essay on skill development in india

The 3 challenges to skill development in India – and how to tackle them

By 2023, 70 million more people will have entered India's workforce – but what skills will they need? Image:  REUTERS/Arko Datta

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As structural, demographic and technological shifts transform the Indian economy and the nature of work, new entrants to the labour force will have to be skilled and made employable. Approximately 70 million additional individuals of working age (15-59 years) are expected to enter the country’s labour force by 2023 – using the same estimation model, the total workforce will then include approximately 404.15 million people. This will include 59 million youth (individuals aged 15-30 years), according to our analysis of data from the Periodic Labour Force Survey (PLFS) 2017-2018 . Strategies for reskilling and increasing the skills of the current workforce, as well as formal recognition of informally acquired skills, will also have to be reinforced.

Against this backdrop, India is driving unique initiatives to convert its demographic potential into a dividend that will fuel the country’s growth. At the same time, ageing populations found in several developed countries present opportunities for the migration of skilled persons from India to the benefit of both the host and destination countries.

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There have been three major challenges to skills development in India: expanding public sector collaboration with industry and the private sector, creating pathways for international mobility and addressing women’s low participation in the labour force.

Here’s how the National Skill Development Corporation (NSDC) has approached them:

Creating avenues for private sector engagement has been a crucial strategic pillar for India. Skill development faces several forms of market failures, including information asymmetries – a skilled person knows his or her skills, but a potential employer does not; if employers had all the information, their willingness to pay for a skilled person would rise. Recognition of Prior Learning (RPL) is an example of an intervention to address information asymmetry.

Another market failure in skill development is externalities. For example, when a firm spends resources on developing the skills of an employee, he or she can quit and join another firm, thus benefitting the latter firm and not the firm that incurred the training cost.

Where there are such market failures, there is a prima facie rationale for government intervention. As A.C. Pigou argues in 1912's Wealth and Welfare , firms themselves do not have an incentive to spend on developing the skills of their workers, because, as mentioned, a skilled worker can quit and join a new firm. Workers have an incentive to invest in their own general skill training through, say, apprenticeship (wherein they are willing to work for lower pay) or self-paid training, as they stand to potentially benefit from higher salaries when they switch jobs. As such, firms may be willing to spend on developing specific skills of employees.

In India, there are a variety of skill development models – government-funded programmes that fully or partially subsidize training/apprenticeships, market-led trainings (where trainees pay for the course), market-led apprenticeships and industry-led/on-the-job training. The not-for-profit National Skill Development Corporation (NSDC) was set up as a public-private partnership (PPP) to stimulate private sector participation in the Indian skill development sector. A core role of the NSDC is, therefore, providing long-term development finance to organizations to build for-profit vocational training initiatives. We also work closely with the Ministry of Skill Development and Entrepreneurship (MSDE) to implement government grant-based vocational training programmes, where infrastructure is set up by private providers and training costs are subsidized by the government.

Collaboration with industry has been fundamental to ensure the relevance and quality of skills training and for building the institutional structures required to achieve the desired outcomes. Sector Skill Councils (SSCs) were incubated by the NSDC for fostering industry connections and developing an industry-relevant course and curriculum. There are currently 37 SSCs operational, with more than 600 corporate representatives in their governing councils.

India’s labour force above 30 years of age is 262 million people, according to our analysis, of which 259 million are currently employed and need to be future-ready. As such, our work has also used industry partnerships to drive reskilling and upskilling initiatives and to develop close collaborations with employers to prepare their workforce for new technologies and the future of work.

There is a vast segment of informal workers in India, many of whom possess skills that have not been formally recognized. RPL interventions are critical in this scenario – holding a formal certification can improve an individual’s bargaining power. In a third-party evaluation of the RPL component of the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) conducted by Sambodhi Research and Communications, 75% of RPL-certified individuals said they were more prepared for their current job and 79% said that the programme has made them more confident about getting a better job.

The same analysis suggests the monthly incomes of RPL-certified individuals were on average 19% higher than those who had not been RPL-certified. An average increase of 25% in income after certification was reported.

Analysis of an as yet unpublished household survey conducted by the Centre of Monitoring Indian Economy (CMIE) suggests there are more than 390 million individuals who have acquired skills informally – through self-learning, on-the-job learning, inherited skills or other sources. Of these, a majority (384 million) are working, showing the scope for RPL and apprenticeship-related interventions. Both of these interventions typically involve collaboration with industry and the private sector, even when they are part of publicly funded programmes or schemes.

India is committed to becoming the “skill capital” of the world and structured efforts such as the India International Skill Centre (IISC) programme are evidence of this. A new, market-driven IISC network has been proposed to counsel and guide potential emigrants with a focus on skills tests, upskilling, language and pre-departure orientation. Furthermore, the governments of India and Japan are cooperating to implement Japan’s Technical Intern Training Programme (TITP), an on-the-job training scheme providing three to five years of internship opportunities for foreign nationals in Japan, with NSDC as the implementing organization.

