The India Skills Report 2021 highlights a concerning trend: approximately half of India’s graduates are considered unemployable. Open unemployment, defined as unemployment due to a lack of opportunities, rose from 2.1 percent in 2012 to 6.1 percent in 2018, marking the highest rate recorded in 45 years of India’s labour force surveys. Youth unemployment rates have skyrocketed across various education levels. For those with higher secondary (grade 12) education, it escalated from 10.8 percent to 23.8 percent. The situation is even more alarming for those with higher education. In the 2022–23 period, the unemployment rate for graduates climbed from 19.2 percent to 35.8 percent, while for postgraduates, it increased from 21.3 percent to 36.2 percent.
This stark reality highlights the urgent need to re-evaluate India’s approach to skilling as a pathway to securing employment. However, while some data may suggest that skill programmes lead to placements, the ground reality reveals significant challenges that remain unaddressed. Currently, skill programmes are often designed with a narrow focus on short-term fixes rather than a holistic integration of theoretical knowledge with practical application. There exists a significant gap between education and skilling—a disconnect that leaves many ill-prepared for the job market.
To address this, India’s education system must start incorporating practical skills that are necessary for employment early in the learning process. Simultaneously, those involved in skilling need to engage more deeply with the education system, ensuring that practical skills are embedded in the classroom from the outset. Bridging the gap between education and skilling is essential for creating a learning environment that better prepares students for real-life challenges and employment opportunities.
The illusion of effective skilling in a weak educational framework
1. Skilling programmes cannot compensate for a weak education system
In India, the government education system is not only poorly implemented but also lacks a long-term vision beyond immediate rote learning. The education system often emphasises outdated curricula and decontextualised theoretical knowledge over real-world skills, leaving graduates unprepared for the demands of the job market.
The education system typically follows a 12-year cycle, with further extensions depending on higher education paths: three years for undergraduate degrees and varying durations for technical and vocational training, such as courses at Industrial Training Institutes (ITIs) or polytechnics. This creates a 12- to 15-year timeline for formal education. In contrast, skills training is often perceived as an instant solution—short courses promising quick results. While there’s value in micro-credentials, this approach does not address the structural gaps within the education system.
For example, consider the role of a chat executive in an IT company—a position that was once aspirational but is now considered entry-level. This role demands strong English skills in terms of both grammar and diction, which cannot be acquired overnight. Learning a language is a long-term process requiring years of practice and exposure. Moreover, a chat executive needs to be confident, able to handle rejection, and possess convincing communication skills. These competencies involve not just knowledge but also personality development and emotional resilience—areas that our current education system does not adequately cover and which skilling programmes cannot fix in the short term.
Similarly, for technical roles such as electricians or plumbers, foundational skills—for instance, mathematical and spatial abilities—could be easily nurtured from early education. These roles require arithmetic and problem-solving skills that cannot be efficiently taught through short-term training programmes alone. Traditionally, such skills have been acquired through long apprenticeships with experienced practitioners, which is a more organic but less formalised method of learning.
While knowledge is crucial, introducing practical skills early on can make learning more relevant. Grades 5 to 8, especially middle school, should be a time when students are exposed to the world of work. This can be achieved through the subjects they already study, by making the learning process more interdisciplinary and applied. For instance, bringing real-world projects—for example, building infrastructure such as classrooms or toilets—into the curriculum can teach measurement, construction, chemistry (such as how materials like tiles adhere), and other applied sciences to children in a practical context.
2. Compressed timelines and poor foundations undermine success
At present, skilling programmes often suffer from several limitations, the most prominent being their overly compressed timelines and disjointed integration with the broader educational journey.
Unrealistic expectations: Programmes typically attempt to cover financial literacy, digital literacy, and entrepreneurial skills for young adults aged 18–29 within just 50 hours. This rushed approach assumes that these complex and critical skills can be quickly absorbed, which is unrealistic. The average skilling module might attempt to cram essential knowledge into brief, intensive training session, similar to an assembly line, where participants are expected to absorb vast amounts of information in a very limited time.
Lack of nuance and foundational skills: The problem is compounded by the lack of a strong foundation built during earlier education stages. If essential skills such as financial literacy and digital proficiency were introduced gradually from grade 6 to grade 12, students would develop a deeper and more nuanced understanding. This would make subsequent, more specialised skill training far more effective. Skill training introduced only post 18 years of age tends to be too little too late. Designed by government bodies, CSR initiatives, and even educational organisations, these programmes often prioritise cost and efficiency over effectiveness. Without foundational work, short-term skill training courses tend to be less impactful, often going to waste as the learners struggle to absorb and apply the knowledge.
Digital divide: Many students, especially from low-income backgrounds, lack access to essential digital tools such as laptops and desktops. While they may have access to mobile phones and can watch videos, real learning and skill acquisition require more interactive and engaging digital experiences. This lack of access leaves many students at a disadvantage before they even begin their skilling programmes, making it harder for these students to compete and succeed in the modern job market.
3. There is a need to destigmatise vocational education
Despite various government initiatives, vocational training remains limited, classist, and stigmatised, leading to a preference for traditional academic routes that do not guarantee employment. Moreover, many skill development programmes, which are usually accessed by young people from rural areas or Tier-II and Tier-III cities, suffer from poor quality, inadequate infrastructure, and low placement rates, further exacerbating the employment problem.
