction of the university. The Aligarh, Muslim

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university, Banaras, Hindu University, Varanasi M.S. University, Baroda and

Jawaharlal Nehru University, Delhi are examples of unitary universities in India.

Some of the Universities do not have affiliated college system, but have

Constituent Colleges, over which, the University has academic, administrative

and financial control. The Delhi University comes under this category.

EVOLUTION AS PER REGULATORY APPLICABILITY

Based on the type of regulatory applicability in relation to UGC Act -1956, the following

categories of Universities and University-level institutions are seen in India; unless

otherwise specified, the data given below pertains to June 2011:

i. Government-run Universities covered under Sections 2f and 12B of UGC Act:

Conventional, Open and Professional Universities established through Central

and State Acts; these are public funded as per Section 12B of UGC Act. There

are 42 Central Universities and 259 State universities.

ii. Private Universities established under Section 2f of UGC Act: These are

established through State Acts by Public-Private Partnerships through private

trusts or as a registered society or as a company under specified sections of

law; these are not eligible to receive public grants under Section 12B of UGC

Act. There are 73 Private Universities.

iii. Premier Institutions established under Central or State Acts [like the Institutes of

Technology Act, 1961 for establishing Indian Institutes of Technology]: In this

category, there are 33 institutions established under Central Acts and five under

State Acts.

iv. Deemed to be Universities: These are institutions of high repute and long

standing (or even de novo i.e., those in new knowledge areas) notified by the

Central Government as Deemed to be Universities (shortly called Deemed

Universities) on the recommendation of UGC. These institutions fall under

Section 3 of UGC Act. There are 130 Deemed Universities. A few are under the

Central Government and others are Private Deemed to be Universities.

EVOLUTION AS PER MODE OF INSTRUCTION

Depending on teaching learning processes followed, variations occur.

i. Many of the State, Central and Private Universities offer their programmes

through both face-to-face and distance modes and these are called dual

mode institutions.

ii. Another class, the Open Universities started their operations as distance

learning institutions – the examples are Indira Gandhi National Open University

(IGNOU), New Delhi and Dr. Babasaheb Ambedkar Open University,

Ahmedabad. Many of the states run Open Universities. IGNOU is now taking up

face to face teaching also.

The Open Universities and dual mode system were introduced to enhance access and

to provide flexibility in university programmes. Of late, many adult education

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programmes also are offered through distance mode. IGNOU has brought a number

of Community Colleges under its purview, although all of them offer education

through face-to-face teaching.

CLASSIFICATION OF UNIVERSITIES

CLASSIFICATION OF UNIVERSITIES BASED ON TYPE OF OWNERSHIP

Type of Ownership Total

Central Government 9

Private 10

State Government 20

Grand Total 39

Figure A-1 Classification of Universities Based on Type of Ownership

CLASSIFICATION OF UNIVERSITIES BASED ON DOMAINS OFFERED

Type of Domain Total

Multi Domain based 17

Specific Domain

based 22

Grand Total 39

Figure A-2 Classification of Universities Based on Domains Offered

CONTEMPORARY SKILL DEVELOPMENT ISSUES IN INDIA

India has made remarkable progress in terms of IT, space technology, establishment

of world-class institutions like IITs and IIMs, etc. Still India has issues in relation to

demographic pressures and financial constraints in providing equitable standard of

life to all its population. Much of the population is still rooted in traditional occupations.

Keeping in view the major socio-economic situations, we discuss some of the aspects

KJA RECOMMENDATION



of Indian economy in detail. Around 93% of the Indian workforce is in informal sector

without employment and social security, experiencing significant economic

deprivation. India has the lowest proportion of trained youth in the world. The

quantitative dimension of India's skill development challenge is that 80 percent of new

entrants to the workforce have no opportunity for skill training. Against 12.8 million per

annum new entrants to the workforce, the existing training capacity is only 3.1 million

per annum, causing annual increase in unorganized labour and low income groups.

Among persons of age 15–29 years, only about 2% are reported to have received

vocational training (VT) using formal routes and another 8% through non-formal means

indicating that very few young person’s actually enter the world of work with any kind

of vocational training. This proportion of trained youth is one of the lowest in the world.

The corresponding figures for industrialized countries are much higher, varying

between 60% and 96% of the youth in the age group of 20–24 years. The Indian

economic development depends on mass scale skill inculcation, as the countries with

higher and better levels of skills adjust more effectively to the global challenges and

opportunities. The solution calls for effective measures for education and inculcation

of skills at all levels, so that employment with moderate-income can be secured. The

Prime Minister's National Council on Skill Development has endorsed a Vision to create

500 million skilled people by 2022, whereas, at present, only about 2 percent of the

workforce has skill training. Two of the recommendations that evolved during various

periods are mentioned below:

i. The Committee on Universalization of Secondary Education under the Central

Advisory Board for Education (CABE) made the following recommendation in

2005: ‘Ensuring that vocational education is not a dead-end and allowing well

performing students in the vocational education track to proceed onto higher

education will ensure that the vocational stream is not seen as an option of last

resort by prospective students.’

ii. By 1986, the National Policy on Education introduced targeted of 10% of higher

secondary students on vocational courses by 1990 and 25% by 1995.

In India, the skill acquisition takes place through two basic structural streams—a small

formal one and a large informal one.

• The skill development through formal structure includes:

i. Higher Technical Education imparted through Professional Colleges (primarily

in the areas of agriculture, education, engineering and technology, and

medicine) – we shall not consider this category, as we focus on creating

midlevel workforce

ii. VHSS system (i.e. grades 11 and 12)

iii. Technical training in specialized institutions, such as Industrial Training Institutes

(ITIs) and Polytechnics and

iv. Apprenticeship Training in factories

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• The informal structure of skill development includes the transfer of skills from one

generation to another in traditional crafts or acquiring skills on the job. NGOs,

KrishiVigyanKendras (KVKs) and other institutions are also taking initiatives in

imparting skills at various levels.

Formal Vocational Education at the Higher Secondary level: The Ministry of HRD,

Government of India, funds the Vocational Educational system. There are 9,583

schools offering 150 vocational courses of two-year duration in broad areas of primary,

secondary, and tertiary sectors of the economy. In addition, National Institute of Open

Schooling also imparts VE in 80 courses. Total enrolment in Vocational Education

courses of all these schools is roughly 6,00,000. The formal School system alone is to

offer Vocational Education for nearly 9.8 lakhs.

Deficiencies in the Vocational education: The Vocational Education in India suffers

from a number of constraints and structural deficiencies. Merely 8 percent of all Senior

Secondary Schools in India impart VE. Only 3 percent of the students are under the

ambit of VE against the target of 25% of all Grade 11-12 students. Absence of linkage

with changing market needs and dominance of supply-side factors are significant.

The institutions suffer from poor infrastructure, absence of qualified staff and

obsolescence. The stream is under low-esteem being a low priority of choice among

parents and students. There is lack of lack vertical mobility. Seeing the public reaction

and the clientele category, the private sector participation is not much in

strengthening VE.

Vocational Training in the Unorganized Sector: India's unorganized sector accounts for

a 395 million workforce constituting 86 percent of the total workforce. The sector cuts

across all economic activities, includes rural and urban areas, and contributes to

about 60 percent of the country's GDP. This workforce is characterized by low skills,

poor productivity and poor income. Merely 2.5 percent and 12.5 percent of the

workforce were exposed to formal and informal vocational training respectively. One-

third of them are illiterates and fall below the poverty line. Another one-third of them

have studied up to primary & middle school level. Hardly 2 percent of the workforce

has attained technical skills. There is a severe deprivation of skills based on gender and

rural/urban divide. Further, the skill profile of India's labour force in the young-age

bracket (15-29 years) is very disappointing.

Challenges of skill development in the unorganized sector: Facilities for training in the

informal and the traditional sectors are grossly inadequate. Only about 9 per cent of

the workforce is technically trained, most of them only up to the ITI level. The

opportunity cost of training for the workers in this sector is high. Poor literacy and

numeracy along with high training costs often prevent informal sector workers from

participating successfully in training programmes.

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Vocational Training in the Organized Sector: Vocational training broadly refers to

certificate level crafts training and is open to students who leave school after

completing anywhere from grades 8-12. Roughly, 150 trades catering to agriculture,

manufacturing and service sectors are being conducted under two principal

schemes, viz., Craftsmen Training Scheme (CTS) and Apprenticeship Training Scheme

(ATS). Under the CTS, there are 2,129 Industrial Training Institutes (ITIs), and 5,855

Industrial Training Centres (ITCs) with a total capacity of more than one million in take.

The Government and private people, respectively manage the ITIs and ITCs. The

duration of the course varies from one to three years depending on the type of trade.

The ATS provides training to more than 2,00,000 trainees every year at the worksite in

the enterprises. The duration of training varies from six months to four years, depending

upon the types of trade. Many private and NGO-administered institutions provide

vocational training in select skills/trades.

Challenges for Vocational Training for workers in the organized sector: There is

mismatch between training and employment. Several empirical studies have

expressed serious concern about the labour market relevance of the trades in the

context of technological and industrial advancements. The curricula and

infrastructure are obsolete. There is imbalance of demand and supply. The absence

of Industry-Institute interaction/collaboration is striking. There are regional imbalances

in public and private provisioning and location of ITIs and ITCs. The management of

the system is fragmented and shared between the central and state authorities – the

National and State Authorities for vocational training. While different authorities have

clearly specified functions on paper, there is little coordination between them leading

to diverse accountability. There is often a duplication of effort with different agencies

performing the same functions. Furthermore, a preoccupation with providing and

financing training has resulted in the government neglecting a key role – providing

information about the availability and effectiveness of training programs. Institutions

do not have incentives to improve their performance. Institution managers have little

freedom to fill places, replace training courses with new ones, and ensure that

students receive quality training.

A. Challenges at the institution level in conducting formal VET programmes are

summarized below:

Precisely the following issues are to be addressed for effective skill inculcation through

VET:

i. How to make the vocational education and training more popular and

prestigious and attract students, irrespective of socioeconomic background or

academic calibre?

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ii. What should be done to remove regional, rural-urban and gender divide in

VET?

iii. What mechanisms should be worked out for vertical and horizontal mobility of

VE graduates?

iv. How to integrate VET with mainstream general education?

v. How to ensure employability and placements of pass-outs? The employers look

for basic academic skills along with vocational skills. How to incorporate

communication skills, problem-solving skills and teamwork skills?

vi. How to achieve Industry-Institute interaction?

vii. How to do regular surveys on skill mapping, market-survey and demand-supply

analysis?

viii. What steps are needed to bring the targeted 25 percent senior secondary

students into the VE stream?

ix. The management of the system is shared between central and state

authorities. How to ensure that the curricula and infrastructure are kept relevant

to skill inculcation as per market demand?

x. How should labour market information systems (LMIS) be used to ensure that

continuously changing market demand for skills are captured in LMIS? How to

collaborate with industry for developing efficient LMIS?

xi. What adaptations are needed if successful international models of VET are to

fit into the Indian system of education?

B. Challenges in the conduct of Vocational Training in the informal sector are

stated below:

a. What are the strategies/programmes for skilling the unorganized workforce

keeping in view the following: sheer size, heterogeneity in language, broad age

range, wide geographical coverage, poor educational & income status,

gender & social disparity?

b. What is the strategy to train the trainers keeping in view the learner

characteristics and pedagogy?

c. How do governments and employers address the issue of high opportunity cost

to the trainee – subsidizing full or part of the wages during the tenure of training?

What about the effectiveness of such financial support? It is a contrasting

situation that many of the students of formal system are not employed; the issue

of opportunity cost does not arise for them. The scholarship and other welfare

measures are well established in the formal system.

d. How to ensure that the trainers with local language proficiency are available?

