SkillEcosystem.docx

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About This Presentation

Detailed knowledge about skill Ecosystem in India. The root Causes, the problem, ideas to change the current skill ecosystem, the factors that can contribute in the development of Nation.


Slide Content

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Skilling Ecosystem in India
Access to skilling: Expansion of Skilling Ecosystem

November, 2022

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Overview



“Today, the world and India need a skilled workforce.
If we have to promote the development of our country
then our mission has to be skill development and Skilled
India,” Narendra Modi, Prime Minister.



India is one of the youngest nations in the world with
over 62% of the population in the working age group
and about 54% of the population below 25 years of
age. This highlights the need to enhance the skills of
the available workforce to improve their employability
and contribution to the economic growth of the
country.
In line with this vision, skilling in India has transformed
from a disbursed and distributed model with multiple
government bodies to a cohesive and unified model
under the Ministry of Skill Development and
Entrepreneurship (MSDE). Skilling in India is seeing
some great reforms and policy interventions, which are
reinvigorating and re-energising the country’s workforce
and are preparing the youth for job and growth
opportunities in domestic as well as international
markets.
The MSDE introduced two initiatives Common Norms
Notification (CNN) to specify the input standards,
outcomes, funding norms, fund flow mechanism,
mechanism for monitoring and tracking and
empanelment of training providers and assessors and
National Skill Qualification Framework (NSQF), a
competency-based framework that organises all
qualifications according to a series of levels of
knowledge, skills and aptitude. These levels, graded
from one to 10, are defined in terms of learning
outcomes, which the learner must possess regardless of
whether they are obtained through formal, non-formal
or informal learning.
This transformation signified the need to rapidly expand
the skills training sector. A significant effort was made to
bring more private sector organisations into the system.
Going forward, skilling is being aligned with industry
partnerships and demand-driven courses to create
employment-ready workforce.
The management framework of various skilling schemes
is being strengthened through the latest technologies
for transparency and efficient monitoring.
Various user-friendly applications are being developed
and utilised for increasing the reach of the initiatives.



.

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Reforms in
Skilling
Landscape

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Initiatives towards standardization in skilling



India’s demographic dividend
1
is an
opportunity for economic growth
With more people in the workforce and fewer children or elderly
to support, a country has a bright prospect for exponential
economic growth through planned investments and policies.
Table 1: Workforce of India
Year Indian population (Age group 15-59)

2020 62.6% (increasing year-on-year)

2036 ~65% (reach its peak)


Government of India is capitalising the available workforce by
strengthening vocational education and training programmes
and operationalising new schemes in skilling.
A dedicated skill ministry, MSDE was set up in 2014 and since
then the number of Industrial Training Institutes (ITIs) have
grown by over 40%, currently, more than 15,000. A special
emphasis was placed on short-term training programmes with
focus on quality through introduction of NSQF. This is a quality
assurance framework to ensure uniformity in programmes,
consistency in training and convergence on learning outcomes.


Education, vocational training and lifelong
learning are central pillars of employability,
employment of workers and sustainable enterprise
development.

International Labor Organization



1. According to United Nations Population Fund (UNFPA), demographic dividend refers to the economic growth potential (of a country) that can result from shifts in a population’s age
structure, in particular, when the share of the working-age population which is 15 to 64, is larger than the non-working-age share of the population


Disintegrated model
A disbursed and distributed model
with multiple government bodies
involved
Unified model
A cohesive and unified model under
a single agency, aligned to the
single vision of skilling the Indian
youth

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Journey of transformation




India is committed to promoting vocational education and training through bold
and meaningful actions.


The earliest efforts of the government to promote vocational
education in the country can be traced back to 1956 when
National Council for training in vocational trades was
formalised through establishment of ITIs.
In 2008-09, National Skill Development Corporation
(NSDC), a not-for-profit organisation, was formed. This
organisation was established to attract private sector
investment in skilling.
The year 2014 is considered to be a major turning point when
MSDE was formed and Skill India Mission was launched.
National Skill Development Agency (NSDA), National Skill
Development Corporation (NSDC), National Skill Development
Fund (NSDF) and 33 Sector Skill Councils (SSCs) were brought
under the umbrella of MSDE. Key focus of the ministry is the
co-ordination of skill development efforts across the country,
integration of demand and supply of skilled manpower, and
upgradation of skills and encouragement of entrepreneurship.
All the skill development programmes and schemes were
brought the Skill India Mission to bring coherence between
various ministries and departments. A set of
guidelines were created to amplify the brand
recognition and the Skill India logo was used
for common branding of skilling initiatives
taken by central or state governments.
To further create convergence between
ITIs and the new skill Initiatives of the
government, two verticals from Directorate General of
Employment and Training (DGET) - DDG (Training) and DDG
(Apprenticeship Training) were transferred to the MSDE on 16
April 2015.
The National Council for Vocational Education and
Training (NCVET) was formed in December 2018, by merging
the existing regulatory institutions in the skills space - National
Council for Vocational Training (NCVT) and National Skill
Development Agency (NSDA). The objective was to integrate
fragmented regulatory system and infuse quality assurance
across the vocational training value chain for better outcomes.