Technical collaborations have been undertaken with countries such as the UK, Australia and the UAE for benchmarking and mutual recognition of standards. Government-to-government and B2B partnerships are also being developed for new markets such as those in Western Europe, Canada, Australia and East Asia to increase the mobility of blue and white-collar Indian workers.

A third focus area for us is addressing the challenge of low female participation in the labour force. Our analysis of labour force survey data suggests that of the country’s labour force of 395.2 million, only 91.6 million are women.

Skilling initiatives – complemented by a wider push towards empowerment through gender sensitization, creation of economic opportunities and economic and social support – can be used to raise this number. Providing residential facilities for women trainees, embedding mentoring and coaching in skills programmes and providing social support through mechanisms such as local workshops have all been explored.

Preparing women for forms of employment that are more attractive to them, such as the gig economy and its more flexible work models, is especially relevant, given that 229.2 million women (out of the 301.5 million who are not in the labour force) report their status as “attending domestic duties”, in our analysis.

Encouragingly, our progress so far in terms of creating access to skill development for women has been positive. More than 50% of the candidates trained under PMKVY are women. A significant number of women have also been trained in unconventional roles, such as in the electronics and hardware sectors. On our paid courses, women account for 40% of trained candidates. Here too women are increasingly enrolling for unconventional job roles, such as field technician, organic grower and automation specialist. Several training providers in our system focus exclusively on women and are promoting skill training in areas including digital and financial literacy, entrepreneurship, website design, 2D and 3D design, hardware repair and farm management. Partnerships with industry to support women-centric projects in non-traditional trades have also been explored.

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Many organizations are stakeholders in the skill development sector and have gained rich experience and knowledge from their work in the space. The lessons they have learned from skills training provision and the implementation of innovative models must be used to take the sector to the next level. We need the platforms to share this knowledge and these diverse perspectives. In addition, engaging with research organizations, academic institutions, think tanks and multilateral institutions that focus on education, skills and labour markets is critical if we are to build new initiatives and collaborations, deepen the knowledge pool on skills and facilitate the creation of institutional knowledge and capability.

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Benchmarking: An International Journal

ISSN : 1463-5771

Article publication date: 25 June 2019

Issue publication date: 13 September 2019

The purpose of this paper is to conduct an in-depth analysis of the literature and provide new insights on skill development research in India. Objectives in the study are twofold. First is to conduct descriptive analysis in terms of structural dimensions such as geographical context, focus on skill development, research methods, economic sector, type of training and origin of the study. The second objective is to conduct thematic analysis on importance of skill development, institutional and regulatory mechanisms, skill development as an antecedent for technology adoption, role of skill development in women empowerment, integrating skill development with secondary education and labour market reforms for skill development.

Design/methodology/approach

Systematic literature review method is employed to review 45 articles on skill development research in India conducted between 2004 and 2017.

The review discusses about the importance of skill development, the role of institutions such as NSDA and PMKVJ, skill development as a necessity in the advent of technological changes, an effective measure to empower women in the country and the need of integrating skill development with secondary education. Labour market reforms are required to overcome challenges such as mismatch between theory and practice, low quality of skills assimilated, the mismatch between demand and supply of skilled labour force, low level of in-house training, low cooperation from students and employees due to lack of incentives and lack of qualified teachers.

Originality/value

This study is the first to offer a systematic literature review on skill development. The study provides insights into the concept of skill development, specifically for academicians to carry out research in a niche area and for government authorities in policy formulation.

• Systematic literature review
• Technology adoption
• Skill development
• Demographic dividend

Cabral, C. and Dhar, R.L. (2019), "Skill development research in India: a systematic literature review and future research agenda", Benchmarking: An International Journal , Vol. 26 No. 7, pp. 2242-2266. https://doi.org/10.1108/BIJ-07-2018-0211

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Copyright © 2019, Emerald Publishing Limited

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Explained: Here's why skill development is a key to inclusive growth

When skill development is undertaken with the focus on contributing to structural transformation, it automatically results in labour productivity and inclusive growth..

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As per the Global Skills Gap Report, the Indian workforce reported the highest skills gap after Brazil. Currently, India has one of the largest workforces in the world. Nearly 500 million people are of working age with the domestic labour market being second only to China.

WHAT INDIA SKILLS REPORT SAYS

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• March 17, 2023

Essay on Skill India

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Skill India is a flagship initiative launched by the Government of India in 2015 with the aim of empowering the Indian youth with relevant skills to enhance their employability and entrepreneurship opportunities. It is one of the most ambitious programs to bridge the gap between the demand and supply of skilled labor in the country.

The Skill India program is implemented through a vast network of over 25,000 training providers, including government and private training institutions, industry associations, and NGOs. The program offers a range of courses, from basic skills training to advanced technical courses, to cater to the needs of different sections of the population, including school dropouts, women, and minorities. The courses are designed to provide hands-on training to ensure that learners acquire practical skills to make them job-ready.

One of the key features of the Skill India program is its focus on industry partnerships. The government has collaborated with leading companies and industry associations to design and deliver training programs that are aligned with industry needs. This ensures that the skills acquired by learners are relevant and up-to-date. The program also offers financial incentives to companies that hire and train apprentices, making it more attractive for employers to invest in skill development.

