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Skill Development in India

Skills and knowledge are the driving forces of economic growth and social development for any country. Countries with
higher and better levels of skills adjust more effectively to the challenges and opportunities of world of work. In india, the
workforce in 15-59 age bracket is on the rise. It is important to impart skills to this workforce to get employed and help in
economic growth of the country and would provide an opportunity to achieve inclusion and productivity within the country
and also a reduction in the global skill shortages. It is also important that the policies of skill development be linked to
policies in the economic, employment and social development arenas.
A task of skill development has many challenges which include:a) Increasing capacity & capability of existing system to ensure equitable access to all.
b) Promoting lifelong learning, maintaining quality and relevance, according to changing requirement particularly of
emerging knowledge economy.
c) Creating effective convergence between school education, various skill development efforts of government and between
government and Private Sector initiative.
d) Capacity building of institutions for planning, quality assurance and involvement of stake holders.
e) Creating institutional mechanism for research development quality assurance, examinations & certification, affiliations
and accreditation.
f) Increasing participation of stakeholders, mobilizing adequate investment for financing skill development, attaining
sustainability by strengthening physical and intellectual resources.
India has target of creating 500 million skilled workers by 2022. National Vocational Qualification Framework (NVQF) will
provide quality assured various learning pathways having standards, comparable with any international qualification
framework and will permit individuals to accumulate their knowledge and skills, and convert them through testing and
certification into higher diplomas and degrees. Partnerships will be consciously promoted between Government, industry,
local governments, civil society institutions and all potential skill providers. Availability of public institutions above the high
school level, after class hours for skill development by the Private Sector, without disturbing the normal working, will be
explored. The Government would aim at useful public-private partnerships. The States being the key actors in Skill
Development would set up overarching integrated framework for action for Skill Development through State level Skill
Development Missions. National Skill Development Corporation will support private skill development initiatives. The
enabling infrastructure for large number of formal apprentices needs to be built that includes modification to the Apprentices
Act, 1961.
Institutional Arrangements

Prime Ministers National Council on Skill Development.


National Skill Development Co-ordination Board


National Skill Development Corporation

It is a non-profit company under the Companies Act 1956 with an appropriate governance structure. Establishment
of a well structured sector specific Labour Market Information System (LMIS) to assist planning and delivery of
training. Participation in affiliation, accreditation, examination and certification.

School education would be strengthened to reduce the school drop outs. The quality of school education will influence the
effectiveness of skill development programme as a whole. Quality and relevance of skill development are key to Indias
global competitiveness as well as improving an individuals access to decent employment.
Occupational patterns are changing; new jobs and job titles, job enlargement, job enrichment, and new flexible work
arrangements are emerging. Employment demands are shifting towards higher skill categories. Knowledge professionals will
need support from middle-skilled workers in new knowledge and technology areas. The skill development system will need
to meet this challenge. The response time is limited as the rate of change is high and accelerating. Research will be a key
strategy for managing change and benefiting from it.

National Skill Development Agency (NSDA) that would subsume the functions of three key organizations the Prime
Ministers National Council on Skill Development (PMNCSD), the National Skill Development Coordination
(NSDCB) and the Office of the Adviser to the PM on Skill Development. The agency will work to meet the increasing need
for skilled population, in both the public and private sectors.
Training in various construction and building sub-sectors, which are critical to infrastructure, are not offered in the ITI
curriculum. Large industrial houses had to reportedly source skilled workforce from China, Indonesia and the Philippines
amid issues of acute shortage and low productivity of labour in the respective regions.
Potential role of the industry in implementing the skill development program:

Setting up skill development institutes

The NSDC supports the creation of these enterprises through funding up to 75% of the operating and capital
expenses, with the balance being supported by the industry.


Assisting in capacity expansion

Given the limited capacity of ITI and other constraints, the industry could use its resources, such as on the-job training, to
enhance the skills of the growing workforce and scale up current programs.


Setting quality standards

The industrys most crucial role could be in the setting of standards

through NSDC-approved SSCs.

and defining National Occupational Standards (NOSs)

Assisting in special initiatives

Udaan, Himayat, N-E states.


Supply of trainers

CSR: making skills a responsible activity:

Integration of skill development objectives with CSR objectives, for instance, by supporting community training initiatives
and Internal training provision for existing employees.
Building public perception about vocational education:
In India, skill development through vocational training is yet to achieve acceptance as a viable alternative to formal
education. Most of the prospective students in the country are not willing to substitute the two, due to several reasons.
Firstly, students lack awareness about industry requirements and vocational courses available to meet such requirements.
Secondly, they do not vouch for the credibility of vocational courses, as they do not have adequate evidence of people
receiving jobs after completing vocational courses. Moreover, they are not aware on how vocational courses can improve
their career prospects. Lastly and most importantly, the low prestige associated with vocational streams or blue collar jobs
prevents youth from taking vocational education. Young people increasingly prefer to opt for white collar jobs. Limited
integration between formal and vocational education systems, and low compensation levels among people with such skills,
contribute toward the development of this perception. It is evident that the success of skill initiatives is highly dependent on
awareness generation programs targeted at the youth.