How to bridge the gap in the social characteristics between the trainer and the

trainees to facilitate communication.

e. In informal apprenticeships, systematic theoretical knowledge is not built in the

process. Skills acquired are generally inadequate and, inappropriate practices

may have been picked up. The main limitation is that in such arrangements,

skills can be developed only for occupations which are well entrenched. How

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do we address the Skill requirement for emerging opportunities through informal

apprenticeship arrangements?

f. How to certify the range of competencies in informal skill development

arrangements? What are the international practices?

g. What model should be followed in training the unorganized labour? What is the

funding mechanism? Considering the socio-economic condition of the

beneficiaries while deciding the cost-sharing formula, should the model be

based on cross-subsidization?

h. How could the formal sector education and training institutions cater to

unorganized sector training? What role has the organized sector played in

building capacity for unorganized sector workers in other countries?

i. The service sector is the fastest growing area of employment with considerable

potential share for the unorganized sector. Would a special thrust on service

sector occupations, particularly those that are likely to be in the unorganized

sector, not help?

The VET/VT initiatives mentioned above pertain to the career entry in the organized or

unorganized labour force. For ensuring inclusive development, need exists for taking

up a few more challenges by offering support for MSMEs and community welfare; the

first requires opportunities for making available consultancy and training facilities and,

the second calls for offer of community enrichment programmes on matters relating

to citizenship, human rights, environment, public health issues, local governance, etc.

In other words, we need to have ‘Comprehensive Skill Education (CSE)’ that addresses

all the four segments – VET (for organized sector), VT (for the unorganized sector),

training and consultancy support to MSMEs and Community Education. The two

segments, VT for the unorganized sector and Community Education can be taken to

refer to Extension Education. In the next section, we shall discuss the desirable

characteristics of a tertiary institution that could offer CSE.

COMPREHENSIVE SKILL EDUCATION: NEED FOR NEW VARIETY OF TERTIARY EDUCATIONAL INSTITUTIONS

A question could naturally arise: Is it possible to confer additional responsibilities to

Polytechnics and the existing Colleges for providing CSE? For answering this question,

we need to state the functions and characteristics of a desirable educational system

that could be a source of CSE. It is a worthy exercise to define a few desirable

attributes, which the proposed tertiary institution should possess for offering CSE. The

desirable attributes of the proposed tertiary institution are listed below

i. Institutional governance: The institutional success depends on appropriate

institutional governance and status of recognition. The ownership of the status of

recognition for its academic programmes enables the institution to use its multi-

function capability effectively. The statutory configuration should facilitate

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institutional autonomy. The self-governance is vital for many of the functions listed

below: adding a new programme or course, modifying the existing course as per

market requirement, addressing a different type of clientele (through continuing

education and community education), providing programme delivery with

multiple options, choosing a different examination pattern, going for collaborative

partnership (with other institutions locally, at national level or internationally or with

industry or NGOs) and providing consultation to MSMEs. Dependence on external

agencies for incorporating these features will affect flexibility of approach and

accordingly, decrease its multi-function capability.

ii. Learner-friendly academic approach: The institution should provide for flexibility in

terms of age and occupational status for admission, Programme completion time,

modularity with multiple exit options (required to help students balance their family

situations, academic pursuits, official responsibilities and economic needs),

instruction time (day time/evening offer or week end classes with extended tenure)

and mode of delivery (face to face instruction /blended mode / distance

mode/online mode). The institution needs to possess multi-function capability for

making available various levels of programmes [as Certificate, Diploma, etc.] and

various types of programmes (career oriented programmes, pre-employment

training programmes, personal development programmes, community training

programmes, etc.).

iii. Appropriate philosophical orientation: Accessibility and affordability of the

programmes, and contribution to social harmony are some of the aspects to be

considered in relation to institutional philosophy. Credit Programmes for VET

segment and, Non-credit Programmes on social issues and personal development

can be made available; the latter will serve as a feeder for social harmony. The

students could be sensitized to social aspects by integrating life skill courses into

the curriculum. The institution could ensure accessibility, so that it could reach the

unreached. The institution could use relevant teaching mode. To accommodate

affordability, feasible student support system needs to be put in place for the

benefit of the socially and economically underprivileged through relevant

financial schemes of the Government. For socially oriented programmes, schemes

available under public-private partnership (PPP) could be used. Offer of training

under modular employable skills scheme is an example for skill inculcation of the

unorganized labour under PPP mode.

iv. Focus on economic development: Enhancing the skills of the workforce and

adding to the productivity of the industry contribute to economic development

and facilitate sustainable growth in the face of global competition. At the student

level, the curriculum should include employability aspects. The Institution could also

offer placement support to its clientele.

v. Community reorganization: The provision of labour market oriented programmes

and community development oriented programmes facilitating lifelong learning

will make a positive change in the local community. The institutional leadership

should be aware of the socio-economic background, cultural aspects and

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aspirations of the local community. The extent to which the institution uses

education as a liberating force, its credibility and public acclaim also will go up.

vi. Thematic integrity: The institutional objectives should emphasize involvement in the

creation of productive workforce, preparedness for facing global competition and

contribution to social harmony. The action plan, implementation, evaluation and

corrective measures should be in conformity with the objectives of the institution.

Sustainability of the vigour and passion towards the focal theme along the line of

succession to leadership decides the continuance of the prestige and prominence

of the institution.

vii. Market-responsive leadership: Constant attention needs to be given to the labour

market situations (at the local, regional, national and international levels), the

emerging technology and globalization challenges. Industry needs to be involved

in curriculum design, implementation and evaluation. The institution needs to

assess local market needs and offer market relevant curriculum.

viii. Staff selection, orientation and healthy human resource policy: Recruitment and

retention of a compatible faculty, administrators and supporting staff are the key

issues. The staff development is an essential aspect. Faculty orientation towards

cultural diversity and community development should be ensured. As part of the

promotion policy, the contribution in terms of academic/administrative roles and

achievements, development of the formal and unorganized sectors and,

community development initiatives need to be given weight. The focus of the

promotion policy plays a critical role in workforce orientation.

ix. Working Pattern: The institution needs to have a blend of academic orientation,

labour force empowerment and community development, which will require the

institution to have long working hours round the year. The institutional infrastructure

needs to be optimally utilized through offer of short term, long term and non-credit

courses. The work culture of the staff should be accordingly molded allowing

flexibility for personal development of the staff. At present, the tertiary level

educational institutions carry out teaching work for around 180 days plus time for

student admission cum examination (for the second part, part of the staff alone

work); this system does not allow time for inculcating employability skills, effective

participation in community work, training the unorganized labour, etc. The

institutional workload of the desirable institution should evidently be more than

how the tertiary level institutions work at present.

x. Ensuring resources: In the process of contributing to the economic development

of the community, the institution could also explore genuine methods for

enhancing its financial status through sale of services, education materials and

goods produced, if any, during course work. Faculty should be encouraged to

secure funds from various agencies and industry through appropriate projects, so

that multiple functions could be performed.

xi. Information and Data Collection: Information and data on local, regional and

national level should be collected on socio-economic aspects, job profiles,

employment opportunities, key employers and other support systems. Systemic

research and development should be part of the system, for which data collection

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is vital. Building a Labour Market Information system and following its implications

are quite useful.

xii. Relationship Building and Partnerships: Institutional leaders should be capable of

building relationships with the stakeholders at the top level and be able to organize

resources for starting new programmes. Efforts need to be taken for partnership

with industry, industry associations, other academic institutions (for resource

sharing), government departments and NGOs, since support system will be

strengthened. After studying the future trends, partnership needs to be made with

emerging industries.

These attributes are essential, keeping in view the institutional responsibilities in skill

inculcation for formal and informal sectors and for community education. We now

come back to the question that we posed at the beginning of this section whether

the Polytechnics and the existing Colleges can be deployed for providing CSE. The

attributes (i) – (xii) can be contrasted with the characteristics of Polytechnics, Affiliated

Colleges and Autonomous Affiliated Colleges to choose the compatible variety. We

are not considering the Professional Colleges (Engineering Colleges, Medical

Colleges, Agricultural Colleges, etc.) in this context, although these institutions have

significant role in socioeconomic development. These institutions are intended for

creating work force of higher competence to hold senior official positions in the

respective domains. We shall give an outline of the configuration of Polytechnics,

Affiliated Colleges and Autonomous Colleges.

Polytechnics: Polytechnics offer three-year Diploma programmes in the field of

Engineering & Technology, Architecture, Art& Pharmacy etc. for producing technical

work force. The students are expected to find employment in all the functional areas.

However, the most important job functions include production, quality control,

installation, maintenance, servicing, marketing etc. The All India Council for Technical

Education (AICTE), a statutory authority under MHRD, has been vested with the power

to grant approval for starting new Polytechnics and introduction of new programmes

in consultation with the State Governments (through Directorate of Technical

Education and State Board of Technical Education).

Affiliated Colleges: The Affiliated Colleges offer undergraduate and postgraduate

programmes, generally in Arts, Science and Commerce. A few of them have

vocational subjects like Hotel Management, Fashion Design and Corporate

Secretaryship. The Affiliated Colleges have to run programmes as per the list approved

by the parent University, which decides curriculum, conducts examinations and

awards degrees.

Autonomous Colleges: Limited academic autonomy is provided to some Colleges of

repute, which can formulate the curriculum and conduct examinations. The flexibility

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exists in choosing new interdisciplinary areas but the University has to approve the

curriculum finally. The University and the Autonomous College award the degree

jointly.

Table A - 1 Contrasting the Desirable Attributes with the Characteristics of Specified Institutions

Contrasting the Desirable Attributes with the Characteristics of Specified Institutions

S. No. Attribute Polytechnics Affiliated Colleges Autonomous

Colleges

1 Institutional

governance

Not possible -

controlled by AICTE

Not possible -

controlled by the

parent university

To a limited extent;

does not have

independent

recognition status.

2 Learner-friendly

academic approach;

flexibility is the key

Difficult; needs to

follow AICTE norms;

Difficult; needs to

follow the parent

University norms;

To a limited extent.

3 Appropriate

philosophical

orientation

Possible Possible Possible

4 Focus on Economic

development

The regular programmescould add to the economic development for

the families of students. Continuing education programmes,

unorganized labour oriented programmes and community based

programmes are of limited offer. Employability skills are not given stress.

5 Community

reorganization

In the absence of significant community-institution interaction and

planned sequence of actions, community based programmesare not

well knit.

6 Thematic integrity The focus is on academic orientation and general proficiency

development rather than on competitive workforce creation.

7 Market-responsive

Leadership

The curricular content does not reflect labour market situations. The

curricular revision does not take place frequently.

8 Staff selection,

orientation and

healthy human

resource policy

Recruitment and promotion policies are based mostly on

qualifications, experience and research; beyond these parameters,

labour market responsiveness and community orientation are not

given much weight.

9 Working Pattern Difficult to have long working hours for the institution to accommodate

all the four segments of CSE; mostly the schedule is academic

calendar based.

10 Ensuring resources Possible but depends on the grant from the Government or from the

institution management for regular institutional activities; significant

initiatives are not taken to obtain financial support/consultancy from

the Government/other agencies for continuing education of formal

labour, training of informal labour or for Community based activities.

11 Information and Data

Collection – Building

and Following Labour

Market Information

System; Research and

Development policy

towards labour market

issues

Data collection and maintaining Labour Market Information System

are difficult for a single institution, unless centrally made available by

AICTE/University/Government annually. Research and development

activities are almost negligible in Polytechnics. In Affiliated and

Autonomous Colleges, the Research is mostly on Discipline areas.

Sustained research on labour policy followed by the curricular

adjustment is not common.

12 Relationship Building

and Partnerships

Experience shows it is not quite easy for individual institutions to have

significant collaboration with industry. Only a few are effective.