Another important aspect of the Skill India program is its emphasis on digital technology. The program offers a range of online courses and digital tools to help learners acquire new skills and improve their employability. The government has also launched several mobile apps and portals, such as the National Skills Qualification Framework (NSQF) and the Skill India Portal, to make it easier for learners to access training and job opportunities.

The Skill India initiative has several benefits. It provides a platform for the youth to acquire new skills and improve their employability. It also helps to address the issue of unemployment in the country by creating a more skilled and productive workforce. The program’s focus on industry partnerships and digital technology ensures that learners acquire relevant and up-to-date skills that are in demand in the job market.

However, Skill India also faces some challenges. The quality of training provided by some of the training providers may not be up to the mark. This can result in learners acquiring inadequate skills that may not be sufficient for employment. Despite the extensive network of training providers, Skill India may not reach all sections of the population, especially those in rural areas. Funding constraints can limit the program’s reach and impact.

In conclusion, Skill India is a crucial step towards building a more skilled and productive workforce in India. The program’s focus on industry partnerships, digital technology, and financial incentives has helped to make it more effective in addressing the country’s skill development challenges. As the program continues to expand, it is expected to have a transformative impact on the Indian economy, creating new opportunities for growth and development. The government, training providers, and industry stakeholders need to work together to address the challenges faced by Skill India and ensure that it achieves its full potential.

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28 September, 2022

Skill Development in India: Challenges and Issues

• Economic Issues
• Human resource development
• Unemployment
• Demographic divident
• The 13th Federation of Indian Chambers of Commerce and Industry (FICCI) Global Skills Summit 2022 was recently inaugurated by the Union Skill Development and Entrepreneurship Minister.
• Theme: Making It Happen: Education to Employability.

What is the Current Situation of Skill Development in India?

• According to the 2015 Report on National Policy on Skill Development and Entrepreneurship, only 4.7% of India's total workforce had received formal skill training, compared to 52% in the United States, 80% in Japan, and 96% in South Korea .
• A National Skill Development Corporation (NSDC) skill gap study conducted between 2010 and 2014 revealed an additional net incremental requirement of 10.97 crores of skilled manpower in 24 key sectors by 2022.
• Furthermore, the farm and nonfarm workforce of 29.82 crore people needed to be skilled, reskilled, and upskilled.

Overburdened Responsibility :

• Phase III of the Pradhan Mantri Kaushal Vikas Yojana, which was launched in 2020-21 to provide skill development to over 8 lakh people.
• However, it suffers from an over-reliance on District Skills Development Committees , which are chaired by District Collectors and would be unable to prioritise this role given their other responsibilities.

Policy Process Discontinuity :

• The National Skill Development Agency (NSDA ) was established in 2013 to resolve inter-ministerial and inter-departmental issues and to eliminate duplications of the Centre's efforts.
• However, it is now a part of the National Council for Vocational Training (NCVT).
• This reflects not only a break in the policy process, but also some obfuscation on the part of policymakers.

A Massive Number of New Entrants:

• According to a 2019 National Skills Development Corporation (NSDC) study, 7 crore more people between the ages of 15 and 59 are expected to enter the labour force by 2023 .
• Given the sheer number of youth who need to be skilled, it is critical that policy efforts are adequate in every way.

Employers' Reluctance :

• India's joblessness problem is more than just a lack of skills; it also reflects a lack of appetite for recruiting on the part of industrialists and SMEs.
• The investment rate has declined as a result of limited credit availability due to bank NPAs, which has a negative impact on job creation.

Why is Workforce Skill Development Necessary?

Issues of Supply and Demand :

• On the supply side, India is failing to create enough job opportunities; on the demand side, professionals entering the job market lack skill sets. As a result, rising unemployment rates are coexisting with low employability.

Rising Unemployment :

• According to the Centre for Monitoring the Indian Economy (CMIE), India's unemployment rate will be around 7% or 8% in 2022, up from around 5% five years ago.
• Furthermore, the workforce shrank as millions of people dissatisfied with their job prospects left, a situation exacerbated by Covid-19 lockdowns.
• The labour force participation rate, which includes people who work or are looking for work, has fallen to 40% of the 900 million Indians of legal age, down from 46% six years ago.

Workforce Skill Shortage :

• While keeping up with job creation is one issue, the employability and productivity of those entering the labour force is another.
• According to the India Skills Report 2015 , only 37.22% of those polled were found to be employable - 34.26% of men and 37.88% of women.
• According to Periodic Labour Force Survey (PLFS) data 2019-20, 86.1% of those aged 15 to 59 had no vocational training . The remaining 13.9% had received training in a variety of formal and informal settings.

Demand for Skilled Workforce:

• The Confederation of Indian Industry (CII) forecasted 201 million incremental human resource requirements until 2022 , bringing the total skilled workforce requirement to 300 million by 2023.
• A large portion of these jobs were to be added in the manufacturing sector, with the National Manufacturing Policy (2011) aiming for 100 million new manufacturing jobs by 2022.

