Skill Development - scope

Bridging Skill Deficit
Through Vocational Training
Mr. V. P. Yajurvedi
Director General, V V Giri National Labour Institute
Mr. V. P. Yajurvedi
At present, the capacity of
skill development in India is
around 9.1 million persons
per year. However, this capacity
is not enough to keep the
growth momentum sustainable
on a long term basis.
From the perspective of the
requirement of the growing
labour force also, the existing
capacity is quite miniscule.
Introduction
Skills and knowledge are the
driving forces of economic
growth and social development
of any country. Skill development
is important in stimulating a sustainable
development process of
a country and can make tremendous
contribution in facilitating
the transition of the economy
from informal to the formal. Skill
development is also essential to
address the opportunities and
challenges to meet new demands
of changing economies and new
technologies in the context of
globalization. While India makes
its journey towards becoming
a ‘knowledge economy’, it becomes
increasingly important
that the country should focus on
advancement of skills relevant to
the emerging economic environment.
In order to achieve the twin
targets of economic growth and
inclusive development, India’s
Gross Domestic Product (GDP)
has to grow consistently at 8 to 9
per cent per annum. This requires
significant progress in several areas,
including infrastructure development,
agricultural growth
coupled with productivity improvements,
a healthy business
environment, and ably supported
by a skilled workforce 1 . India has
a demographic advantage with
high percentage of its population
in the productive age group. As
per economic survey 2007-2008,
64.8 per cent of India’s population
would be in the working age of 15
to 64 years in 2026.
At present, the capacity of skill
development in India is around
9.1 million persons per year 2 .
However, this capacity is not
enough to keep the growth momentum
sustainable on a long
term basis. From the perspective
of the requirement of the growing
labour force also, the existing
capacity is quite miniscule. This
is quite clear from the latest data
which shows that only 2 per cent
youth (15-19 years) and 6.7 per
cent of the population aged 15-59
years possess some forms of vocational
training 3 . Apart from low
capacity, the vocational education
and skill development sector
is also facing mismatch between
the demand for and supply of
skills. As a result of this, the labour
market is facing a strange
situation; wherein, the employers
are not getting manpower with
requisite skills and on the other,
1
FICCI, IMaCS; The skill development landscape in India and implementing quality
skills trainings.
2
National Skill Development Policy, 2009
3
61st Round of NSS, Report No. 551
24 Kaleidoscope July 2013