Rethinking India’s skilling outcomes, Pg10

Key Highlights:

• India has built a large skilling ecosystem, training approximately 1.40 crore candidates under the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) between 2015 and 2025.
• Only about 4.1% of India’s workforce has received formal vocational training, a slight increase from about 2% a decade ago.
• Attrition rates of 30-40% are common in retail, logistics, hospitality, and manufacturing, highlighting the costs of inadequate skilling.
• Sector Skill Councils (SSCs) have largely limited themselves to standards creation, without owning outcomes.
• The National Education Policy 2020 aims to raise the Gross Enrolment Ratio (GER) to 50% by 2035.

Detailed Insights:

• India's skilling programs have not become a preferred option for young Indians due to modest wage gains and inconsistent employability, especially in the informal sector.
• The National Apprenticeship Promotion Scheme (NAPS) has increased industry participation, but its impact is unequal, particularly among larger companies.
• Industry involvement in skilling is limited; most employers prefer internal training over public skilling certifications for hiring.
• SSCs were intended to define standards, ensure relevance, and anchor employability but have suffered from fragmented responsibilities and a lack of accountability.
• Integrating skilling with formal education and holding SSCs accountable for placement outcomes are crucial for transforming skilling into a pillar of national economic empowerment.
• PM-SETU, a scheme for modernizing ITIs, represents a move towards stronger execution models with built-in industry ownership and accountability.

Key Concepts Involved:

• Gross Enrolment Ratio (GER): The total enrolment in education at a specific level, regardless of age, expressed as a percentage of the eligible official school-age population corresponding to the same level in a given school year.
• Pradhan Mantri Kaushal Vikas Yojana (PMKVY): A flagship skill development scheme of the Indian government aimed at providing vocational training and certification to Indian youth.
• Sector Skill Councils (SSCs): Industry-led bodies responsible for developing skill standards, conducting assessments, and certifying individuals in specific sectors.
• National Apprenticeship Promotion Scheme (NAPS): A scheme to promote apprenticeship training by providing financial incentives to employers.