What are the different initiatives for skill development?

Pradhan Mantri Kaushal Vikas Yojana (Prakash Vikas Yojana):

• The flagship Pradhan Mantri Kaushal Vikas Yojana (PMKVY) scheme was launched in 2015 to provide short-term training, skilling, and apprenticeship through ITIs.
• Under this programme, the government has trained over 10 million youth since 2015.

SANKALP and STRIVE :

• Other significant skilling interventions include the SANKALP programme, which focuses on the district-level skilling ecosystem, and the STRIVE project, which aims to improve the performance of ITIs.

Several Ministries' Initiatives:

• Twenty central ministries/departments implement nearly 40 skill development programmes. The Ministry of Skill Development and Entrepreneurship is responsible for approximately 55% of the skilling achieved.
• Since 2015, initiatives from all ministries have resulted in nearly four crore people being trained through various traditional skills programmes.

Mandatory CSR Spending on Skill Development :

• Since the implementation of mandatory CSR spending under the Companies Act, 2013, corporations in India have invested over 100,000 crores in a variety of social projects.
• Approximately 6,877 crores were spent on skilling and livelihood improvement projects. The top five recipients were Maharashtra, Tamil Nadu, Odisha, Karnataka, and Gujarat.

TEJAS Skill Development Initiative:

• TEJAS (Training for Emirates Jobs and Skills), a Skill India International Project to train Indians living in other countries, was recently launched at the Dubai Expo 2020.
• The project aims to train, certify, and employ Indians abroad, as well as to create pathways for the Indian workforce to be prepared for skill and market requirements in the UAE.

The Way Forward

• The most important aspect of our country's development is skill development. India has a large 'demographic dividend,' which means it has a large potential for providing skilled labour to the labour market . All stakeholders, including government agencies, industries, educational and training institutions, and students, trainees, and job seekers, must work together to achieve this.

Read Also : Government efforts for Skill Development and Entrepreneurship

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Skilling the Youth of India – UPSC Mains Essay

September 27, 2019 by Sandeep

500+ Words Essay on Skilling the Youth of India

When a toddler starts observing adults around him, he tries to do them on his own by trying many times by himself. This art of observation leads the child to attempt to start walking, talking, eating etc. This is how a child picks up skills from his surroundings. Similarly, adults also have a bunch of knowledge embedded in their brains.

It’s only with proper training that these could become skills that may be used in employment, growth, jobs etc. The requirement of the day is to properly guide the youth towards skill building so that they become assets for the country’s future.

Importance of skill building in youth

In the present scenario, we can find many women wanting to leave behind their jobs to look after their families and children. In a nuclear set up, this is a common situation forcing women to quit their jobs. Many women possess knowledge about a wide range of activities that help them keep themselves occupied at home.

If these areas of their interest receive relevant formal training, they could be turned as income generators for the family. Similarly, the youth of this country possess good ideas, if when implemented could turn our nation into a superpower someday. But to provide them a platform and direction where their skills could be moulded, trained and applied, they require help and assistance.

Education, Skills and Employment

Our education system has for long encouraged the rote system of learning where everything is learnt conceptually and the application of the same concept in practical terms takes a backseat. For instance, let’s assume a girl who wants to learn to cook for the first time. If her mother told her the recipe of a dish verbally and expected the girl to cook in an excellent way, she may not be able to do it up to the mark.

On the other hand, if the mother practically demonstrated the preparation of the dish along with giving the recipe, the girl would pick it up even faster. The scenario in the second case helps build the girl’s skills in cooking because she gets a chance to observe, learn and apply things practically.

Similarly, our education system is definitely helping the youth of this country to become literates, but is not building their skills to make them employment ready. Our education system provides a platform of knowledge where students have to take that extra effort to turn the acquired knowledge into applicable ideas.

The youth of the country, once they complete their education, go out in search of jobs. Once they acquire a good job, they apply their learnt knowledge practically. Here, they are assisted by their company to acquire relevant job skills through training that could be both generic as well as customized for their own company.

So, knowledge plus training to apply the knowledge becomes a set of skills acquired by the person. These skills are further polished as the person gathers more experience at his job area. So mastering one’s acquired skills makes a person an expert in his chosen field.

But this kind of skill acquisition and skill building is more reachable to the cream of the population. It is not reachable to the masses and this is the ugly truth of our nation. People in the urban areas mostly get absorbed into companies of their choice based on the knowledge and skills they have acquired together with relevant experience, thus helping them build a good career of their own.

But the people in the rural areas may not necessarily have access to these super facilities and may thus lack in skills required to make them employable. India is the largest democracy in the world and villages are where the bigger chunk of the population lies. So, when development focuses only on cities and leaves out the rural areas, it is actually missing out on a valuable treasure of skills that could be brought to the surface to shape the future of India.

Every person is gifted with his own skill set, which when recognized, trained and applied becomes an asset to the country. Our government has taken many initiatives to cater to a wide class of people in helping them build their skills and upgrade their knowledge, to take our country to greater heights of development.

