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ABSTRACT
For the 12th Plan (2012-2017) , preliminary exercises suggest that investment in infrastructure will have to expand to US$ 1,000 billion
(Rs. 45,00,000 crore). As a modest estimate, about 40 per cent of these investments would directly contribute to construction activities.
This implies estimated expenditure of Rs 360,000 crore in construction sector per year. This does not include real estate and other
construction activities. A successful infrastructure development strategy depends critically on implementation of durable and quality assets.
Construction Sector offers huge potential for employment creation for skilled and unskilled workers. Over the last decades there has been
significant drop in the percentage proportion of qualified engineers and skilled work force employed in the construction sector. The
Working Group on construction sector set up by the Planning Commission for the Eleventh Five Year Plan has estimated the growth in
demand for employment at a rate of 8 to 9 per cent per annum implying addition to existing stock by around 2.5 million persons per year.
Currently, the number of workers in the construction sector would be 42 million. Per worker output in this sector is the lowest among all
non-agriculture sectors with a discernible declining trend. Only 2.3 per cent received formal training. The proportion of engineers,
technicians and skilled workers is declining and is not commensurate with the level of investments. The proportion of the unskilled
workforce is increasing. This is a disturbing trend and would lead to poor quality of construction and inferior quality of infrastructure assets.
This Paper highlights the issues and challenges in the skills development for the unorganised workers in the construction activities with
particular reference to the road sector. It recommends a strategy that aligns itself with the "Skills Development Initiative" (SDI) of the
Government of India. This proposed strategy would evolve a new strategic framework for skill development for early school leavers and
existing workers, especially in the un-organised sector in close consultation with industry and sectoral infrastructure organizations,
international agencies (ILO, World Bank & ADB) and the Indian Roads Congress with the support of Director General (Employment and
Training), Ministry of Labour and Employment, Government of India and the Planning Commission.
1.3 Table 1 gives a broad break up of the workforce construction sector is bottom heavy with over 80 per cent
in construction activities as per the assessment done by workers being unskilled. This is a disturbing trend as it
the Working Group for Construction Sector for the could lead to poor quality of infrastructure creation. The
Eleventh Five Year Plan set up by the Planning Working Group estimated the growth in demand for
Commission. It would be seen that over the last decade, employment at a rate of 8 to 9 per cent per annum implying
there is significant drop in the percentage proportion of addition to existing stock by around 2.5 million persons
qualified engineers and skilled workers employed in the per year. Currently, the number of construction workers
construction sector. The structure of employment in the is estimated to be 42 million.
1.4 The major issue facing the construction sector is 2026, up from 62.9 per cent in 2006. Other projections
that about 80 per cent of workers are casual. Since most also indicate emergence of a young India with 800 million
of the employment is in the informal sector, it calls for in the productive age group by 2015.
special attention to aspects such as occupational health,
2.2 The trend of an ageing, shrinking population is
safety of workers, social protection, timely payment of
visible across much of the developed world. It is now
wages and non-discrimination due to gender as per the
for developing countries, like India to benefit from the
various labour laws. Per worker output in this sector is
much awaited demographic dividend. In 2020, the average
the lowest among all non-agriculture sectors with a
Indian will be only 29 years old compared to average of
discernible declining trend. Only 2.3 per cent received
37 years for China and USA, 47 years for Western Europe
formal training. Manual unskilled labour in large numbers and 48 years for Japan. If we wish to realize this one
has entered the construction sector. This indirectly implies time opportunity, then investing in youth and preparing
need for upgrading of skills to improve productivity and them to meet the future challenges is the only option.
quality in construction. Otherwise, this demographic dividend could turn into a
1.5 It is one of the sectors providing high employment "demographic nightmare" if these youth continue to
opportunities to women though physical safety of women indulge in destructive Maoist activities.
workers is often at stake. There is high concentration of 2.3 Within the construction sector, roads need a
migrant workers, particularly seasonal migrant workers. special emphasis as most ITIs and Polytechnics have
It is extremely important to study the dynamics of migrant bypassed the needs of the roads sub-sector. In this context,
workers and address their needs. it may be mentioned that the World Bank undertook a
road construction industry study recently. Table 2 provides
2 THE SKILL CHALLENGE IN THE ROAD an analysis of projected investments in three scenarios.
SECTOR Scenario 1 is business as usual. Scenario 2 relates to
medium growth rate, in accordance with the vision
2.1 India's Eleventh five year Plan (2007-12)
documents of the states and the country and Scenario 3
indicates that "generation of productive and gainful
relates to high growth rate, incorporating massive
employment, with decent working conditions on a
investments in national highways and rural roads as
sufficient scale to absorb our growing labour force, must
proposed by GOI.