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From Table A-1, we see that the Polytechnics and the Affiliated Colleges have

relatively less capacity to address the skill requirement in the VET sector. Although the

Autonomous Colleges have better position, they possess limited learner-friendly

academic approach, do not have independent recognition status, will find it difficult

to create unique work culture (as it has to be within the policy framework of the parent

university) and, as an individual institution, will find it difficult to maintain Labour Market

Information System. The Community Polytechnic scheme could be effective, if

modifications are carried out as per (i) to (xii) shown above. It is relevant to quote from

the Paper of Vijay Goel on ‘Technical and Vocational Education and Training (TVET)

System in India for Sustainable Development’:

“Over the years, the diploma programmes have deteriorated losing the skill

components, which has resulted in their being just a diluted version of degree

education. The organizations employing them have to train them all over again in

basic skills. Major problems being faced by the polytechnic education system are:

1. Non - availability of courses in new and emerging areas.

2. Inadequate infrastructure facilities and obsolete equipment.

3. System unable to attract quality teachers

4. Inadequate financial resources

5. Inadequate or non-existence of state policies for training and retraining of

faculty and staff

6. Lack of flexibility and autonomy to the institutions

7. Inadequate industry institute participation

8. Lack of Research and Development in technician education

9. Antiquated Curricula

The XI Plan Document also expresses similar views on Polytechnic Education:

“Even the existing polytechnics seem to struggle for survival. Over the years, the

diploma courses have lost the skill components and are perceived as diluted version

of degree education. The Eleventh Plan will have to address several issues including

static curricula, poor industry interface, lack of flexibility to respond to needs,

obsolescence of equipment, lack of trainers, and inadequate funding.”

This discussion does not underestimate the contributions of Affiliated Colleges,

Autonomous Colleges and the Polytechnics with regard to their role in their respective

domains; the issue is their suitability for CSE. Before we arrive at a system that we

consider appropriate for providing CSE, we shall examine some of the conflicting

situations that Indian higher education faces presently.

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HIGHER EDUCATIONAL SYSTEM IN AN UNPRECEDENTED SITUATION

We start with Indian higher educational system and then focus on that of State.

Relevant data are available on the national level; India’s higher education system has

favorable circumstances to bring about socioeconomic development, which did not

exist so well a few years earlier:

i. India is experiencing fair increase of GDP growth rate, while many of the

developed countries face economic downturn. The political, economic and

educational factors are favorable for continued growth. Initiatives taken by the

University for skill-inculcation will fuel further growth.

ii. India’s demographic profile is going to be favorable for another 25 years, with

the aging population being present in other countries. It is pertinent to avail of

the opportunity.

iii. As per XI Plan allocation, the resource availability is in a much better position.

In the Eleventh Plan, the Central Government has allocated Rs 2.70 lakh crore

for Education, which is a four-fold increase over the Tenth Plan allocation. Out

of Eleventh Plan outlay, 30% is for higher education (including technical

education)

iv. During the Eleventh Plan, NSDM has allocated an outlay of Rs 22800 crores for

skill development.

The question arises whether Indian higher education in a position to exploit these

opportunities. Presently, the Indian higher education system is in the midst of a series

of conflicts. The conflicts arise due to the ideological differences that exist in relation

to direction and areas of operation that the higher education needs to have. Should

the resources be directed towards increasing access to higher education or for

improving the quality of existing institutions and creating excellent institutions in

specified areas? Should higher education concentrate only on the domains presently

served or should it introspect and add non-traditional domains as well? Should the

institutions serve only 18-23 age groups possessing eligibility for entry into university

programmes or should it have a larger canvass and expand its operations for all

persons irrespective of age group, occupational status or academic attainments?

There is a debate whether a University should be a place for knowledge gain out of

research, its critical evaluation and dissemination or should it strive for facilitating

utilisation of the gained knowledge for economic benefit as well.

An educational institution needs to decide its course of actions in terms of its

educational purpose. The educational purpose is to be defined in terms of three

factors: (i) social relevance (that an institution would like to maintain), (ii) the students’

needs (to what extent the institution would like to fulfill) and (iii) international standards

and practices (the capacity of the institution to maintain parity with international

institutions). The following contrasting situations highlight the unprecedented status of

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the Indian higher education system, which are explicit or implicit. Keeping equitable

socioeconomic development as its educational purpose, the educational system has

to take proactive steps to address the conflicting situations - such as those mentioned

below.

i. Increased GDP growth rate vs. population increase of ‘poor and vulnerable’

groups:

We mentioned that the period of globalisation between 1992-93 and 2004-05

registered an income growth of 125% and, per capita income increase of 77%. During

2004-07, the annual growth rate was 9%. The Report indicated that the total

population in the ‘poor and vulnerable’ group increased from 732 million in 1993-94 to

836 million in 2004-05, which gives an antithesis for the slogan of development initiated

by globalization. The situation is the consequence of non-inclusive approach. What

should be the role of the higher education system to facilitate GDP growth rate

increase, while bringing down the poverty levels?

ii. The demographic dividend vs. unemployability of the skilled, semiskilled and the

graduates:

Much is talked about the youth population resource that the country has and its

potential to supply skilled work force to the rest of the world. The dilemma is that the

skill mismatch and unemployability are noticed both in VET sector the higher

education sector. An employment survey reported in the FICCI deliberations indicates

that not more than 15% of University Graduates of General Education and 25-30% of

Technical Education are fit for employment. What should the higher education sector

do to address the issue unemployability of graduates?

iii. Significant increase in job prospects vs. depleted enrolment in VET and

Polytechnics

As per XI Plan document on Skill Development and Training there is an estimated 58.6

million new jobs in the domestic economy and about 45 million jobs in the international

economy for the skilled personnel. As against this, VHSS sector and Polytechnics

experience decreased enrolment across the country. What should the higher

education system do to avail of the employment opportunities and increase

enrolment in VET and related sectors?

iv. Focus on teaching & research at the University vs. lack of interest in the extension

activity

For the faculty in the Universities, the recruitment procedure, workload and promotion

rules focus on teaching and research activities. A mention about the extension

activities is generally found in the University Reports but without clear-cut plan of

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action. The National Assessment and Accreditation Council, while assessing the

performance of the Universities based on specified parameters, assigns only 3% weight

to Extension work Possibly, the Nevertheless, plight of unorganized labour and less than

desirable level of social harmony (wherever it arises) are fallouts of this approach; the

Universities concentrate on fostering the interest of the organized workforce, although

it is less than one-tenth of the unorganized labour. Is it possible to strengthen extension

activities (that will address the needs of capacity building of the unorganized labour

and community education) amidst the University agenda?

v. Fostering professional education vs. apathy for vocational education

Professional Education (PE) is a formalized approach to specialized training in a

professional system of study through which participants acquire content knowledge

and learn to apply techniques. Although content is focused, such an education helps

the participant acquire the competencies needed for proper practice and behavior.

Some common goals of professional education include incorporating the knowledge

and values basic to a professional discipline; understanding the central concepts,

principles, and techniques applied in practice; attaining a level of competence

necessary for entry into professional practice; and accepting responsibility for the

continued development of competence. Professional education is a response to

society's demands for expert help provided by competent people. Special

knowledge and skills were previously passed on from one professional to others

through apprenticeships, and came from nonacademic sources. This method

became inadequate for preparing competent professionals. University Departments

were established with the purpose of supplying human resources beneficial to society

and training the next generation of people. Engineering &Technology, Architecture,

Medicine and Law are some of the known professional areas.

Globally, Vocational Education has a broader meaning and covers education and

skill development at all levels from post primary to tertiary levels - both through formal

and non-formal programmes. There was a notion that VE is training of the hands, while

PE provides training for the hands and, education for the mind. As per the National

Policy on Education, 1986, the introduction of systematic, well-planned and rigorously

implemented programmes of VE is crucial to develop a healthy attitude amongst

students towards work and life. Vocationalisation can enhance individual

employability, add to productivity and fulfill the national goals of development. It can

reduce the mis-match between the demand and supply of skilled work force, and

provide an alternative for those without interest in academic streams but intending to

pursue higher education. The VE can help in meeting the needs of skilled and middle

level work force for the growing sectors of economy, both organised and

unorganised. In Indian conditions, VE is limited to School level. Largely, VE is generally

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not encouraged in the University portals. Only recently, Hotel Management and

Apparel & Fashion Design Disciplines have been admitted at the University level. The

apathy shown by the University system towards VE Programmes is evident, as vertically

linked University programmes are not available for many of the VHSS Programmes;

This, in turn, enhances the employment opportunities, demand for skilled labour,

catalyses labour migration and increases urbanization; some of the accompanying

issues are preserving the environment and maintaining community health. Under this

context, the call for CSE is quite intense. The educational purpose, social relevance

and the students’ needs identified by the Universities at the time of their formation was

not the same, as conditions exist today. If the existing Universities were to respond

effectively to the call for CSE overcoming their traditional apathy for VE and Extension

Programmes, the requirements in terms of attributes (i) to (xii) specified in Table A-1

and statutory changes are enormous. We have an unprecedented situation, where

the existing institutions would find it difficult to face the challenge of CSE. The

unprecedented situation calls for unprecedented solution in the form of creation of

new types of institutions. Introduction of innovation and change are easier thorough

a new institution rather than through an existing institution. We can cite two illustrations.

The first is the recent phenomenon of establishment of dedicated open universities in

India for offering courses with learner centered and technology mediated pedagogy,

credit transfer facility, modular curriculum and flexible approach, which are difficult

to achieve in conventional institutions. The second illustration is the establishment of

specific domain based Universities to ensure focused attention, without being

digressed amidst the conflicting demands of a multi-domain university.

VOCATIONAL UNIVERSITY SYSTEM – A NECESSITY OF THE GLOBALIZED WORLD

A need exists for identifying an institutional system that holds CSE as its educational

purpose. An effort has been made to find out the strategies and measures taken

internationally for preparing the workforce for facing the exigencies of the present

knowledge era and for societal empowerment – suiting the kind of situation available

presently in India. The international options were considered in order to make a

suitable adaptation. Starting from early twentieth century, a new category of tertiary

educational institutions came up in quite a few countries for fulfilling the vocational

skill needs and community education requirements, thereby filling the societal void

created by the non- responsive nature of the traditional system to certain social

demands for higher education. These new institutions facilitate the holistic

development of the society. The system took various forms in different countries as per

local regulatory systems. Throughout twentieth century, declaration of independence

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to many countries, switch over to market economy, advances in technology, ICT

revolution, clamor for consumer goods and globalized competition to offer quality

material at low cost – all these compelled the industry across the globe to go for new

types of jobs requiring multiple skills, frequent upgrade and market sensitivity. To face

the challenge and offer Vocational/ Continuing / Community Education

Programmes, around 90 countries established new types of Post-secondary institutions

particularly since 1970s. Two of the forms are Vocational Universities (VUs) and

Community Colleges (CCs).

Vocational Universities: A Vocational University is an institution of higher education,

which provides academic programmes at all levels (Certificate, Diploma, Associate

Degree, Degree and Postgraduate Programmes generally in vocational domains and,

Doctorate Degree in restricted domains) along with non-credit education

programmes for the workforce. The VUs are also known as Universities of Applied

Sciences. The VUs, being Universities, have recognition status to offer academic

degrees. China, Japan, Korea, Finland, Germany, Hong Kong, Netherlands, Sri Lanka,

Sweden, France and Switzerland are some of the countries having VUs.

Community Colleges: A Community College is defined as a unique form of

postsecondary institution that offers vocational, academic and community education

programmes with a range of options for credit based and non-credit programmes,

the maximum award being Associate Degree. The CCs offer short-term Certificate,

Diploma and two year Associate degree programmes. The CCs need to have (i)

recognition status to offer Associate Degree Programmes through individual

accreditation or by link to a University and (ii) arrangement with the University system

to transfer to Degree programmes. The Community College concept started with the

founding of Scandinavian Folk High School, which was offering non-formal adult

education as per local community requirement. As these institutions serve the

community by accommodating their educational needs, which are not otherwise

fulfilled through traditional higher educational system, these institutions are called

Community Colleges. In many instances, the curriculum content and programme

delivery depend on the local community resources, requirement and learner profile.

