Skilling India:

Issues and Challenges

Largest Democracy in the World , 1.2 billion

population.

“Youngest nation” in the world with 54% population under the age of 25 years.

Total Workforce of 459 million.

India has 3rd largest education system globally.

Spends at 3.7% of GDP.

Global Skilled Manpower Shortage of 56.5 m by 2020 while India to have Surplus of 47 m.

Economic Growth @9%.

India

Country2000 2025 2050 2000 2025 2050

India 23.7 31.3 38 8.1 12.1 22.6Mexico 23.3 32.5 39.5 7.6 13.8 30USA 35.5 39.3 40.7 18.6 29.3 34.9Australia 35.2 40.5 41.9 18.2 29.3 37.9China 30 39 43.8 10 19.4 37.2Canada 36.9 42.9 44 18.5 32.6 40.9France 37.6 43.3 45.2 24.5 36.2 46.7UK 37.7 44.5 47.4 24.1 34.8 47.3Europe 37.7 45.4 49.5 21.7 33.2 51.4Russia 36.8 43.8 50 18 27.6 47.1Germany 40.1 48.5 50.9 24.1 39 54.7J apan 41.2 50 53.1 25.2 49 71.3Italy 40.2 50.7 54.1 26.7 40.6 68.1

Indicators of Aging in Selected Countries (2000, 2025, and 2050)

Median Age (Years) Old Age Dependency Ratio

Snapshot: Global Demographics

India

Major problem facing India today is unemployment.

260 million underemployed and unemployed in the age group of 18-50 years.

Skill base of Indian economy is extremely low. Only 2% youth in the age group of 15-29 years receive formal vocational training. The problem will only increase in the coming years

THE SKILL GAP IN INDIA

THE SKILL GAP IN INDIA

We will have to skill and provide employment to this mushrooming young population.

Failure to do so will lead to social turmoil like increased crime and growing youth unrest

Vocational Training perceived as a dead end with no existing linkages to the formal higher education system

THE SKILL GAP IN INDIA

Government has set a target to train 500 million by 2020.

Only 2.5 million vocational training seats available whereas 12.8 million youth enter the workforce every year.

Trades being taught at ITI’s are obsolete

The government is encouraging public private partnerships (PPP) but lack of transparency and formal accreditation are effecting quality of training

THE SKILL GAP IN INDIA

THE SKILL GAP IN INDIA

THE SKILL GAP IN INDIA (2022)

 Agriculture (%)

Manufacturing and Construction (%)

Service (%)

Manpower 58 24 18

GDP Contribution

18 22 60

India

IndiaThe Indian workers1.Industrial 2. Service 3. Artisans 4. Agriculture Sectors

India

One of the key strategies in nation building has to be to strengthen the manufacturing sector. The key to prosperity and job creation is the manufacturing sector. This is the bedrock of the Prime Minister’s ‘Make in India’ campaign.

India

First-ever separate Ministry of Skill

Development and Entrepreneurship to Promote Entrepreneurship and

Skill Development .

India

• The main goal is to create opportunities, space and scope for the development of the talents of the Indian youth

• To develop more of those sectors which have already been put under skill development for the last so many years and also to identify new sectors for skill development.

• To provide training and skill to 500 million youth of the country by 2020, covering each and every village.

Objectives of ‘Skill India’

The Skill Landscape

Structure of Skill India

• The emphasis is to skill the youths so that they get employment and also improve entrepreneurship.

• To provide training, support and guidance for all occupations like carpenters, cobblers, welders, blacksmiths, masons, nurses, tailors, weavers etc.

• More emphasis will be given on new areas like real estate, construction, transportation, textile, gem industry, jewellery designing, banking, tourism etc..

Features of  Skill India

Features of  Skill India

• The training would be on the lines of international level.

• To create a hallmark called ‘Rural India Skill’, so as to standardise and certify the training process.

• Tailor-made, need-based programmes would be initiated for specific age groups which can be like communication and life skills, including job and employability skills.

• The course methodology of ‘Skill India’ would be innovative.

• Earlier, the emphasis was on traditional jobs. But this time, all kinds of jobs will be given equal emphasis.

• Earlier, the responsibility was divided among various ministries, but this time, these are being clubbed together.

• The ministry of skill development and entrepreneurship will be the principal ministry which is going to coordinate with other ministries and organisations.

• Skill India won’t be just a programme but a movement

How is it Different from the Previous Skill Development Policies?

How is it Different from the Previous Skill Development Policies?• Here, youth who are jobless, college and school

dropouts, along with the educated ones, from rural and urban areas, all will be given value addition.

• The new ministry will be the certifying agency. Certificates will be issued to those who complete a particular skill or programme and this certificate has to be recognized by all public and private agencies and entities, including overseas organisations.

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