form a critical element in the strategy for achieving
inclusive growth". The ability to sustain labour-intensive 2.4 As per that Study, based on the past trend, a
growth depends on the expansion of the labour force's rough estimate has been made of the distribution of
capabilities with skills and knowledge as driving forces increased demand scenarios for the different contract
of economic growth and social development. According sizes for all types of road contracts in the country up to
to the 2007-08 Economic Survey, 64.8 per cent of India's 2014-15 . The contract sizes assumed for this analysis
population would be in the working age of 15-64 years in are Large (>Rs 125 crore, i.e. $28 million), Medium
Year 2007-08 08-09 09-10 10-11 11-12 12-13 13-14 14-15 Total
Scenario 1 267.0 277.0 284.2 292.6 301.3 310.3 319.5 329.0 2 384
Scenario 2 355.5 376.3 385.9 410.3 446.4 484.3 523.0 564.1 3 546
Scenario 3 586.5 740.0 853.1 861.6 874.4 488.7 493.5 498.6 5 396
(Source: World Bank Report - Indian Road Construction Industry, Oct.2007) (Rs. 1 billion i.e Rs 100 crore)
(Rs 40-125 crore), Small (Rs 5-40 crore) and Very Small contractors, the present pool of contractors has tried to
(<Rs 5 crore i.e.$1 million). The number of actual Indian meet the demand of the past five years. Results have
contractors capable of doing the medium to large road been mixed. According to the Study (Table 3), there is a
contracts may not exceed 45-50. By associating among need to at least double, if not triple, the pool of contractors
themselves and with foreign contractors present in India at different levels to be able to meet the demand foreseen
(who number about 10-12) as well as with smaller under Scenarios 2 and 3.
2.5 The World Bank Report has projected total 2.6 The analysis on the investment climate and
human resources requirement on an approximate basis, business environment in the road sector ranked the various
empirically correlated with the investments/turnover. The parameters as presented in Table 5. It will be seen that
average estimated requirement over the next eight years availability of skilled staff and operational issues, like,
is given in Table 4. This includes staffing gaps in the road land, licenses and clearance, governance have the highest
agencies at central and state levels, contractors and ranking.
consultants. The skill types considered include full-fledged Table 5 Ranking of Investment Climate
engineers to technical and mechanical staff. Presently Issues in the Road Sector
about 6,000 fresh engineers and diploma holders join the
Parameters Ranking
road sector workforce each year, offsetting a similar
number of retirements. But this does not cover the needed Availability of skilled staff 1
annual increment of 7,500-10,000 of such persons to meet Operational issues: land, licenses and 1
the demands of Scenario 1 over the next eight years. clearances, governance
The current pool of skilled and semi-skilled persons is Taxation issues 2
estimated to be about 110,000 in the road construction Materials cost and availability 2
sector. Scenarios 2 and 3 would require two to three times Contract enforcement and dispute resolution 2
these numbers. It is imperative to undertake the measures
Barrriers to entry 3
needed to meet the challenge of filling in this gap of skilled
workers in this sector. Subsidies and fiscal concessions 3
Finance cost and availability 4
Table 4 Yearly Skilled Human Resource
Sector policy and institutional structure 5
Requirement
Import procedures 6
Skilled HR Reqd Scenario 1 Scenario 2 Scenario 3 Infrastructure issues 6
Average (approx) 150 000 200 000 280 000 Industry structure 7
(Source: World Bank Report - Indian Road Construction (Source: World Bank Report - Indian Road Construction
Industry, Oct.2007) Industry, Oct.2007)
b) A large well-resourced Programme on Skills 4.1.2 The concept for the MES is:
Development Initiative has been launched to
a) Identification of minimum skills set which is
provide vocational training to 1 million persons in
considered sufficient to get employment in the
the next 5 years and thereafter 1 million persons labour market.
every year in modular employable skills;
b) Skills up-gradation, multi-skilling, multi entry and
c) 1500 new ITIs and 50,000 Skill Development exit, vertical mobility and life long learning
Centres are being established. opportunities.