The Community College models multiplied since 1950. In 2002, the policies of the World

Bank and other nongovernmental organizations have further intensified the adoption

of Community College model characteristics worldwide. USA has been successful in

establishing Community College system. As per 2008 data, there were 1255 CCs in

USA. The following are some of the other countries having CCs: Australia, China,

Canada, Belgium, Singapore, Egypt, Israel, Korea, Japan, Thailand, Singapore,

Malaysia, Russia, UK and India - recently through IGNOU. The effectiveness of CCs will

become evident from the acceptance of the pass-outs for employment and

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community recognition for its role in community welfare. Many of the CCs have started

offering traditional academic programmes to 18-23 year olds, as the Governments

desire to optimise the existing infrastructure for increasing access to higher education.

The Community College movement started in South India in October 1995 with the

beginning of the Pondicherry University Community College. It was taken forward by

the inauguration of the Madras Community College in August 1996. It was

strengthened by the Manonmaniam Sundaranar University, Tamilnadu by giving

approval to five Community Colleges in September 1998. It spread to Andhra Pradesh

with the starting of JMJ Community College in Tenali in July 1999. It also spread to the

states of Gujarat, Maharashtra, Kerala, Karnataka and Uttaranchal during the last

three years. IGNOU launched the Community College Scheme in July, 2009. It has

grown to include 449 Community Colleges in one year as on November 2010. IGNOU,

amidst its statutory structure, has formed three central bodies dedicated to the

governance of Community Colleges operating under its ambit

The Indira Gandhi National Open University and other institutions abroad offers many

Associate Degree Programmes. Tamilnadu Open University has recognised 118

Community Colleges as its vocational programme centres.

VUs and CCs have the following common characteristics:

• Credit and non-credit Programmes linked to the needs of industry and

community

• Focus on teaching theoretical and practical skills (of course the relative portions

depend on the level of the Programme and the clientele group; the University

Programmes, by and large, give more focus on theoretical build-up)

• Help in industry recruitment, host small business incubators, provide

entrepreneurship development training and conduct applied research

• Coursework fused with apprenticeship in an industry

• Options available for paid apprenticeship and international attachment

• Faculty require theoretical knowledge and applied skills; part-time faculty used

for imparting skills in many domains

• Funds arise from fees, consultancy, training programmes and community

projects

• VUs and CCs contribute significantly to Gross Enrolment ratio – USA 44%,

Canada 40%, Israel 58%, Japan 26%, Korea and France 20%

• Effectiveness evaluated through placement of graduates, their career

progression and contribution to improvement of the quality of social life in the

neighbourhood.

• Institutions need enabling features in the form of regulatory, academic,

administrative, philosophical and financial support to exhibit multiple functions

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The VUs and CCs are most successful in countries where (a) market forces create a

need for postsecondary institutions whose skilled technicians are in demand to support

technological, vocational, and industrial development; (b) adult and continuing

education is legitimized as postsecondary education; and (c) postsecondary

education is equated with social and economic mobility.

SKILLS UNIVERSITY- A SUPPORTIVE SYSTEM FOR SKILL DEVELOPMENT EFFORTS OF STATE GOVERNMENT

This section explains the relationship between Skills University and its Community

Colleges and, their functions in response to the challenges of offering CSE in State.

Initially, the VUs and CCs world over offered support to acquire skills and competences

in domains not otherwise offered through traditional higher educational institutions.

Later, the CCs started functioning as the centers of education for traditional and non-

traditional students and for imparting traditional and non-traditional streams. Presently,

the CCs offer many types of post-higher secondary education. As mentioned earlier,

the maximum level of offer is 2 – year Associate Degree (through attachment to a

University, or in some countries, through accreditation). For facilitating completion of

Bachelor’s Degree and offer of Master’s and Doctoral Degree Programmes, CCs can

make use two types of arrangements. (1) The CCs can become Constituent Colleges

of a University system, where the parent University campus will provide facilities for

studies beyond Associate Degree obtained through it. (2) CCs could execute transfer

or articulation agreement with other Universities, which will facilitate studies beyond

Associate Degree. The Government can make use of both types of arrangements to

provide wider option to the students. A cluster of Community Colleges can be

established in future as Constituent Colleges of the proposed SU.

The Skills University would offer Associate Degree and its lower modules, VE for the

unorganized sector, Labour Education and Community Education. The Campus also

will be offering facilities for degree completion, PG and Research Programmes and

consultancy support to MSMEs. The SU will be undertaking projects relating to VT for

the organised and unorganised sectors on public-private partnership mode and in

collaboration with private sector. A diagrammatic representation of functions of SU

aimed at offering CSE is given in Figure A-3.

SKILLS UNIVERSITY - ORGANIZATIONAL ASPECTS

The vision, mission and objectives of the University are given below along with

organizational charts.

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Vision

To contribute to workforce productivity, socioeconomic development and social

harmony through well rounded and industry relevant educational programs with

employment at the heart of academic offerings, technology at the heart of

operations and academic mobility as the focus deploying inclusive, distributed and

low cost delivery methodology.

Mission

To enable all individuals acquire skills and capabilities, prepare them to get

appropriate employment and ensure their competitiveness in national and

international work environment.

Objectives:

The objectives of Skills University are as follows

i. To contribute to socioeconomic development through academic

programmes, research, training and extension work

ii. To focus on vocational education and related academic programmes

iii. To offer academic programmes in which employers are at the heart of

curriculum design, implementation, internship, assessment and job placement

iv. To inculcate domain specific skills, sector relevant job skills, generic and

transferable skills

v. To support placement initiatives through assessment for entry level

competence and follow-up measures for enhancement of employability

vi. To provide increased access and flexible approach

vii. To make available academic programmes from the campus and across state

through Community Colleges established by the University as Constituent

Colleges

viii. To deploy technology for improvement of student support services and learning

experiences

ix. To deliver education via multiple modes - face-to-face teaching, practical,

satellite mediated instruction, e-learning, distance mode, print materials and

on-the-job training as per programme requirement.

x. To offer distance education based academic programmes across State and

India

xi. To offer modular programs - Certificate, Diploma, Associate Degree, Degree,

Post-graduate and doctoral Programmes in various Disciplines as per

requirement

xii. To set up Research Centres and carry out research work for the furtherance of

the objects of the University

xiii. To collaborate with industry, Universities and institutions in India and abroad for

offering academic programmes, training, research and development

xiv. To ensure dignity, relevance and mobility of qualification

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Organizational Structure of the Skills University

The Organizational Charts of SU are given below:

i. Skills University (Figure A-3 – ‘S’ stands for Act Section)

ii. The Units Reporting to the Provost of Skills University (Figure A-5)

iii. The Campus Administration Unit (Figure A-5)

iv. The Campus Academic Unit (Figure A-6 – only a few domains shown) and

v. The Community Colleges (Figure A-7)

Figure A-3 Organizational Chart of Skills University

7 7

Sponsoring Body(SB)

Governing Body of the

University(GB)

Board of Management

President of the University

Academic Council

Provost of the University

RegistrarChief Finance &

Accounts Officer

Constituent Colleges / Other

Centers

Academics

Staff

Non –

Academic StaffAdmin Staff Finance & Accounts Staff

Dire

ct a

ppoi

ntm

ent S

16.1

as

per s

tatu

es

Total=14 members, initially 9

members, 4 from SB, President,

Provost, 2 Deans (through

Provost) and Secretary, HTE,

later 5 to be co-opted by GB

{S20}

First appointment for

1 yr { S 15,1}

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Figure A-4 Organizational Chart of the Units Reporting to Provost

Figure A-5 Organizational Chart of the Campus Administration Unit

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Figure A-6 Organizational Chart of the Campus Academic Unit (only a few domains shown)

Figure A-7 Organizational Chart of Community Colleges

THE SKILLS UNIVERSITY – SOME FEATURES

In order to facilitate CSE, The SU will offer the following types of Programmes through

its Campus and CCs.

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VET FOR THE ORGANISED SECTOR

The Associate Degree and Degree Programmes are proposed to be offered through

SU. Through its Programmes, the University intends to provide vertical mobility to VHSS

stream pass-outs. Efforts will also be made for articulation arrangements with other

Universities for providing another option for completing the Degree Programme. In

future, the University Campus will be offering Postgraduate and Doctoral programmes.

The career progression programmes will be offered for the benefit of workforce. The

career entry and skill training programmes will be made available for the benefit of

graduates from other systems.

VT FOR THE UNORGANIZED SECTOR

Skill Training initiatives for the unorganized sector will be undertaken on PPP mode. This

could enhance income levels of the unorganized sector.

COMMUNITY EDUCATION

The Life Skills Programmes, Community Welfare Programmes, and Training

Programmes for the Community Workers/ NGOs/ Public Service Officials will be

offered.

SUPPORT TO MICRO, SMALL AND MEDIUM ENTERPRISES

Programmes will be conducted for training the employees of industry/organisations.

Consultancy support will be made available for Micro, Small and Medium Enterprises.

The SU will have the following features commensurate with its multiple functions.

i. Institutional Governance:

Complying with the provisions of the State Private Universities Act, the University will be

governed by the statutory bodies -the Governing Body (GB), the Board of

Management (BoM) and the Academic Council (AC). The University will establish

Constituent Colleges, which will be administered and managed by its own faculty and

supporting staff. The University status will facilitate its Community Colleges to offer

academic programmes with employer and peer group credibility. The institutional

autonomy will help in choosing programmes as also in revising the curriculum as per

need. The functional autonomy helps in launching Credit based and non-credit based

Programmes. There will be internal quality control mechanism for academic proposals

and programmes ensured through its governance mechanism.

ii. Learner-Friendly Approach:

The University will provide flexibility in instructional time, programme tenure, entry- level

age, etc. to facilitate enrolment of students drawn from different age groups, family

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background and employment status. The Associate Degree Programmes will be

made available on both part-time and full time study options. The workers in the

nearby industry could take up study on part time basis for their career progression.

Opening up of possibilities for distance education and online mode could further

enhance enrolment of this clientele segment.

iii. Philosophy of Approach:

Consideration will be given for accessibility and affordability. For facilitating

affordability for the students, efforts will be made through financial institutions.

iv. Market Relevant Leadership and Focus on Economic Development:

The University will closely collaborate and partner with private institutions and industries

to gain knowledge of the market demand/skills needed by the industries. This

arrangement will facilitate in skill inculcation among the students of the University

through appropriate Programmes, followed by efforts for job placement. Support will

be given for career progression related studies. The University will take steps to offer

training and consultancy for the Micro, Small and Medium Enterprises for labour

enrichment.

v. Community Support and Thematic Integrity:

The focal theme for the University is capacity building through job oriented

Programmes and community development through non-credit Programmes on local

governance, human rights, environment, public health issues, water conservation, etc.

The University will concentrate on providing utilitarian Programmes across the society,

rather than disseminating liberal education to 18-23 years old only.

vi. Staff Selection and Training:

The selection and promotion procedure would reflect institutional objectives. Due

weight will be given for contribution in areas related to the themes of the University.