Schemes by the Government

Pradhan mantri kaushal vikas yojana (pkvy).

The government has taken up many initiatives and development activities to improve skills of the members of the lower strata of society. Daily wage workers, laborers and the unorganized working class, etc can reap benefits from such schemes.

The main intention of this scheme it to help the enrolled people build such skills that directly helps them in their employment area. Skills are standardized and are imparted to these people to help them master their areas efficiently.

Skill India

July 15th, 2015 was a wonderful day in history when Prime Minister Shri Narendra Modi launched a massive campaign to recognize important skills that need to be imparted to the people in order to help them in their employment areas or rather to make them employable by uplifting their skills in relevant areas. Our prime Minister has set a goal of reaching out this campaign to almost 40 crore deserving people by the year 2022.

Standup India

In the immediate year following 2015, i.e. in April 2016, our prime minister launched another massive campaign to take skill development to another level. This time he targeted women and also people belonging to the scheduled caste and tribes.

This scheme was a massive launch, since it brought the message of women entrepreneurship to the fore and encouraged women to become entrepreneurs from their comfort zones. To encourage their participation, their relevant skill building responsibilities were taken up by the Stand up India campaign.

Skill building

The youth of today are encouraged to think above their school and college curriculum and acquire the market-relevant skills which make them job-ready and provides wide choices in employment. Our country is also encouraging public-private partnerships in preparing the curriculum for training packages, both at the college level and at job areas to achieve world class expertise in skill development.

These days we have heard of boot camps where specific skills are targeted to a larger audience to help them achieve expertise in their chosen fields. Skill loans are also being funded and thought of as a prospective scheme by the government to achieve upgradation of learnt skills at the higher level to promote interest in research and development.

In keeping with these views and developments, the areas of education, employment and skill building have become prominent features of Corporate Social Responsibility (CSR) funding platforms.

A national Policy on skill development has been undertaken by the government to look into individual growth and employ-ability index and to see an upsurge in making the youth of this country job-ready and to help them keep pace with the changing face of science and technology.

The development of a country is reflected in its GDP and this rise can be positively affected only when the country achieves overall development in every phase of growth. Our country has a youth population in majority that helps in promoting the welfare of the nation.

To help the youth contribute to the country’s growth and development, we have to upgrade their skills through necessary schemes and partnerships and provide them platforms to showcase their talent on a global level.

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• Skill India Mission

Skill India Mission [Govt. Schemes for UPSC]

Skill India Mission is a government scheme launched in 2015. It is an umbrella scheme that has many skilling schemes and programmes under it. The chief objective is to empower the youth of the country with adequate skill sets that will enable their employment in relevant sectors and also improve productivity. Government schemes are an important part of the UPSC syllabus .

Skill India Mission – Latest Updates

• Assam’s Chief Minister Sarbananda Sonowal laid the foundations for the first East India Skills University in the Darrang district, which aims to educate more than 10,000 students in 12 disciplines.

Aspirants would find this article very helpful while preparing for the  IAS Exam .

Skill India Objectives

The chief objective of the Skill India Mission is to provide market-relevant skills training to more than 40 crore young people in the country by the year 2023.

• The mission intends to create opportunities and space for the development of talents in Indian youth.
• It aims to develop those sectors which have been put under skill development for the last many years, and also to recognize new sectors for skill development.

Other objectives are:

• Closing the gap between skill required by the industry and skills people possess for employment generation.
• Reducing poverty in the country.
• Increasing the competitiveness of Indian businesses.
• Ensuring that skill training imparted is relevant and of quality.
• Preparing Indians to take on the world manpower/resources market.
• Diversifying the existing skill development programmes to meet today’s challenges.
• Building actual competencies rather than giving people mere qualifications.
• Offering opportunities for lifelong learning for developing skills.
• Augmenting better and active engagement of social partners and building a strong public-private partnership in skill development.
• Mobilising adequate investments for financing skills development sustainable.

Features of Skill India

There are many features to the Skill India Mission that make it different from the previous skill development missions.

• The focus is on improving the employability of the youth so that they get employment and also enhances entrepreneurship among them.
• The mission offers training, guidance, and support for all traditional types of employment like weavers, cobblers, carpenters, welders, masons, blacksmiths, nurses, etc.
• New domains will also be emphasised on such as real estate, transportation, construction, gem industry, textiles, banking, jewellery designing, tourism, and other sectors where the level of skill is inadequate.
• Training imparted would be of international standards so that India’s youth get jobs not only in India but also abroad where there is demand.
• An important feature is the creation of a new hallmark ‘Rural India Skill’.
• Customised need-based programmes would be started for specific age groups in communication, life, and positive thinking skills, language skills, behavioural skills, management skills, etc.
• The course methodology would also not be unconventional and would be innovative. It would involve games, brainstorming sessions, group discussions, case studies, and so on.

Why does India need a skills development programme?

