Skill Development in India: Not Commensurate to the Required Growth

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Published : Monday, 24 November, 2014 12:17 PM
 
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Today, you will read Current Affair Topic:
 
Skill Development in India: Not Commensurate to the Required Growth
 
India is one of the youngest countries in the world where more than 65 % of its population is below 35 years of age while in most other developed societies proportion of young population is decreasing. In this backdrop, many jobs from the developed world are expected to be outsourced to developing and relatively young countries like India. This is often referred as Demographic Dividend. However, the problem with Indian workforce is that majority of them is unskilled while the most jobs in developed world require skilled labour.
 
Indian government was quick to realise the potential of younger workforce of India and initiated several schemes to impart the skills into the labour force to make them suitable for any job outsourced by the developed countries. For that matter, National Skill Development Corporation (NSDC) was conceived under public private partnership to develop skills commensurate to the expanding economy. It has an equity base of INR10 crore, of which the private sector holds 51 percent, while the Government of India controls 49 percent. This makes NSDC a one-of-its-kind public private partnership in education in India.
 
Currently NSDC is focussing on 21 high priority sectors  & these are Automobile/auto-components, Electronics hardware, Textiles and garments, leather goods, Chemicals and pharmaceuticals, Gems and jewellery, Building &construction, Foodprocessing, Handlooms and handicrafts, Building hardware and home furnishings ,IT or software, ITES-BPO, Tourism, hospitality&ravel, Transportation/logistics/warehousing and packaging, Organised retail, Real estate, Media, entertainment, broadcasting, content creation, animation, Healthcare, Banking/insurance and finance, Education/skill development  and Unorganized Sector
 
Meanwhile National Skill Development Coordination Board (NSDCB) was also constituted to coordinate the skill development efforts of a large number of Central Ministries/Departments and States. In the Central Government, around 20 Ministries are closely involved in skill development. Most State Governments also have set up State Skill Development Missions as nodal bodies to anchor the skill development agenda in the State.
 
Current Affairs Topic- NSDC, NSDA, Skill Development in India
 
However, things are not going as was desired. Multiple agencies have been created at various levels spreading across approximately 20 separate ministries and 35 state governments and union territories with overlapping and conflicting priorities. Though National Skill Development Agency (NSDA) was created in 2013 to consolidate efforts in this sphere, it mainly has a coordination role, lacks any effective powers and remains significantly under-resourced. Training infrastructure and capacity is another challenge. It is estimated that various publicly funded organizations produce 3.5 million trained personnel per annum against the 12.8 million new entrants into the workforce each year.
 
Thus a domestic skill development policy needs to be overhauled. The institutional structure needs simplification with greater investment in training infrastructure and an emphasis on supporting a casual labour force. There is also a needto ensure participation of private sector in the training and skill development by virtue of a suitable incentive policy. Apart from this, regular education is also required to be dovetailed with the industry requirement. In the light of highly specialized nature of jobs which would be created in future, it is required that government have to give the top most priority to ensure the more inclusive growth in future. 
 
 
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