The staff will be given orientation towards the functional modes (which includes

coordinating projects obtained from the Government and other agencies), as a need

exists to obtain projects for skill development and community education initiatives.

vii. Working Pattern:

The SU may have to work through-out the year, keeping in view the twin mandates of

skill training and education of the formal and informal sectors. The students of the

formal programmes of the University will have course work for longer sessions than in

the conventional system; employability skills, on-job training, life skills, etc. are

proposed to be imparted along with domain based theory and practical

components. It can be seen from Table A-3 that a student has to work for 2688 hours

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during two-year study, as against 1800 hours of work by a student in conventional

system. The work schedule of the staff will be accordingly designed providing for

professional development.

viii. Providing Resources:

The students’ fees will be main source of income. It will be supplemented by the

government fund and other sources. Since the University is focusing on skill

development, the resource allocation priority will be decided accordingly.

ix. Data Collection & Partnership:

Labour Market Information System will be designed and applied in decision processes.

The SU would set up a Research Unit in private partnership. The Unit would undertake

skill mapping and collection of employment data for the state, national and global

level.

The advantages of Community Colleges as Constituent Colleges of the University are

given below:

i. Some of the domains offered in Community Colleges are less demanding by

way of rigor of theoretical concepts. This helps students who have better levels

of kinesthetic intelligence (sensory experiences), spatial intelligence and

naturalistic intelligence than logical/mathematical intelligence; the last is

required for hard-core Science and Technology studies.

ii. The Community Colleges provide the bridge to move on to higher level

University programmes from the Higher Secondary level. Such of those students,

who need to decide their future studies, are given counseling, guidance and

opportunity to explore their course of options.

a. The cost of education in Community Colleges is less than many of the

Professional Colleges. The Management will seek various financial options

for the students to complete their studies.

b. The entry into the Community Colleges is simple, as admission is less

competitive.

c. The industry has a companion in CCs to train its workers for the renewal of

skills and competences. The CCs are the educational solution for the

varying pattern of jobs in the industry. The CCs can mitigate the stress and

tension caused to the micro, small and medium scale industry because of

changing technology and globalized competition.

d. The CCs can support skill inculcation for the labour migrated from

agricultural sector and from other states; this is similar to the growth of

Community Colleges in USA during 20th century due to the flood of

immigrants from other countries (Ref. 27).

e. The non-traditional students can take up studies, hone their skills and obtain

social mobility. The Community Colleges have flexible programme delivery

facilitating educational opportunities to the unemployed and employed.

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The institution is not restrictive in age limit for entry. Full time and part-time

programmes are offered.

f. The local population gets support for community based education and

information.

g. The Community Colleges have made significant contribution to GER at the

tertiary level in many of the countries.

RATIONALE FOR TWO-YEAR TENURE FOR ASSOCIATE DEGREE PROGRAMMES

The proposal is to offer two-year Associate Degree Programmes.

The rationale behind the two-year tenure of Associate Degree is given below:

a. The 12+2 curriculum of Associate Degree Programmes accounting for 14 years

of study could be helpful in preparing the workforce with the required basic

academic skills through

• general curricula for 12 years of Schooling and

• vocational curriculum for the last two years addressing areas of domain

knowledge, employability skills and life skills.

This could help in generalization of vocational curriculum and facilitate workforce to

adapt to changing professional demands in a globalized world. Such a distribution

with optimum grounding in general curricula is in tune with successful models adopted

internationally; this could be an advantage over the diminished focus on general

curricula through 10+3 Polytechnic curriculum with ten-year general curriculum and

three-year vocational curriculum. Thus, the 12+2 curriculum is better placed to address

the issue, which has been raised in relation to the difficulty faced by the employers in

training the Polytechnic graduates on basic skills.

b. There is a societal perception that degrees command a premium in the job

market rather than diplomas so offer of Diploma Programme is not favored. For

those desirous of completing third year of degree study, opportunity will be

provided through the University campus, as the University intends to offer its

programmes through modular format. The Associate Degree curriculum is a

subset module of undergraduate degree and so, it will not be a diluted version

of degree education.

c. The socio-economic conditions of a significant percentage of the population

do not allow long years of education. As years of study increase, the enrolment

pattern shows a decreasing trend. The Gross Enrolment Ratio (GER) values for

elementary, secondary and tertiary stages of education as reported by HRD

Ministry in 2003-2004 were 85%, 39% and 9%, respectively. Another instance is

that the All India dropout rates of 26.45%, 49.95% and 61.74% are reported for

2005-06 for Classes I-V, I-VIII and I-X, respectively Providing exit option after

two-year Associate Degree may enable enrolment of those students, who, for

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financial reasons or family need or personal situation would like to study for a

shorter period and then rejoin after some time. Modular format permits multiple

entry and exit routes.

d. The GER at tertiary level for India is low as compared to the world average of

23.2%, 36.5% for countries in transition, 54.6% for the developed countries, and

22% for Asian countries Two-year Associate Degree enrolment has made

significant contribution to GER in USA and Canada to the extent of 44% and

40%, respectively. An industrially developing state could get support through

Associate Degree Programs in increasing access, GER and Human

Development Index.

e. Two year Associate Degree Programmes could facilitate mobility of those

students who would like to relocate for personal reasons to another location in

State after getting Associate Degree.

f. Associate Degree Programmes can lead to job entry, as employability aspect

has been incorporated into it.

g. Receiving Associate degree could increases confidence of academically

weak students through step-wise progress and motivate them to continue in

their academic pursuit.

h. Two year Associate Degree Programmes in vocational areas could support VE

movement initiated under GSDM; a similar instance has been reported from

USA, where offer of two-year Associate Degree Programmes strengthened the

spread of VE since the beginning of twentieth century. The Associate Degree

Programmes provide vertical link to VHSS Programmes and facilitate offer of

academic programmes in vocational areas, which are not covered by the

conventional Universities.

STRATEGY FOR CURRICULUM DESIGN USING CREDIT ASSIGNMENT AND MODULARIZATION

Initially four programmes can be launched – Finance & Accounting, IT – Infrastructure,

Hospitality and Mechatronics. The decision has been taken based on State Social

Infrastructure Vision and XI Plan document of Government of India, which have

predicted high demand for related domains

Following aspects will be considered while designing the Skills University curriculum:

i. Credit Assignment and Programme Structure Design

ii. Modularization

iii. Employability Inculcation

iv. Student Workload Adjustment

We use the convention that any Certification is a ‘Programme’ and its Subjects are

‘Courses’. For example, we say that the Associate Degree Programme in Finance &

Accounting has 25 Courses.

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CREDIT ASSIGNMENT AND PROGRAMME STRUCTURE DESIGN

An outline of historical evolution of credit system followed by its definition, the steps for

adopting credit system for drawing UG programme structure, its advantages and

limitation.

HISTORICAL EVOLUTION OF CREDIT SYSTEM

The Electives were introduced in Harvard curriculum in 1869 that also placed a need

for quantitative course measurements. Around 1870s, the measure of teaching was

formulated in hour units; around 1900, measuring in terms of credits was started. In

both the cases, the criterion of teaching measurement was in terms of time but not in

terms of outcome or the results obtained. The term, ‘Credits’ have led to business like

organization of teaching-learning process; knowledge in each Discipline is depicted

in terms of detached packages or courses for which ‘credit assignment’ is made

arbitrarily by the instructor.

DEFINITION OF CREDIT

Credit is a notional representation of a fixed amount of students’ study hours devoted

to various aspects of curriculum:

• Attending Lecture Sessions

• Doing Practical work

• Undergoing on-job-training

• Participation in VSAT/Online related activities

• Participation in Seminars

STEPS FOR ADOPTING CREDIT SYSTEM AND DRAWING UG PROGRAMME STRUCTURE (DOMAIN PART

ONLY)

1. All the Courses of a UG Programme are listed as per industrial requirement and

parity with two or three Universities (if relevant).

2. Around 96 – 108 are assigned as total credits for the UG Programme.

3. The relative importance to be given to various Courses is decided. The credit

weight is assigned to each of the Courses as per theory and practical hours of

instruction required.

4. The Courses are distributed keeping in view credit weight and domain

hierarchy. The template given in Table A-2 is used to prepare the structure for

all the six Semesters.

5. Associate Degree corresponds to the first four Semesters.

6. Subsequently, the Certificate (one Semester) and Diploma (two Semesters) can

be pulled out by a combination of relevant Courses from the degree

programme.

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Table A - 2 Template for Semester-wise Domain Specific Programme Structure

Template for Semester-wise Domain Specific Programme Structure

S.No. Unique Courses (from other

Universities)

The SU Courses

Course Name Credits Course Name Credits

Table A-2 signifies only domain specific curriculum to which we will add employability

related Courses for the semester.

ADVANTAGES AND LIMITATION OF CREDIT SYSTEM

Credit system helps in

• Providing a basis for determining amount of study corresponding to a

qualification

• Calculating student work load

• Standardization of learning components as per regulatory aspects

• Modularization of the curriculum

• Supporting fiscal management –e.g. student fees, Library grants, academic

payments, etc.

• Facilitating student mobility across institutions applying the credit transfer

mechanism (to be decided by the Academic Council of the University)

• Allowing horizontal and vertical mobility for the students across the programs of

an institution

• Providing metrics for assessment in terms of Marks and Examination Paper hours

One critical view is that award of degrees based on accumulated Credits from

isolated subjects does not guarantee holistic scholarship required of graduates.

MODULARIZATION

We shall state (i) the definition of the term, ‘module’, (ii) modularization types and (iii)

reasons for modularization.

DEFINITION OF MODULE

A module is the smallest building block of a programme. It is a set of functionally linked

knowledge, skills and capacities (work competence) necessary for the performance

of a particular job/task. Modules, as discrete pieces of learning, can be assembled

together to make a program of study, leading to award of a

Certificate/Diploma/Associate Degree/Degree. The program developer can

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modularise the program structure in order to facilitate proper pace of study for a

learner. This could be useful for specific clientele and for continuing education

purposes.

TYPES OF MODULARIZATION

There are four main modular types in planning of a program:

1. General Modularization

2. Block Modularization

3. Fragmental Modularization

4. Branching Modularization

General Modularization

General Modularization leads to integrated qualification after completion of entire

program; at intermediate levels, it facilitates only credit accumulation. In this type of

modularization, modules are created by dividing the requirements of an occupation

into smaller and less complex working competencies. The credits can be acquired

and it does not lead to award of Certificate or Diploma, etc. at intermediate levels.

The only advantage is towards differed re-registration in subsequent semesters within

maximum validity period. It offers time-wise flexibility to students who could “take a

stop and hop.” See two examples in Figure A-8.

Block Modularization

Block modularization leads to an opportunity created for building specific

competencies within the framework of general modularization. It offers the facility of

Figure A-8 Representation of General Modularization

AS.IT -MS

First Semester

Second Semester

Third Semester

Fourth Semester

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early exit with certain level of working competencies of the labour market at different

levels of the program along with certification (the difference from the first variety of

general modularization). For example, in B.Sc. IMS, the modules can be planned in

such a way as to give the beginning level competencies to the student at the end of

first two semesters (as Diploma), advanced competencies at the end of first four

semesters (as Associate Degree) and UG qualification at the end of six semesters

(Figure A-9).

Figure A-9 Representation of Block Modularization

Fragmental Modularization

Fragmental modularization leads to knowledge level just required for performing a

particular task in a work place. The curriculum is split to suit specific competencies

required for a job, not necessarily as per the Semester grouping in the UG curriculum.

Independent Certification is possible as Certificate, Diploma, etc. An example is given

in Figure A-10, where the different colour codes represent different types of Courses.

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Figure A-10 Representation of Fragmental Modularization

Fragmental modularization, supported by credit transfer at the time of re-entry, could

facilitate completion of an UG Degree [B.Sc. (IT-IMS) in the above case] through

subsequent continuation of study.

Branching Modularization

Branching modularization leads to an opportunity of creating different specialization

areas from a programme. In this type of modularization, the base module is kept

common leading to the build-up of different specialization degrees/diplomas

depending on the optional subjects chosen at the higher level. For instance, MBA

program offered in some Universities has 6 specialization areas, the subjects for which

are offered in 3rd and 4th semesters. The subjects for 1st and 2nd semesters are the

same across the specialization areas (Figure A-11).