As of a 2014 report, India’s formally skilled workforce is just 2%. Additionally, there is a huge problem of employability among the educated workforce of the country. Lack of vocational or professional skills makes it difficult for the youth to adapt to changing demands and technologies of the marketplace. The high level of unemployment is due to the failure to get jobs and also due to a lack of competency and training.

• A study by the Skill Development Council (NSDC) indicates that there will be a need for around 12 crores of skilled manpower by 2022 across 24 key sectors.
• Casual workers, who constitute about 90% of the labour force, are poorly skilled as they do not get adequate training. Current vocational training programmes do not meet their demands.
• There is a problem of social acceptability when it comes to vocational education. Vocational courses are looked down upon and this needs to change.
• Another factor that acts as an obstacle to skill development in India is the myriad labour laws. However, the government has started simplifying and codifying the labour laws. With simpler laws, practising skill development should be easier.
• Changing technology is a big challenge and opportunity for the labour force. Employees will have to constantly upgrade their skills if they are to remain relevant in the job market.
• There is a problem with the lack of infrastructure in the current training institutes.
• Another problem is the poor quality of trainers available. Students trained by such trainers are not employable in the industry.
• There is a big issue with the standardisation of skills in the country. New schemes are designed to resolve this issue by having nationwide standards that also stand up to international benchmarks.

Skilling is important because of the following factors:

• Demographic dividend: Most major economies of the world have an aging population. India, with a favourable demographic dividend, can grab this opportunity and serve the manpower market. But, for this adequate skilling is to be provided to up the employability. To capitalise on this, there is only a narrow demographic window, that of a few decades.
• The percentage of the workforce receiving skill training is only 10% in India which is very small compared to other countries – Germany (75%), Japan (80%), South Korea (96%).
• Sectoral mobilisation: As productivity improves in agriculture due to increased mechanisation, there will be fewer people required in the farming sector. There will thus be a shift from this sector to other secondary and tertiary activities.

Sub-schemes under Skill India

Skill India is an umbrella mission under which there are multiple schemes and programmes with specialised focus areas. The sub-schemes are as follows.

National Skill Development Mission (NSDM)

The NSDM was launched for creating convergence across various sectors and different states with respect to activities relating to skills training. The mission, apart from consolidating and coordinating skilling efforts, would also facilitate decision making across sectors to achieve quality skilling on a large scale.

For more on the National Skill Development Mission , click on the linked article.

Pradhan Mantri Kaushal Vikas Yojana (PMKVY)

PMKVY is a skill certification scheme that aims to encourage the young population of the country to take up training which is industry-relevant and builds them in skill development.

The scheme contains many specialised components such as the National Skills Qualifications Framework (NSQF) , Recognition of Prior Learning (RPL), Kaushal, and Rozgar Melas among others. For more on the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) , click on the linked article.

Indian Skill Development Service

The Indian Skill Development Services (ISDS) is a new central government service that has been created especially for the training directorate of the Ministry of Skill Development and Entrepreneurship. It is a Group ‘A’ service and is expected to give a big push to the government’s skilling initiatives by drastically enhancing the effectiveness and efficiency of the various schemes in this domain. The qualifying exam for this service is the Indian Engineering Service Exam conducted by the UPSC. The idea behind the ISDS is to attract young and talented people into the skill development domain and make skilling initiatives successful in the country.

National Policy for Skill Development and Entrepreneurship 2015

The chief objective of this policy is to match the challenge of skilling at scale with speed, standard (quality), and sustainability. It aims to offer an umbrella framework to all skilling activities carried out within India, to align them to common standards and connect skilling with demand centres. In addition to laying down the objectives and expected outcomes, the policy also identifies the overall institutional framework which will act as a means to achieve the expected results. 

Skill Loan Scheme

Under this scheme, loans ranging from Rs.5000 to Rs. 1.5 lakhs will be provided for those seeking to attend skill development programmes. The idea behind the scheme is to remove financial hurdles for people who want to upgrade their skills and learn new skills.

Other schemes:

The Ministry is implementing many other schemes in the skill development domain along with the above major schemes. One such important scheme is the Pradhan Mantri Yuva Udyamita Vikas Abhiyan (PM-YUVA).

• It is a centrally-sponsored scheme related to entrepreneurship education and training.
• The development and education of entrepreneurship to all citizens free of cost through Massive Open Online Courses (MOOCs) and eLearning systems.
• The designing of assessment and certification mechanism for the same.
• To equip institutes (schools and colleges) to help them deliver entrepreneurship educational programmes of global standards.
• Also to focus on social entrepreneurship promotion.
• The creation of an online web-based platform that connects entrepreneurs, investors, financial institutions, and business services such as legal, accounting, HR, and technology services.
• The setting up of a national mentor network for budding entrepreneurs.
• Create a network of incubators, credit agencies, business service providers, and accelerators.
• Establishment of a National Entrepreneurship Resource and Coordination Hub to coordinate and support entrepreneurship development programmes.
• The creation of a culture of dynamic entrepreneurship by way of branding and the media.
• Promote entrepreneurship research and advocacy.
• Include social entrepreneurship awareness programmes for the marginal sections like SC/ST and minority.