The Skill Development Initiative (SDI) supports c) Recognition of prior learning (certification of skills
employment generation, economic growth and social acquired informally).
development processes. Skill development policy and d) The modules in a sector, for example roads, when
programmes will be an integral part of the comprehensive grouped together could lead to a qualification
economic, labour and social policies and programmes. equivalent to National Trade Certificate or higher.
Only about 25 lakh vocational training seats are available
e) Courses could be available for different levels in
in the country, whereas, about 1.28 crore persons enter
different vocations depending upon the need of
the labour market every year. Even out of these training the employer organizations.
places, very few are available for early school dropouts.
Thus, a large number of school drop-outs do not have 4.1.3 For the construction workers in the road sector,
there is huge demand for trades, like, surveyor, excavator
access to skill development for improving their
operator, motorized grader operator, stone crusher
employability. The educational entry requirements and
operator, laboratory technician, earth moving equipment
long duration of courses of the formal training system operator, road roller operators, etc. Other trades like
are some of the impediments for a person of hot-mix plant operator, concrete mixer operator, mate,
low educational attainment to acquire skills for his and spray man, store keepers, materials specialists also
livelihood. needs to be covered to meet the demand. Very few
opportunities for skill development are currently available HUDCO, IGNOU, private sector companies, such as,
for these trades. Most of the existing Skill Development Larsen &Toubro, Hindustan Construction Company and
programmes are long term in nature. Poor and less ITIs. However, there is need to consolidate and upscale
educated persons can not afford long term training these efforts in a coherent and integrated and coordinated
programmes due to higher entry qualifications, opportunity manner to meet the gaps particularly in the road sector,
cost, etc. MES is therefore designed to benefit different given that annual investments in the highways sector are
target groups, like: reaching Rs 50,000 - 60,000 crore. Currently there are
hardly any orgnaised training providers to train the
a) Workers seeking certification of their skills sophisticated construction equipment operators or quality
acquired informally; assurance technicians. People have evolved their own
b) Workers seeking skill upgradation / skill skills learning methodologies through hit and trial or
enhancement; apprenticeship rather than through the accredited training
providers in this sub-sector. NAC, Hyderabad is an
c) Early school drop-outs and unemployed youth. excellent example and it needs to be replicated in several
4.1.4 It is proposed that the framework for Skill regions of the country with due focus on road sector
Development in the road sector be evolved that should demands.
include the following key features: Only a very small fraction of the highway investments is
needed for launching the need based MES in the road
a) Demand driven Short term training courses based
construction sector. And it will contribute in producing
on modular employable skills to be decided in
quality and durable assets and create large scale
consultation with the construction Industry, viz
employment in this sector.
Contractors and Consultants.
b) Testing and certification of prior learning (skills 4.3 Aligning with the Skills Development
of persons acquired informally). Initiative (SDI)
c) Flexible delivery mechanism (part time, weekends The strategy proposed aligns itself with the "Skills
& full time). Development Initiative"(SDI) of the Government of India.
d) Different levels of programmes (Foundation level It is obvious that the skill level and educational attainment
as well as skill upgradation) to meet demands of of the workforce determines the productivity as well as
various target groups. the ability to adapt to the changing environment. A majority
of the workforce in the construction sector does not
e) Optimum utilization and enhancement of existing
possess adequate employable skills. Currently, this is an
training infrastructure to make training cost
impediment in getting higher productivity, decent
effective and purposeful.
employment and improving their socio-economic
f) Testing of skills of trainees by independent condition. Only 5 per cent of the Indian labour force in
assessing bodies who would not be involved in the age group of 20-24 years has obtained vocational
conduct of the training programms. skills through formal means, whereas, the percentage in
industrialized countries varies between 60 per cent and
4.2 Ongoing Initiatives
96 per cent.