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MBA

It is possible that a candidate with one specialization of MBA can obtain PG Diploma

in other specialization areas by completing the corresponding subjects for 3rd and 4th

semesters, as per conditions specified in the University Prospectus.

REASONS FOR MODULARIZATION

Some of the reasons for modularization include the following:

• opportunity for the University to build need and competency based shorter

version sub-set programs from existing main programmes

• increased flexibility in educational planning by adjusting to meet individual

needs and learning capabilities due to the possibility of acquiring qualifications

through multiple stages with permitted time gaps

• increased opportunities for lifelong learning through vertical and horizontal

mobility in education

• adequate way to fill the gap between already acquired university

qualifications and competencies required in workplace (through choice of

related courses)

• facility for enhancing university revenue by optimising on resources generation

and increased enrolment by offering ‘by-product’ programs.

Second Semester

First Semester

Figure A-11 Representation of Branching Modularization

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EMPLOYABILITY INCULCATION

The Skills University aims at fusing domain specific skills with employability. The term,

employability, is defined as the capability to gain initial employment, maintain

employment and switch over to new employment, if required. Employability is the

synergic combination of personal qualities, skills of various kinds and subject matter

understanding. From the employers’ point of view, employability is the inclination of

the graduate to exhibit attributes that employers consider as necessary for the present

and the future functioning of their organization effectively. Increasingly, graduates

need to be more flexible in response to the growing number of career changes

experienced through life, because of the increase in short term contracts, part-time

work, outsourcing and home-working. In a globalized world, the workforce should be

willing to work in a competitive environment. The curriculum should pave way for

inculcation of both domain knowledge and employability skills. Many of the institutions

offer domain knowledge intensely, but are ineffective in handling the employability

skills. The employability gap in graduates irritates employers, as precious time and

resources are to be directed in preparing the unemployable graduates for the jobs.

Further, graduates with ingrained employability fit into challenging situations with

dexterity. Keeping these aspects in view, student workload need to be calculated

providing time for acquisition of domain based knowledge and employability

attributes.

COMPONENTS OF EMPLOYABILITY: LIFE SKILLS AND OCCUPATIONAL KNOWLEDGE

The employability skills literature contains a huge list of attributes, some of them being

synonyms. Precisely, skills enhancing employability come under two varieties - life skills

and organizational knowledge related. These two varieties are depicted under five

subdivisions: a) Intellectual skills; b) Key/generic/transferable skills; c) Self-efficacy

belief; d) Basics of citizenship e) Knowledge of organizational structures, systems and

processes. The types are explained below:

• Intellectual skills: Analytical ability, logical presentation, rapid

conceptualisation of issues, research skills (basic reading of designs and

drawings, repair of own equipment and additional skills required for new

product designs or domain agnostic analytical skills)

• Key/generic/transferable skills: Communication, IT, numeracy, willingness to

learn, problem solving ability, ability to summarize (office communications,

meeting minutes preparation, briefing, etc.)

• Self- efficacy beliefs: Motivation, self-reliance, ability to cope with pressure,

commitment, time management, dependability, flexibility, initiative,

adaptability.

KJA RECOMMENDATION



• Basics of citizenship: Relevant aspects of Indian Constitution, human rights,

environmental issues, issues of contemporary relevance from sciences and

social sciences etc.

• Knowledge of organizational structures, systems and processes: Transferring

theoretical knowledge to the industrial context (being able to handle more

advanced equipment and improved technologies, basic knowledge of

industrial production techniques, knowledge of recent technological

developments in the trades, team work, role of groups in micro and small

enterprise development, workshop layout, organizational structures, processes

of an industry, division of labour, pricing, accounts, material management,

prevention and management of waste, marketing, market research, customer

relations, planning of activities and stock, quality control, domain related

regulatory, legal and fiscal features and entrepreneurial aspects); on-job-

training provides opportunity to have real life experience in the industry.

A combination of above components with domain knowledge through a spectrum

of appropriate courses could help in preparing a student for employment.

While designing the curriculum, we intend treating

• the intellectual skills, key skills, self-efficacy beliefs and basics of citizenship

under the title, ‘life Skill courses’ and

• the knowledge of organizational structures, systems and processes through a

few organizational knowledge related courses and on-job-training.

The challenge lies in planning academic activities befitting these attributes and with

relevance to the industrial practices. Industry and employers will be opted as partners

in curriculum design, implementation and assessment.

CURRICULAR SPREAD

Accordingly, it is proposed to design Courses to accommodate for domain

knowledge and employability through a spectrum of Courses as given in Figure A-12.

KJA RECOMMENDATION



Figure A-12 Curriculum Spread

STUDENT WORKLOAD ADJUSTMENT

Consequent to addition of curricular components for employability inculcation, the

SU students will have enhanced workload.

ACADEMIC YEAR SPACING

The Associate Degree Programme consists of four Semesters. The first Semester begins

on July 15 and the session goes up to November 30. The first Semester Examinations

are to be held between Dec 7 and Dec 22. After ten holidays, the Second Semester

begins on Jan 2 of the next calendar year and the session goes up to May 9. The

second Semester Examinations take place between May 16 and May 31. The summer

holidays are between June 1 and June 30. The third and fourth Semesters run during

July 1 - Nov 30 and Jan 2 – May 9, respectively. The Examinations of third and fourth

Semesters are held on the same dates as for the first and second Semesters,

respectively. Totally, there will be 218 working days in the first year and 230 working

days in the second year. The Associate Degree workload is more by 88 days from the

conventional colleges for a two-year period (i.e., 360 days). The additional time, so

gained, is used for cementing employability, which otherwise the students have to

seek from other wings of the training industry by incurring more expenditure.

KJA RECOMMENDATION



CALCULATION OF TIME REQUIRED FOR ACQUIRING DOMAIN SPECIFIC SKILLS & EMPLOYABILITY SKILLS

Each working day will have 6 hours of classes – from 8.00 a.m. to 3.00 p.m. with an hour

of lunch break. We may run another session in a staggered manner. Out of 2688 hours

available for two years, domain based work is allotted 1360 hours (for 68 Credits) and

the balance of 1328 hours is for employability skills. This Scheme assigns almost equal

weight for domain-based knowledge and the employability skills (Table A-3).

Table A - 3 Instructional time for Associate Degree

Instructional time for Associate Degree

SNO

Session Exam

Period

Semester

Holidays

Working

Days

Total

Hours (@

6 Hours

per Day)

Time for

Domain

Based

Knowledge

Time for

Employability

Inculcation

Semester I

1

July 15 to Nov

30

[139 days - (20

Sundays + 5

holidays ) = 114

Days]

Dec 7 to

Dec 22

Dec 23 to Jan

1 (10

days)

114

days

684

hours

360 hours

18 Credits 324 hours

Semester 2

2

Jan 2 to May 9

[128 days - (19

Sundays + 5

holidays) = 104

days

May 16 to

May 31

June 1 to

June 30 (30

days)

104

days

624

hours

320 hours

(16 Credits) 304 hours

Semester 3

3

July 1 to Nov 30

[153 days - (22

Sundays + 5

holidays) = 126

Days]

Dec 7 to

Dec 22

Dec 23 to Jan

1 (10 days)

126

days

756

hours

360 Hrs 396 hours

(18 Credits)

Semester 4

4

Jan 2 to May 9

[128 days - (19

Sundays + 5

holidays) = 104

days]

May 16 to

May 31

June1 to

June 30 (30

days)

104

days

624

hours

320 hours

(16 Credits) 304 hours

Total 80 days

448

days

2688

hours 1360 hours 1328 hours

(68 Credits)

The curriculum would be subjected to peer group and employer review and be

updated as per requirement. An involved exercise is undertaken in curriculum design

to provide maximum flexibility to the students, which will come into play, once the

programmes are offered on distance mode.

KJA RECOMMENDATION



METHODOLOGY FOR CURRICULUM IMPLEMENTATION

In this section, we discuss the faculty resources, instructional system and assessment

methodology that the SU proposes to use.

FACULTY RESOURCES NEEDED

We need to have faculty to handle the types of courses, which we have discussed in

and indicated in Figure 14.

UNIQUE NATURE OF FACULTY REQUIREMENT IN A VOCATIONAL UNIVERSITY

The faculty type identification should support our earnestness in addressing the main

drawback seen in the present day vocational graduates in Indian context – namely

unemployability. The faculty chosen should have necessary skills and competences to

address the employability issues effectively. Many countries prescribe faculty positions,

qualifications, expertise and experience for Vocational Universities in a way different

from other Universities. For instance, in China and Sri Lanka, the teachers employed in

a Vocational University are selected under various categories, such as for domain

knowledge, life skills and vocational experience.

CATEGORIES OF FACULTY POSITIONS REQUIRED FOR INCULCATION OF EMPLOYABILITY

In the section we stated that for preparing a student for employment, a need exists

for offering a combination of courses from the concerned domains, life skill areas and

organizational aspects along with on-job-training. Accordingly, the faculty needed is

given in Table A-4.

Table A - 4 Categories of Faculty Required

Categories of Faculty Required

No. Type of Course Faculty Required

1

Focal Courses

(Supportive/core/ele

ctive courses )

Domain specific faculty

2 Life skill courses

Analytical skill experts, soft skill specialists,

psychologists, experts from social sciences and

sciences

3 Organizational

knowledge courses

Experts in finance/marketing/material

management/ HR/legal issues/stores/equipment

maintenance/ administration

4 On-job-training Two mentors –a faculty from the concerned Domain

and a senior employee from the host industry

KJA RECOMMENDATION



Appropriate faculty will be appointed prior to the starting of the academic programs

in TLSU. The Instruction will be conducted by full time and contract faculty (the latter

in view of the requirement of experts from industry and non-domain areas).

INSTRUCTIONAL SYSTEM

The Programmes will be offered in shifts on face-to face mode initially and later

through Distance mode after getting approval from Distance Education Council .As

the clientele is to be drawn from diverse age and occupational groups, a blended

mode of instruction (indicated below) will be made available; it could facilitate

flexibility and access.

• Blended mode of teaching consisting of face-to-face, VSAT & online instruction

will be used.

• VSAT Studio will be used for homogenisation of teaching resources. VSAT

supports two way audio and video. Details of VSAT mediated instruction are

given in Annexure-1.

• The SU will make use of the Cloud facility

• Practical, on-job-training and case studies will be part of the curriculum.

• Each Community College will have Library, VSAT terminal and internet facilities

apart from classrooms and laboratories.

ASSESSMENT METHODOLOGY

The Continuous Assessment and Term-end Examinations will be used. The Examination

Division of the University will conduct the Assessment and Evaluations. The appropriate

documents for curriculum formation, assessment and certification will be finalised

through Academic Council mediation.

RESEARCH, CONSULTANCY AND EXTENSION

Initially two Research Centres will be established:

1. Centre for Labour markets;

2. Centre for Technology in Education;

The Labour Policy Research is critical as the unorganized sector forms the major part

of the workforce and the ground rules are not clear for the sector causing

considerable hardship to the work force. Added to it, informalisation of formal sector

is taking place through what is called structural changes within the organized sector.

It arises due to outsourcing and contractualisation/casualisation of workforce. This is

happening in sectors like services, construction, hospitality and security services. In

such cases, the increasing presence of unorganized workforce with no or less skills is

alarming. Whether there should be any provisions/enforcement for such organized

sector/companies to provide skills to indirect-workforce, whether training of such

workforce by the employer can be made compulsory? What are the mechanisms of

KJA RECOMMENDATION



training? Another issue is whether service sector should be given a special thrust, as it

is the fastest growing area. The modalities of PPP for large-scale training of workers are

not established so far. Inquiry is needed into training pedagogy and trainer

preparation for the informal sector.