Apprenticeship Protsahan Yojana:

This scheme revamps the Apprenticeship Act, 1961 to make the legal framework conducive to both the industry as well as young people.

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Skill India Mission – Indian Polity:- Download PDF Here

UPSC Questions related to Skill India

Why was the skill india mission started.

The Skill India Mission was started to provide market-relevant skills training to more than 40 crore young people in the country by the year 2022.

Why skill development is important?

Skills development is important for making the youth employable in various sectors and also to meet the requirements of the industry in today’s changing environment.

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Skill India Essay

Skill India essay for Class 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11 and 12. Find a paragraph, long and short essay on Skill India for Students.

Essay on Skill India

Skill India Essay 300 words

“The more we give importance to skill development, the more competent will be our youth.”-Narendra Modi

Above statement shows that how skill is important for the development of our youth. To support this, our Prime Minister has launched SKILL INDIA initiative on 15th July 2015. This initiative is implemented by Ministry of Skill Development and Entrepreneurship.

The objective of this initiative is to train over 40 crore youth in India in different skills by 2022. It includes various initiative of the government like “National Skill Development Mission”, “National Policy for Skill Development and Entrepreneurship, 2015”, “Pradhan Mantri Kaushal Vikas Yojana” and the “Skill Loan Scheme”.

The main emphasis is to skill the youth in such a way that they get employment. Under this scheme training, support and guidance would be providing for all occupations. The training provided would be along the lines of a global level so that youth can go to work in another country.

However, this scheme is facing many challenges. The major challenge is to address the needs of a vast population which demanded better skills to get employment in the market. Other challenges include the creation of an institutional mechanism for research development, quality assurance, and certification. In order to implement this scheme successfully, the government should give emphasis on increasing role of states and ensure gender inclusion in this scheme.

It is a good initiative taken at the right time when our 65% population are below 35 years of age. It will help India in becoming a hub of a skilled and talented workforce which can drive India on a growth trajectory.

Skill India Essay 600 words

We constantly hear of the term ‘Demographic Dividend’ and the potential benefits that we can reap from it. To make the most of it the Government of India formally launched the Skill India mission on the occasion of the first-ever World Youth Skills Day on July 15, 2015. The Government has set a target of training over 40 crore people in various skills by 2022 with the Skill India mission.

There were various initiative under this campaign like National Skill Development Mission, National Polity for Skill Development and Entrepreneurship 2015, Pradhan Mantri Kaushal Vikas Yojana (PMKVY), Skill Loan Scheme and Rural India Skill.

Expected to realize the demographic dividend in the coming years, India has the potential to become the ‘human resource capital of the world just like China has become the ‘manufacturing factory’ of the world. The positive demography makes the Skill India mission very important for the overall economic growth of the country. For instance, the average age of the Indian population, in 2020, is expected to be 29 years, younger than China and the US at 37 years and Western Europe at 45 years.

The Skill India mission is expected to be the backbone for important government initiatives like Digital India, Smart Cities and Make in India. In fact, as the mission is not limited to skill, but also includes entrepreneurship, it is expected to play a critical role in further development of the booming ecosystem for first generation entrepreneurs in the country.

The magnitude of the problem has been analysed by numerous experts: for a country that adds 12 million people to its workforce every year, less than 4 percent have ever received any formal training. Our workforce readiness is one of the lowest in the world and a large chunk of existing training infrastructure is irrelevant to industry needs.

This is not as much due to lack of monetary investment as it is a predicament about grossly inefficient execution. The government spends several thousand crores every year on skill development schemes through different Central Government Ministries and State Governments. The need of the hour is to improve resource utilization and find solutions that can address the systemic and institutional bottlenecks constraining the sector.

We see a lot of mismatch in skills provided. There is a mismatch between what market is looking for and what people are trained at because of which there have been issues regarding placements.

Another challenge is the mindset of the people from the last 100s of years. People are looking at professions like doctors, engineers, charted accountants etc, but at present, there are 1600 job, roles which many even don’t know.

For example, the society may not accept a plumber even if he is earning 1lahk per month during the marriage proposal. So there is still a lot to be done in India like educational programmes especially for parents where they start sending their children towards skill development. There is a need for the mindset change. Whether it is in agriculture, manufacturing or services, we need to create respect for that particular job. Creating awareness and creating respect for skills is very important.

India’s less-privileged sections want to live with respect and that acquisition of skills will give them energy and confidence.

There will be a shortage of 55 million workforces in the world by 2022 whereas India will have a surplus of 47 million workforces. We need to create a standard for skill training and make it Transnational so that the trained worker can be absorbed world over otherwise the demographic dividend would become a challenge.

It is the time we need to start looking at the requirement of international organizations where India can become the source for hiring people. During the 1950s the mechanical revolution changed the European economy. During the 1970s it was the oil economy for the Middle East. Can’t 2020 be a manpower revolution which changes the Indian economy? The prime minister is looking for making India the skill capital of the world. India may have not become the superpower but it has the potential to achieve the human resource superpower.

