Lok Sabha Question No. 85 (UNSTARRED), answered on 2024-11-25
Subject: To Enhance the Skills Ecosystem and Demand for Skilled Workers
Ministry: SKILL DEVELOPMENT AND ENTREPRENEURSHIP
Asked by: Smt. Bharti Pardhi, Shri Shrirang Appa Chandu Barne

## GOVERNMENT OF INDIA MINISTRY OF SKILL DEVELOPMENT AND ENTREPRENEURSHIP

## LOK SABHA UNSTARRED QUESTION No. † 8 5

ANSWERED ON 25.11.2024

## TO ENHANCE THE SKILLS ECOSYSTEM AND DEMAND FOR SKILLED WORKERS

- †85.   Smt. Bharti Pardhi: Shri Shrirang Appa Chandu Barne:

Will  the  Minister of SKILL DEVELOPMENT AND ENTREPRENEURSHIP be pleased to state:

(a)  whether  the  country  is  struggling  to  create  enough  job  opportunities  while professionals entering the job market lack the required skills;

- (b)  if  so,  whether  this  has  led  to  an  increase  in  the  unemployment  rate  and  low employability;
- (c) if so, the details thereof along with the response of the Government thereon;
- (d) whether skills development of work force is essential to bridge the gap between employment opportunities and job seekers' skills, reduce unemployment rates and meet the growing demand for skilled workers in India's emerging economy, if so, the details thereof;
- (e) whether a multi-pronged approach involving Government support, private sector collaboration, increased awareness, improved training quality and regular assessment of outcomes is needed to address the said issues, if so, the details thereof; and
- (f) the steps taken by the Government to enhance the skills eco-system and empower the workforce for a more prosperous future?

## ANSWER

THE MINISTER OF STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF SKILL DEVELOPMENT AND ENTREPRENEURSHIP

(SHRI JAYANT CHAUDHARY)

- (a) to (c) In 2014, it was estimated that almost 3 out of every 4 Indian in the workforce were unskilled and 1.5 cr were joining the workforce annually unskilled. The Skill India Mission (SIM) of Government of India has been implemented to address the huge skill deficit in the work force. SIM is aimed at skilling, re-skilling and up-skilling of the youth to ensure that they are prepared for the large number of opportunities coming up as the economy grows. SIM is aimed at future ready and industry ready skills for our youths.

Actually, the unemployment rate in usual status has decreased from 6.0 percent in 2017-18 to 3.2 percent in 2023-24 as per the latest Periodic Labour Force Survey (PLFS 2023-24) estimates.

Under SIM, the Ministry of Skill Development and Entrepreneurship (MSDE) delivers skill, re-skill and up-skill training through various schemes viz. Pradhan Mantri Kaushal Vikas Yojana (PMKVY), Jan Sikhshan Sansthan (JSS), National Apprenticeship Promotion Scheme (NAPS) and Craftsman Training Scheme (CTS) through Industrial Training Institutes (ITIs), to all the sections of the society across the country.

A third  party  evaluation  report  has  observed  that  77.05%  of  the  beneficiary trainees of JSS scheme have undergone occupational shifts. The Tracer Study of ITI Graduates mentions that 63.5% of total ITI pass-outs got employed (wage + self), out of which 6.7% were self-employed. The placements were tracked in the Short-Term Training (STT) component of PMKVY in the first three versions of the scheme which is PMKVY 1.0, PMKVY 2.0 and PMKVY 3.0 implemented from FY 2015-16 to FY 202122. Under PMKVY4.0, the focus was to empower our trained candidates to choose their varied career path and they are suitably oriented for the same. Further various IT tools like skill India digital hub (SIDH) also gives this opportunity .

(d) Skill gap studies are conducted from time to time which provide information on the skills needed and the skill gaps in various sectors. Such studies guide the interventions of  the  Government  aimed  at  preparing  the  workforce  as  per  the  industry  needs. Further, District Skill Committees (DSCs) are mandated with formulating District Skill Development Plans (DSDPs) to promote decentralized planning and implementation at the grassroots. The DSDPs identify sectors with employment opportunities as well as the associated demand for skilling in the district, and map the available facilities for Skill Training. Skill Development Programmes of the Government are designed and implemented to bridge identified skill gaps across sectors.

(e)  &  (f)  To  enhance  the  skills  eco-system  and  empower  the  workforce  for  their prosperous future, MSDE has taken multipronged approach which entails the following measures:

(i) The National Council for Vocational Education and Training (NCVET) has been set up  as  an  overarching  regulator  establishing  regulations  and  standards  to  ensure quality in the vocational education and training space.

(ii)  The  Awarding  Bodies  recognised  by  NCVET  are  expected  to  develop  the qualifications  as  per  the  industry  demand  and  map  them  with  the  identified occupations  as  per  the  National  Classification  of  Occupation  2015  of  Ministry  of Labour and Employment and obtain industry validations.

(iii)  MSDE  has  established  the  Common  Cost  Norms  for  the  skill  development programs/schemes being implemented by Government of India. There are about 20 other ministries/departments implementing the skill development schemes.

(iv) The training programmes offered under the schemes of MSDE are developed in collaboration  with  industries,  keeping  in  view  market  demands.  36  Sector  Skill Councils (SSCs), led by industry leaders in the respective sectors, have been set up by National Skill Development Corporation (NSDC) which are mandated to identify the skill development needs of respective sectors as well as to determine skill competency standards.

(v)  Directorate  General  of  Training  (DGT) is implementing  Flexi  MoU  Scheme  and Dual System of Training (DST). These initiatives are meant to provide training to ITI students in industrial environment.

(vi) Under NAPS, apprenticeship training and increasing engagement with industrial establishments for undertaking apprenticeship programmes is promoted.

(vii) Government of India has signed MoU with 7 countries (i.e., Australia, Denmark, Germany, Japan, Qatar, Singapore, and UAE) in Vocational Education and Training / Skill development for the international mobility of the skilled manpower.

(viii) DGT has also signed MoU with IT Tech companies like IBM, CISCO, Future Skill Rights Network, Amazon Web Services (AWS), Microsoft and Meta to ensure industry linkages  for  the  institutes  at  the  state  &  regional  levels  and  to  ensure  anytime, anywhere learning in new-age courses.

(ix) NSDC, under the Market led program, provides support to training providers that collaborate and align skill courses with industry demand.

(x)  Future  ready  job-roles  addressing  the  requirement  of  Industry  4.0,  emerging sectors like Drone, Artificial Intelligence (AI), Robotics, Mechatronics, etc., have been prioritized under PMKVY 4.0. Under CTS also, new age courses have been developed to meet the demand of futuristic job roles in emerging technologies.

(xi)  Skill  India  Digital  Hub  (SIDH)  Portal  has  been  established  as  a  Digital  Public Infrastructure for skilling, employment, and entrepreneurship ecosystems.

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