Similarly, technology in education is a vital area of research, as technology can

provide powerful support in pedagogy and can increase access. Technology has a

democratizing effect in that location based imbalance in expertise can be alleviated

through beaming of lectures of experts and materials using media. Research can

throw light on optimization of ICT facilities, minimization of costs, utilization of student-

friendly delivery mode and on-demand examination. The University plans to use

blended mode of delivery and would like to evolve appropriate combination of

media to provide effective support services to the students, for which research would

be a productive support. Research work will be started in other areas gradually.

COMPLIANCE TO THE CLAUSES OF THE SATE PRIVATE UNIVERSITIES ACT.

The clauses of the State Private Universities Act, 2009 will be followed in constituting

the University authorities, appointing the officers of the University, formulating the

Statutes and Ordinances and conducting the academic and administrative activities

of the University.

FINANCIAL PROPOSAL

Government can consider partnering with private industry/educational institutions. A

feasible and sustainable model can be worked out between/among the partners. Or

Government can solely invest in this venture.

KJA RECOMMENDATION



Table A - 5 Proposed Program-wise Fee Structure

1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr.

Fee Structure Courses Wise (INR)

1 Mechatronics 2 40,000 42,000 40,000 44,100 42,000 46,305 44,100 48,620 46,305 51,051 48,620

2 Mechatronics- spl in Mfg autmn. 2 40,000 42,000 40,000 44,100 42,000 46,305 44,100 48,620 46,305 51,051 48,620

3 Electronics 2 40,000 42,000 40,000 44,100 42,000 46,305 44,100 48,620 46,305 51,051 48,620

4 Commerce, Business &Social Devlp 2 27,500 28,875 27,500 30,319 28,875 31,835 30,319 33,426 31,835 35,098 33,426

5 IT 2 35,000 36,750 35,000 38,588 36,750 40,517 38,588 42,543 40,517 44,670 42,543

6 Hospitality 2 32,000 33,600 32,000 35,280 33,600 37,044 35,280 38,896 37,044 40,841 38,896

7 Mechatronics 1 40,000 42,000 44,100 46,305 48,620 51,051

8 Mechanical 1 40,000 42,000 44,100 46,305 48,620 51,051

9 Electrical/electronics 1 40,000 42,000 44,100 46,305 48,620 51,051

10 Finance and Accounts 1 27,500 28,875 30,319 31,835 33,426 35,098

11 IT 1 35,000 36,750 38,588 40,517 42,543 44,670

12 Hospitality 1 32,000 33,600 35,280 37,044 38,896 40,841

13 Modular 2 - 6 month programs various 0.5 20,000 21,000 22,050 23,153 24,310 25,526



Sr.

no ProgramsProgram

Type

FY14 FY15 FY18FY16 FY17 FY19 FY20Duration

in yrs

1yr-cert/

diploma /

Adv.Dipl.

or 3rd yr

for bach.

Deg,after

2 yr AD

2 year

Associate

Degree or

Post-

diploma

prorgams

KJA RECOMMENDATION



Table A - 6 An Estimate on Program-wise Student Enrolment

1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr. 1st Yr. 2nd Yr.

1 Mechatronics 2 60 - 80 60 80 80 80 80 100 80 100 100

2 Mechatronics- spl in Mfg autmn. 2 60 - 80 60 80 80 80 80 100 80 100 100

3 Electronics 2 60 - 80 60 80 80 80 80 100 80 100 100

4 Commerce, Business &Social Devlp 2 60 - 90 60 120 90 120 120 120 120 120 120

5 IT 2 60 - 80 60 90 80 90 90 100 90 100 100

6 Hospitality 2 60 - 90 60 100 90 120 100 120 120 120 120

7 Mechatronics 1 25 25 45 75 100

8 Mechanical 1 25 25 45 75 100

9 Electrical/electronics 1 25 25 45 75 100

10 Finance and Accounts 1 25 25 45 75 100

11 IT 1 25 25 45 75 100

12 Hospitality 1 25 25 45 75 100

13 Modular 2 - 6 month programs various 0.5 30 60 75 100 100



1yr-cert/

diploma /

Adv.Dipl.

or 3rd yr

for bach.

Deg,after

2 yr AD

Sr.

no ProgramsProgram

Type

2 year

Associate

Degree or

Post-

diploma

prorgams

FY14 FY15 FY18FY16 FY17 FY19 FY20Duration

in yrs

KJA RECOMMENDATION



Works Cited

Planning, Programme Monitoring and Statistics Department. Economic Survey of

Karnataka 2014-2015. Bengaluru: Government of Karnataka, 2015.

Association of Mutual Finds in India. Industry Trends (at a broad level). Mumbai:

Association of Mutual Finds in India, 2015.

Commerce and Industries Department. Karnataka Industrial Policy (2014-19). Policy

Report, Bangalore: Commerce and Industries Department, 2014.

FICCI &KPMG."IndianMEdia and Entertainment Industry Report." 2015.

FICCI. Skills Development - Sector Profile. FICCI.

General Insurance Council. Indian Non-Life Insurance Industry – Year Book. Mumbai:

General Insurance Council, 2013-14.

India Brand Equity Foundation. Indian Banking Sector. November 2015.

http://www.ibef.org/industry/banking-india.aspx (accessed December 11, 2015).

—. Karnataka State Report. November 2015.

http://www.ibef.org/states/karnataka.aspx (accessed August 11, 2015).

International Labour Organization. Global Employment Trends for Youth 2015.

Geneva: ILO, 2015.

IRDA.IRDA - Annual Report. Hyderabad: IRDA, 2011-14.

Marope, P.T.M., B. Chakroun, and K.P.Holmes. Unleashing the Potentia ln - Transforming

Technical and Vocational Education and Training. Paris: UNESCO, 2015.

Ministry of Education, Brazil. What is Pronatec.

http://pronatec.mec.gov.br/institucional-90037/o-que-e-o-pronatec (accessed 12 8,

2015).

Planning Commission of India.11th Five Year Plan. New Delhi: Planning Commission,

2007.

Planning, Programme Monitoring & Statistics Department. Economic Survey of

Karnataka. Government Report, Bengaluru: Planning, Programme Monitoring &

Statistics Department, 2014-15.

Technical Group on Population Projections. Population Projection for India and State

2001-2026. New Delhi: Office of Registrar General and Census Commissioner, 2006.

Tirlapur, Laxmi N, Bheemanagouda O Patil, and Nazath

KJA RECOMMENDATION



ParveenNavalaur."Export of Processed Fruits and Vegetables in India with Special

Reference to Karnataka." International Journal of Commerce & Business

Management, 2015: 102-106.

World Bank.Skill Development in India - The Vocational Education and Training System.

World Bank, 2007.

World Economic Forum. "Employment, Skills and Human Capital. "World Economic

Forum. September 2015.

http://www3.weforum.org/docs/WEF_GCP_Employment_Global_Challenge_pager.p

df (accessed December 7, 2015).

LIST OF ABBREVIATIONS

AC Academic Council

AICTE All India Council for Technical Education

ATS Apprenticeship Training Scheme

BoM Board of Management

CC Community College

CSE Comprehensive Skill Education

CTS Craftsmen Training Scheme

CWPLUS

Conditions of Work and Promotion of Livelihoods in the Unorganized

Sector

FICCI Federation of Indian Chambers of Commerce and Industry

GB Governing Body

GER Gross Enrolment Ratio

GSDP Gross State Domestic Product

HDI Human Development Index

HRD Human Resource Development

ICT Information & Communication Technology

IGNOU Indira Gandhi National Open University

IIJT Indian Institute of Job Training

IIM Indian Institute of Management

IIM-A Indian Institute of Management -Ahmedabad

IIT Indian Institute of Technology

IT Information Technology

ITC Industrial Training Center

ITI Industrial Training Institute

KVK Krishi Vigyan Kendra

KJA RECOMMENDATION



MCRDCE

Madras Centre for Research and Development of Community

Education

MoLE Ministry of Labour and Employment

MSME Micro, Small and Medium Enterprise

NGO Non-Government Organisation

NKC National Knowledge Commission

NSDM National Skill Development Mission

NSDP Net State Domestic Product

PGDHE Post Graduate Diploma in Higher Education

PPP Public Private Partnership

SSI Small Scale Industry

SU Skills University

TVET Technical and Vocational Education and Training

UGC University Grants Commission

VE Vocational Education

VET Vocational Education and Training

VHSS Vocation Higher Secondary School

VT Vocational Training

VU Vocational University

WB World Bank

--------------------------------X--------------------------------

KJA RECOMMENDATION



ANNEXURE- 2: GO ON KARNATAKA JNANA AAYOGA (KJA)

Subject: Reconstitution of Karnataka Knowledge Commission.

Read: 1) Government Order No. ED 110 URC 2008, dated 5/9/2008

2) Government Order No. ED 462 URC 2013, dated 28-12-2013

3) Notification No. ED 364 URC 2016, dated 26-12-2016.

Preamble

Karnataka has emerged as the Knowledge Capital of the country. The State

needs to take on the global challenges in terms of innovation, conservation of

heritage, generation of new knowledge, application of knowledge in every sphere of

life, skill development, enhancement of competencies, creation of better human

capital to create new knowledge economy besides creation of a more humane

society. Keeping in view the setting up of National Knowledge Commission, the

Karnataka Knowledge Commission was constituted in 2008, vide Government Order

No: ED 110 URC 2008, dated 5-9-2008 read at (1) above, under the guidance and

Chairmanship of renowned Space Scientist Dr. K. Kasturirangan. After completion of

term of the Commission, was reconstituted and the term was extended till December

28, 2013 vide G.O. read at (2) above. Further, the term of the Commission was

extended for 03 years vide Notification read at (3) above. Recognizing the important

role to be played the Commission in making Karnataka a Knowledge State and a

Knowledge economy, it is proposed to reconstitute Karnataka Knowledge

Commission.

The Government has considered reconstitution of Knowledge Commission for

another term with the focus on institution building, policy innovation and excellence

in the field of education, health, science and technology, industry, entrepreneurship,

research and innovation, traditional knowledge, agriculture, e-governance, rural

development, etc., and other relevant areas in the context of Karnataka. In view of

the above, the Government has decided to reconstitute the Karnataka Knowledge

Commission. Hence this order.

GOVERNMENT ORDER NO. ED 354 URC 2016 (Part – 1)

BANGALORE DATED: 2-8-2017

In the circumstances explained above, the Government is pleased to

reconstitute the Karnataka Knowledge Commission in the State with the following

eminent persons as Chairman and Members.

KJA RECOMMENDATION



Sl.No Name and Address Designation

1 Dr. K. Kasturirangan,

Former Chairman of ISRO, Ex- Member

(Science), Planning Commission, GoI, Emeritus

Professor, National Institute of Advanced

Studies, Bengaluru

Chairman

2 Dr. Mukund Kadursrinivas Rao

Adjunct Professor, NIAS, Bengaluru

Member -Secretary

3

Sri. P.G.R. Sindhia

Former Minister for Home, Transport and

Finance, Government of Karnataka

Member

4 Sri. Mohandas Pai T V

President, MEMG International India Ltd.

No. 70, 4th Floor, Grace Towers, Above

Navaneeth Motors, Milers Road, Bengaluru –

560052

Member

5 Prof. Anurag Behar

Vice Chancellor, Azim Premji University, PES

Institute of Technology Campus Pixel Park, B’

Block Electronic City Hosur Road, Bengaluru

Member

6 Prof. M. R. Satyanarayana Rao,

Ex - Director, Jawaharlal Centre for Advanced

Scientific Research (J.N.C.A.S.R), Jakkur,

Bengaluru- 560064.