For skill development of construction workers, some large
4.4 Partnership Approach - Skills Development
corporate houses are providing training to unskilled
Partners
workers in trades, like, plumbing, masonry, electrical and
sanitary works. There are several skill providers, such To meet the huge demand for specific skills of a high
as, Construction Industry Development Council (CIDC), order in the road construction sector, a Public Private
National Academy of Construction (NAC), Hyderabad, Partnership between Government and Industry is
proposed to promote skills development programme under c) Organising Modules into Course Matrix indicating
the umbrella of the SDI. This proposed strategy would vertical and horizontal mobility
evolve a new strategic framework for skill development
d) Development of detailed course curriculum for
for early school leavers and existing workers, especially
various trades
in the un-organised sector in close consultation with
industry (FICCI, AASHOCHAM, CII, PHD Chamber e) Vetting by DG(E &T) MOLE with support from
of Commerce, CIDC, Contractors & Consultants), trade Indian Roads Congress, training providers and
unions, un-organised sector, state governments and trade experts
sectoral infrastructure departments ( Ministry of Labour f) Inviting comments from Employers/ Employees
& Employment, Ministry of Road Transport & Highways, Organisations, Central / State Govts. etc.
NHAI, NRRDA, Academic Institutions) international
agencies (ILO, World Bank, ADB) and the Indian Roads g) Approval by the National Council for Vocational
Congress with the support of Director General Training (NCVT)
(Employment and Training), Ministry of Labour and
4.7 Eligibility Criteria for Candidates
Employment, Government of India and the Planning
Commission. The following minimum eligibility criteria is proposed:
4.9.2 New apprentices should be given an orientation - Laboratory Technicians (Asphalt Works)
to the industry, safety procedures on equipment and at - Tower Crane Erection and Operations
the jobsite, first aid, construction fundamentals and (Concreting Operations)
grade-checking.
- Hot Mix Plant Operators
4.9.3 The training period for apprentices will be
- Spray Man
governed by level of expertise and skills to be attained.
The training courses will be designed for attaining - Pavement Markings Technicians
various levels of skills. After the requirement is met, - Bar Bender
apprentices are dispatched for on-the-job training with
- Pre-stressing
contractors. Exact duration of the courses will be
determined based on consultation with the road - Pre-cast Concrete Elements
construction industry. - Pile Foundation / Driving Technicians;
- Scaffolding Technicians;
4.10 Tentative List of Trades
- Launching Girder Specialists
One of the key focus areas for road project execution
leading to capacity enhancement calls for skills - Shuttering Specialists
development, training, testing and certification of - Store Keepers
construction workers in different categories. The - Material Specialists
following trades are considered relevant for the
road sector: - Work Supervisors
- Carpenters
- Topographical Surveyors
- Plumbers
- Drillers
- Electricians
- Blasters
- Masons
- Dumper Operators
- Stone Crusher Operators 4.11 Brief Description of Trades
- Machine Operators Table 6 provides a brief description, employability
- Batching Plant Operators potential, entry level and estimated duration of training.
- Road Roller Operators These can be refined and finalized in consultation with
the Contractors, IRC and the training providers, like,
- Crane Operators
CIDC, NAC, Hyderabad.
- Crawler Dozer Operators
- Wheeled Loader Operators 4.12 Typical Course Content
ANNEX -1
Typical - Format of Terminal Competency, Course Content & List of Tools for
Modular Employable Skill for Each Trade
COURSE CONTENTS
Practical Competencies Underpinning Knowledge (Theory)
a) Identification of tools and equipments used in Bar a) Role of Bar Bender.
Bending work.
b) Use of protective clothing, boots, goggles and b) Description of trade.
equipment as applicable to a task.
c) Good house keeping practices, proper handling of c) Different types of tools and equipments used in
materials and waste disposal. bar bending work.
d) Safety precautions and safety belts while working d) While using raw materials.
at site.
e) Store/lay materials at work in safe manner. e) On the machines & equipments.
f) Use and store of tools and equipments in a f) Study of various types of steel used in Bar
safe manner. Bending work.
g) Measurement length & diameter in MKS & FPS g) Knowledge of measurements and its conversion
system. to other system.
h) Prefabricate Pre-cast Elements (Slabs)
From pre-cast drawings and schedule to form mats h) Read and understand pre-cast drawing schedule
with ends hooks and tie on moulds as per schedules to no. Repetition mirror images if any and spacers.
a tolerance of 5mm. All bends to be in flat plane.