In the recent
years the significant acceleration of economic growth rate in India has lifted quite
sharply upward the demand for higher level of skilled manpower. According to B.B.
Bhattacharya’s study (2008), a disaggregated analysis shows that higher
education in general and skill formation in particular has given India a
competitive edge in services sector’s growth.
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| Photo Credit: National Skill Development Corporation (NSDC) |
The study also revealed that with
growing demand for highly skilled work force in both India and abroad the
supply of highly skilled work force in India is now failing to keep pace with
demand. As a result there is a danger of India losing its international
competitiveness in skill induced economic growth.
Keeping in
perspective, the United Progressive Alliance (UPA) government initiated many policy
reform processes particularly in the area of vocational training and skill
development sector through Ministry of Labour & Employment. Policy reforms were
introduced for expansion and modernisation of the existing vocational training
institutions by partnering with industry and civil society organisations
through the Public Private Partnership (PPP) mode. The government has also been
implementing a number of innovative skill training programmes which have
coherently created afresh vocational training facilities in the country. During 2008-09,
government launched a broad based Skilling Mission for training of 500 million
persons by 2022. Various Central Ministries/Departments/Organisations have been
given specific targets which have been rigorously followed up through several
initiatives based on the National Policy on Skill Development, 2009.
All the 1,896 government
ITIs (January 1st, 2007) were taken up for upgrading into Centres of
Excellence. First, the upgradation of 500 ITIs was announced in the Budget
2004-05. Out of 500 ITIs, 100 ITIs were taken up from Domestic Funding and 400
ITIs were taken up through the World Bank funding. Upgradation of remaining 1,396
government ITIs was started in 2007-08 through Public Private Partnership
mode. The PPP mode has been implemented in the form of Institute Management
Committees (IMCs) to ensure greater and active involvement of industry in all
aspects of training. There are significant improvements in the modernised ITIs
both in terms of percentage of trainees pass outs and finding jobs within a
year.
The other major
initiative was the Skill Development Initiative (SDI) Scheme based on Modular
Employable Skills (MES) launched in 2007 to provide vocational training for
early school leavers and existing workers, especially in the unorganised sector
to improve their employability. The scheme facilitates afresh skill training
through MES as per demand of markets. It also provides scope for directly
testing and certification of skills acquired informally through Empanelled
Assessment Bodies. More than 7,125 Vocational Training Providers are imparting skill
training under the Scheme with 1,400 short term modules covering 60 sectors. So
far, more than 1.6 million persons have been trained/tested since inception of
the scheme.
The National
Skill Development Corporation, set up in 2009 in PPP mode have mandate of
training about 150 million people or 30% of 500 million by 2022, has partnered
with 2,202 skill training institute/centres across the country and trained about
one million persons and placed 6 lakh persons (61%) in the job market.
According to the
Planning Commission, as on January 1st, 2007, there were 5,114
ITIs/ITCs in the country with a seating capacity of 7.42 lakh. As on April 1st,
2010, there were 8,039 ITIs/ITCs with a seating capacity of 11.15 lakh in the
country. Thus, the last three years
(2007-08 to 2009-10) had seen an increase of 2,925 ITIs/ITCs, which is 57% of
the number of institutions set up in the first 60 years of Independence! By
December 11, 2013, there were 10,750 ITIs/ITCs with seating capacity of 15.23
lakh in the country.
There are several other institutional reform initiatives for bridging the mismatch of skilled persons and the markets needs through Labour Market Information Systems, National Skills Qualification Framework, Sector Skill Councils, National Occupation Standards, Accreditation of Institutions and Quality Assurance, Assessment and Testing Bodies, etc. All are underway in massive efforts!
-B.Chandrasekaran
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