Member

7 Dr. Nazeer Ahmed,

Advisor, World Organization for Research

Development and Education, Ex-Scientist,

NASA, No. 4, 9th Cross, Jayamahal Main Road,

Jayamahal Extension, Bangalore – 560046

Member

8 Prof. Sunney Tharappan,

Director, C.L.H.R.D, Valencia Circle,

Mangalore – 575002.

Member

9 Prof. G. Padmanabhan,

Former Director of IISc, Bangalore – 560012.

Member

10 Dr. Gayatri Saberwal,

Institute of Bioinformatics and Applied

Biotechnology, Biotech Park Electronics City

Phase I, Bangalore – 560100

Member

11 Prof. S. Sadagopan,

Director, IIIT-Bangalore, 26/C, Electronics City,

Hosur road, Bangalore – 560100.

Member

KJA RECOMMENDATION




12 Dr. Devi Prasad Shetty,

Heart Specialist, Narayana Hrudayalaya,

258/A, Bommasandra Industrial area, Anekal

Taluk, Bangalore – 560099

Member

13 Dr. Rajashekar H. B.

Director Jawaharlal Nehru Medical College,

Nehru Nagar, Belgavi – 590010

Member

14 Dr. B.M. Hegde,

Ex-Vice Chancellor, Manipal University,Ganesh

Lower Bendur, II cross, Mangaluru – 575702.

Member

15 Dr. P. Balakrishna Shetty,

Vice Chancellor, Sri Siddartha Academy of

Higher Education, Agalakote, B.H. Road,

Tumkur – 572 107.

Member

16 Sri. Rahul Sharad Dravid,

B 17, Epsilon Ventures, Yemlur PO, Bengaluru –

560037

Member

17 Sri. Prakash Padukone,

Prakash Padukone Badminton Academy, No.

4, 3rd Main, KBA Stadium, Jasma Bhavan

Road, Opposite to Congress office, Vasanth

Nagar, Bengaluru – 560052.

Member

18 Dr. Mohan Alva,

Chairman, Alva Education Society, Vidyagiri,

Moodbidri, Dakshina Kannada Dist – 574227.

Member

19 Dr. B N Suresh,

Vikram Sarabhai Professor, ISRO Hqs, Antariksh

Bhavan, New BEL Road, Bengaluru-560 231

Member

20 Sri. S V Ranganath,

Retd. IAS & Ex- Chief Secretary

Member

21 Smt. Ashwini Nachappa,

International Athletic, No. 516, 16th E Cross,

17th A Main Koramangala, 6th Block,

Bengaluru- 560094

Member

22 Dr. Pulak Ghosh,

Professor, IIM-Bengaluru

Member

23 Prof. B. K. Chandrashekar,

Hon’ble Ex-Minister, GoK

Member

24 Prof. Radhakrishna,

Academician

Member

KJA RECOMMENDATION




25 Smt. Sudhamurthy,

President, Infosys Foundation

Member

26 Prof. Basavaraja K. P,

Professor, IIM, Bengaluru

Member

27 Dr. S.R. Patil,

Rtd. Professor & Head, Geography

Department, Karnataka University, Dharwad

Member

28 Dr. Angarai Ganeshan Ramakrishnan

Professor & Chairman, Department of

Electrical Engineering, IISc, Bengaluru

Member

29 Sri. Bharat Khinji,

Industrialist, Hubballi

Member

30 Sri. Shivkumar Kheni,

Industrialist

Member

Ex-Officio Members

Sl.

No

Name and Address

1 Additional Chief Secretary to Government, Finance Department,

Government of Karnataka, Vidhana Soudha, Bengaluru-560001

2 Additional Chief Secretary to Government, Primary and Secondary

Education Department, Government of Karnataka, 6th Floor, 2nd

Stage, M.S. Building, Bengaluru-560001

3 Additional Chief Secretary to Government, Medical Education

Department Government of Karnataka, 6th Floor, 4th stage,

MS Building, Bengaluru-560001

4 Principal Secretary to Government, Higher Education Department,

Government of Karnataka, 6th Floor, 2nd Stage, MS Building,

Bengaluru-560001

5 Principal Secretary to Government, Health and Family Welfare Department,

Government of Karnataka, # 105, 1st Floor, Vikasa

Soudha, Bengaluru-560001

6 Principal Secretary to Government, Information Technology, Bio

Technology and Science & Technology Department, Government of

Karnataka, 5th Floor, 5th stage, M.S Building, Bengaluru-560001

KJA RECOMMENDATION



Term of Reference: -

The Commission shall strive to give recommendations in the following areas.

1. To focus on institution building, policy innovation and excellence in the field of

education, health, science and technology, industry, entrepreneurship, research

and innovation, traditional knowledge, agriculture, e-governance, rural

development, etc., and other relevant areas in the context of Karnataka.

2. Build excellence in the educational system to meet the challenges of the 21st

century and increase Karnataka’s competitive advantage in the fields of

knowledge.

3. Promote creation of knowledge in all formal and non-formal educational, scientific

and Knowledge institutions of Karnataka.

4. Improve the leadership and Management of educational and knowledge

institutions of Karnataka.

5. Promote knowledge applications in agriculture, rural development, health,

industry and other areas.

6. Enhance the use of knowledge capabilities in making government an effective

service provider to the citizen and promote widespread sharing of knowledge to

maximize public benefit.

7. Promote inter sectoral interaction and interface with the objective of preservation,

access, new concepts, creation, application, dissemination, outreach and

services relating to knowledge.

8. Develop appropriate institutional frameworks to strengthen the education system,

promote domestic research and innovation, facilitate knowledge application in

various sectors.

9. Leverage information and communication technologies to enhance governance

improve connectivity and reduce digital divide.

10. Device mechanisms for exchange and interaction between knowledge System in

the global arena.

KJA RECOMMENDATION



11. Conserve indigenous and heritage knowledge in Karnataka for better Utilization of

time tested concepts and knowledge by society.

By Order and in the name of the

Governor of Karnataka

Sd/-

(M.A. AHAMED JHON) Under Secretary to Government

Higher Education Department (Universities-2)

To,

The Complier, Karnataka Gazette -for publication in next issue of the Gazette.

Copy to:

1. The Principal Secretary to Hon’ble Chief Minister, Government of Karnataka,

Vidhana Soudha, Bengaluru.

2. PS to Chief Secretary / Additional Chief Secretaries / Development Commissioner

to Govt., of Karnataka, Vidhana Soudha, Bengaluru, All Principal Secretaries/

Secretaries, Govt. of Karnataka, Bengaluru.

3. Dr. K. Kasturirangan, Member (Science), Planning Commission, Government of

India. Director, National Institute of Advanced Studies, Bengaluru.

4. Vice Chancellors/Registrars of All Universities.

5. Executive Director, Karnataka State Council for Higher Education, Bengaluru.

6. Dr. K. Kasturirangan, Member (Science), Planning Commission, Government of

India. Director, National Institute of Advanced Studies, Bengaluru.

7. Dr. Mukund Kadursrinivas Rao, Adjunct Professor, NIAS, Bengaluru

8. Shri. PGR Sindhia, Former Minister, Home, Transport & Finance, GoK, No. 24,

Doddamaralavadi Village, Maaralavadi Hobli, Kanapura Taluk, Ramanagara Dist.

9. Sri. Mohandas Pai T V, President, MEMG International India Ltd., No. 70, 4th Floor,

Grace Towers, Above Navaneeth Motors, Milers Road, Bengaluru – 560052

10. Prof. Anurag Behar, Vice Chancellor, Azim Premji University, PES Institute of

Technology Campus Pixel Park, B’ Block Electronic City Hosur Road, Bengaluru

11. Prof. M.R. Satyanarayana Rao, Ex-Director, Jawaharlal Centre for Advanced

Scientific Research (J.N.C.A.S.R), Jakkur, Bangalore – 560064.

12. Dr. Nazeer Ahmed, Advisor, World Organization for Research Development and

Education, Ex-Scientist, NASA, No. 4, 9th Cross, Jayamahal Main road, Jayamahal

Extension, Bangalore – 560046.

13. Prof. Sunney Tharappan, Director, C.L.H.R.D, Valencia Circle, Mangalore – 575002.

14. Prof. G. Padmanabhan, Former Director of IISc, Emeritus Professor Department of

Biochemistry, Indian Institute of Science Bangalore – 560012.

KJA RECOMMENDATION



15. Dr. Gayatri Saberwal, Institute of Bioinformatics and Applied Biotechnology,

Biotech Park Electronics City Phase I, Bangalore – 560100.

16. Prof. S. Sadagopan, Director, IIT-Bangalore, 26/c, Electronics City, Hosur road,

Bangalore – 560100

17. Dr. Devi Prasad Shetty, Heart Specialist, Narayana Hrudayalaya, 258/A,

Bommasandra Industrial area, Anekal Taluk, Bangalore – 560099.

18. Dr. Rajashekar H B Director, Jawaharlal Nehru Medical College, JNMC Campus,

Nehru Nagar, Belgaum – 590010.

19. Dr. B.M. Hegde, Ex-Vice Chancellor, Manipal University, Ganesh Lower Bendur,

2nd Cross, Mangaluru -575702.

20. Dr. P Balakrishna Shetty, Vice Chancellor, Sri Siddhartha Academy of Higher

Education, Agalakote, B.H. road, Tumkur – 572 107.

21. Sri. Rahul Sharad Dravid, B 17, Epsilon Ventures, Yemlur PO, Bengaluru – 560037

22. Sri. Prakash Padukone, Prakash Padukone Badminton Academy, No 4, 3rd main,

KBA stadium, Jasma Bhavan road, Opp Congress office, Vasanth Nagar,

Bengaluru – 560052.

23. Dr. Mohan Alva, Chairman, Alva Education Society, Vidyagiri, Moodbidri,

Dakshina Kannada Dist – 574 227.

24. Dr. B N Suresh, Vikram Sarabhai Professor, ISRO Hqs, Antariksh Bhavan, New BEL

Road, Bengaluru-560 231

25. Shri. S V Ranganath Retd. IAS & Ex- Chief Secretary, Vice-Chairman, Karnataka

State Higher Education Council, Palace Road, Bengaluru.

26. Smt. Ashwini Nachappa, International Athletic, No. 516, 16th E Cross, 17th A Main

Koramangala, 6th Block, Bengaluru- 560094

27. Dr. Pulak Ghosh, Professor, IIM-Bengaluru, Bengaluru, Bannerughatta Road,

Bengaluru-560076.

28. Prof. B. K. Chandrashekar, Door No. 4032, 28th Cross, 17th Main Road,

Banashankhari 2nd Stage, Bengaluru – 560070

29. Prof. Radhakrishna, Academician

30. Dr. Sudha N. Murthy, Chairperson, Infosys Foundation, Infosys Towers, No. 27,

31. JP Nagar, 3rd Phase Bannerghatta Main road, Bangalore – 560076.

32. Prof. Basavaraja K.P, Professor, IIM Bengaluru, Bannerughatta Road, Bengaluru-

560076.

33. Dr. S.R. Patil M. A. Ph.D, Professor of Geography, (Retd) Department of

Geography, Karnataka University, Dharwad

34. Dr. Ramakrishnan Angarai Ganeshan Ph.D,(Bio-Medical Engineer), Department of

Electrical Engineering, IISc, Bengaluru

35. Mr. Bharat Khinji, Director, Founder and Chief Executive Officer BDK Engineering

Industries Limited 47/48, Gokul Road, Hubli, Karnataka

36. Sri. Shivakumar Kheny, Industrialist, Managing Director, Nandi Highway Developers

Ltd., BF Utilities, Ltd., Bengaluru




Room No. 432, 433, 438 and 439

4th Floor, Vikasa Soudha

Dr. B. R. Ambedkar Veedhi

Bengaluru – 560 001 e-mail:[email protected]

www.karnataka.gov.in/jnanaayoga