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India to Build Chip Manufacturing Ecosystem, Talent Pool

India is known for its semiconductor design expertise, which has been successfully nurtured since the 1980s. However, manufacturing capability and capacity has been limited despite having built a fab as far back as 1983 in the form of Semiconductor Complex Limited (SCL), established by M.J. Zarabi, considered one of the pioneers of the current chip industry in India.

The geopolitics of recent years have changed that inertia in developing the manufacturing ecosystem, and now there are several active efforts to build that capacity and resilience in the electronics and system design, and manufacturing value chain in India. Over the last year, the government has been busily courting local and global players to catalyze this local capability.

As a result, Micron Technology announced big investments in India last year for a chip assembly and test plant in India—along with state and government support, it is reported this could amount to a total investment of $2.75 billion. Earlier this year, the Indian government approved the establishment of three semiconductor units under the Development of Semiconductors and Display Manufacturing Ecosystems in India plan: a fab Tata Electronics in the state of Gujarat in partnership with Taiwan’s PSMC; another Tata outsourced semiconductor assembly and test (OSAT) facility in the state of Assam in north east India; and an assembly, test and packaging facility by CG Power in partnership with Renesas Electronics Corporation.

As the country went to the polls for its general election, EE Times took the opportunity to talk to executives across the whole value chain from design to manufacturing to understand both the ambition, as well as the reality and path to building out the manufacturing ecosystem in India.

What was clear from our conversations was that while India excels in creating the chip designs for the rest of the world, there is little that is created as IP for products designed in India specifically for the Indian market. Many talked about the ambition to do that. Some felt there was not a mindset in India to build a fabless company that could scale on the back of creating chip designs manufactured in India for global markets.

Many companies still provide outsourced design services and are succeeding well at that—all while still have massive growth plans (one company told me it had agreements for some $1.3 billion worth of orders for designing chips for leading global customers). Another company, SmartSoC Solutions, told me they had grown “silently” since being established in 2016 to develop a customer base of over 45 companies, including key players like AMD, Google and Samsung.

But there are some success stories for home-grown Indian consumer products manufacturers. BoAt Lifestyle is one such company, which has grown to become the world’s number two (by volume) manufacturer of true wireless earbuds, and India’s number one audio and wearables brand. The company’s co-founder and CEO spoke to us about the challenges of producing consumer electronics products for the Indian market, from the end-user requirements and sourcing chips, to their path to doing more of the manufacturing in India.

When it comes to manufacturing, while various fabs and OSATs were being commissioned, the biggest gap in the industry is talent to staff those facilities. This is why Kaynes Semicon has partnered with training and recruitment experts to develop centers of excellence and bring apprentices out of universities into finishing schools.

To get a snapshot of the entire value chain, from design and manufacturing (plus the training and skills needs), we recorded a series of video interviews with some key players in the Indian market, which you can watch below.

Sameer Mehta: Developing and Growing an Audio and Wearables Brand

“We wanted to make products suited to the Indian audience and aesthetically better than what was available, and more aspirational,” Mehta said. He highlights some of the challenges at the beginning: for example, getting first-party support from chip manufacturers, which meant having to work with ODM partners in China. In 2020, the company started its own R&D lab.

“It was a tough journey, but now we have scale, the chip manufacturers now support us. We were initially making 100% in China. The ecosystems didn’t exist in India. But in the last 2-3 years, government incentives have helped,” he added.

Mehta said the company now manufactures 70% of its devices in India now. He talks about enabling product differentiation using custom software over a low-cost chip, allowing them to give the same experience as any other brand in the world.

Raghu Panicker, Kaynes Semicon: An OSAT Targeting HPC and Beyond

He talks about Kaynes’ investment in the next wave of growth—HPC, for data centers in India, and becoming an AI enabled OSAT.

He also talks about the contract that Kaynes has just won from the government-owned Centre for Development of Advanced Computing (CDAC) to supply 3,000 RUDRA high-performance computing (HPC) servers. These were designed in-house by Kaynes, to be used for building the PARAM RUDRA supercomputing systems under the country’s national supercomputing mission.

Hitesh Garg, NXP Semiconductors: The Indian Design and Startup Ecosystem

Satya Gupta: Changing the Way Electronics and VLSI Design is Taught

Bhanupriya Krishna: Developing the Skills Base for Semiconductor Manufacturing

Rohin Y: Developing Optoelectronic Processors for Data centers and Near-Edge Compute

Pradeep Vajram: The Semiconductor Investor Perspective

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Nitin Dahad is Editor in Chief of embedded.com, as well as a correspondent for EE Times. An electronic engineering graduate from City University, he’s been an engineer, journalist and entrepreneur. He was part of ARC International’s startup team and took it public, and he co-founded a publication called The Chilli in the early 2000s. Nitin has also worked with National Semiconductor, GEC Plessey Semiconductors, Dialog Semiconductor, Marconi Instruments, Coresonic, Center for Integrated Photonics, IDENT Technology and Jennic. Nitin also held a role with government promoting U.K. technology globally in the U.S., Brazil, Middle East and Africa, and India.  Follow Nitin on LinkedIn

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