4. The disillusion of first-generation learners
An economic challenge for youth is that, in some professions, the value of learned skills is often lower than the value placed on certain types of unskilled work. Even after skill training, the job market remains highly challenging for first-generation learners, who often come from families with a combined monthly income of INR 40,000–50,000 earned through jobs such as domestic work or driving auto-rickshaws in the city. Influenced by pop culture, advertisements, and urban, upper-class lifestyles, these learners have high expectations for their future earnings. However, after completing their education and skill training, they are often disheartened to discover that they can only secure jobs offering INR 12,000–15,000 per month. This disparity between their expectations and the market value of their skills leads to deep disappointment. Addressing this issue requires a systemic response, as no skill training initiative or educational programme alone can bridge this gap.
For skilling programmes to be truly effective, they need to be part of a continuous learning process that begins early and builds progressively.
Universalising skill training to enhance the dignity of work: Exposure to various skills from a young age can foster more respect for certain types of work. Teaching practical skills should not be limited to vocational training in government schools; instead, they should be embedded in the broader educational curriculum that all students, regardless of their backgrounds, must go through. In this way, students are introduced to a range of career paths, including nursing, cosmetology, and other skilled professions. For instance, recognising driving as a legitimate entrepreneurial opportunity or understanding the value of domestic work can only occur when these skills are normalised through the education system. This approach ensures that all students have the opportunity to explore and respect various careers and not just the ones considered ‘white-collar’. The dignity of work will only be achieved when skills are taught universally.
Value-based learning and skilling should go side-by-side: The Indian education system emphasises rote learning of subjects such as mathematics and languages even in early childhood. This stands in stark contrast to other systems, such as Japan’s, where the first five years of education focus on etiquette and behaviour. It is important to acknowledge that the absence of integrated value-based learning and skilling is a significant issue, not just an esoteric one. By establishing clear guidelines and structured programmes from grades 6 to 12, schools can gradually integrate skills and values into the curriculum. This would ensure that students are not only academically proficient but also equipped with essential life skills and ethical grounding.
There are examples, albeit limited, where efforts have been made to combine value-based learning with skill development. Rishi Valley, an affluent school, exemplifies how education can successfully meld values and skills. Their model, well-regarded for its holistic approach, focuses not only on academic excellence but also on moral and ethical development. Similarly, Montessori teaching methods, particularly in pre-kindergarten education, emphasise experiential learning and the development of critical thinking skills from an early age. Although widely recognised, these methodologies have yet to be broadly institutionalised in mainstream education.
In certain schools, efforts are being made to introduce skill education as part of the board curriculum. For instance, in programmes offering beauty training, there are conversations about hygiene and menstruation, thus combining practical skills with important life lessons.
However, these successes are isolated to those who can afford to access this kind of education and do not reflect systemic change. The social sector can make significant strides by integrating school education with skill training, re-evaluating the effectiveness of ongoing skill training programmes, and redirecting funding towards broader, creative initiatives. By advocating for investments that blend vocational skills into school curricula, nonprofits and funders can build a stronger foundation for future skill development. Additionally, there needs to be a critical reassessment of skill training success rates, as many programs currently overstate their effectiveness. Finally, shifting funding from narrow, task-specific training to more holistic and creative projects—for example, infrastructure-based learning opportunities—can foster essential skills such as problem-solving and teamwork, better preparing students for the modern workforce.
What can the social sector do better?
1. Integrate school education with skill training
Nonprofits, for-profits, and funders can advocate for CSR and other types of funds allocated to skill training to also include investments in school education within the same community. Additionally, nonprofits that work with schools should include vocational and other skills in their curriculum. By starting early and integrating skills into the education system, students can build a strong foundation that prepares them for future skill training programmes. This approach would create a more capable and well-prepared workforce.
Nonprofits can also push for the incorporation of value-based learning and skills into school curricula, which is often overlooked in training programmes. This would prepare students for not only jobs but also meaningful careers and responsible citizenship.
2. Foundational education must evolve to address skill training success rates
The sector needs to address the reality of current skill training programmes’ low success rates, often stemming from weak foundational education. While many claim placement rates of 70–80 percent, audits reveal that the actual success rate is closer to 20–35 percent. This discrepancy highlights the need for institutions to collaborate and introduce skills at multiple stages, starting in schools. Only by addressing foundational weaknesses can we realistically aim to improve the success rate over the next few years.
3. Redirect funding towards creative thinking and problem solving
Instead of simply shifting skill training budgets to employers for narrow, task-specific training, such as cashier roles on the shop floor, the government and the social sector should advocate for these funds to be invested in broader creative initiatives. For example, a significant portion of the spending on infrastructure could be used to involve students in practical projects like architectural design. This would impart essential skills such as teamwork, problem-solving, and creativity alongside knowledge in academic subjects.
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Know more
- Listen to this podcast about the factors that affect women’s access to the workforce.
- Read an analysis of the India Skills Report 2021.
- Learn about Gayathri Vasudevan’s journey in creating livelihoods in the informal sector workforce.