National Policy on Skill
Development
Establishment
of National Skill
Development Authority
National Skill
Qualification
Framework
Establishment of MSDE Training and
apprenticeship division
moved under MSDE
National Policy on
Skill Development &
Entrepreneurship
Update in skilling
policy
Establishment of
National Council for
Vocational Education
and Training (NCVET)
by merging NSDA and
NSDC





2009 2013 2014 2015 2017 2018

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Skill Development
Ecosystem in India

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Skill Development Ecosystem in India
The skill development ecosystem in India is complex, large and diverse, providing varied levels of skills across an
extremely heterogeneous population. Skill development in India can be broadly segmented into Education and
Vocational Training. The exhibit below presents the broad framework of Skill Development in India.
Figure 1: India’s Education and Skill Development Structure


Elementary, secondary and higher education is governed by the Ministry of Human Resource Development. University
and Higher Education caters to all college education (Arts, Science, Commerce, etc.), while engineering education,
polytechnics, etc. fall under Technical Education. University Grants Commission (UGC) is the nodal body governing
funds, grants and setting standards for teaching, examination and research in Universities, and the All India Council for
Technical Education (AICTE) is the regulatory body for Technical Education in India.
Skills in India are acquired through both formal and informal channels. Formal vocational training is imparted in both
public and private sector. Some of the major channels of formal vocation training include the government-run Industrial
Training Institutes (ITIs), privately operated Industrial Training Centres (ITCs), vocational schools, specialized institutes
for technical training, and apprenticeship training by the industry. The private sector participation has been on a rise
lately, but the sector continues to be dominated by the public sector. Informal training on the other hand refers to
experiential skills acquired on the job.
At the central level, the nodal institution for vocational training is the Director General of Employment & Training
(DGET) under the Ministry of Labour and Employment. The DGET is responsible for formulating policies, establishing
standards, granting affiliation, trade testing and certification, and matters connected to vocational training and providing
employment services. The National Skill Development Council (NSDC) - now a part of the newly created Ministry of
Skill Development and Entrepreneurship - was initially set up under the Ministry of Finance to provide viability gap
funding and promote private skill initiatives.

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Initiatives towards standardization in skilling current ecosystem
The MSDE formulates policies for all other ministries and NSDC to strengthen skill
development initiatives.


Key stakeholders under MSDE
NCVET
It regulates the functioning of entities engaged in vocational
education and training. The key functions of NCVET are:
• Recognise and regulate award bodies, assessment bodies
and skill-related information providers
• Approve qualifications developed by award bodies and
SSCs
• Indirect regulation of vocational training institutes through
award bodies and assessment agencies
• Research and information dissemination
• Grievance redressal
NSDC
It focuses on quality assurance, information systems and
training the trainer academies either directly or through
partnerships. The key functions of NSDC are:
• Implement government schemes
• Enable standards and accreditation systems of trainings
through SSCs and partnerships with employers, etc.
• Provide knowledge and advisory services through skill gap
studies, advisory services, etc.
• Fund select private sector skilling initiatives

State Skill Development Missions
(SSDMs)
SSDMs operate under the National Skill Development
Mission, along with 20 central ministries/departments for
implementation of more than 40 schemes/programmes on skill
development.

SSCs
The objective of SSCs was to bridge the gap between the
industry demand and skill available in the country. Till date,
there exists 38-approved SSCs, with over 600 corporate
representatives in the governing councils. SSCs are responsible
for creating national occupational standards (NOSs) and
prescribing qualification packs, development of competency
framework, conducting training of trainer (ToT) programmes,
carrying out skill gap studies and assessing and certifying
trainees on the curriculum aligned to NOSs developed by them.

NCVT, and Quality Council of India SCVT
Established under Ministry of Labour and Employment with a
view to ensure and maintain uniformity in the standards of
training all over the country, the National Council for Vocational
Training (NCVT) was set up in 1956. This certifying body
conducts All India Trade Tests for those who complete training
in ITIs and awards National Trade Certificates to successful
candidates. The Council has representation from central and
state government departments, employers’ and workers’
organisations, professional and learned bodies, All India Council
for Technical Education, scheduled castes and scheduled tribes,
All India Women’s Organisation, among others. The State
Council for Vocational Training (SCVT) at the state levels and
the sub committees have been established to assist the National
Council.
The Quality Council of India (QCI) was set up jointly by
Government of India and the Indian industry as an autonomous
body to establish a national accreditation structure in the field of
education, healthcare, environment protection, governance,
social sectors, infrastructure, vocational training and other
areas that have significant bearing in improving the quality of
life. All institutions (Government and private ITIs) seeking
formal affiliation from NCVT have to first get accreditation from
the Quality Council of India

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Interventions for
empowering the
workforce

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Other MSDE schemes
• UDAAN
• Scheme of Scheme of Community Development
Through Polytechnics (CDTP) (implemented by MSDE
through NSDC)

Pradhan Mantri Kaushal Vikas Yojana (PMKVY)




Objective
Provision of industry-relevant skill training for better
livelihood

Implementation
Centre and state governments (NSDC), under
two components – Centrally Sponsored Centrally
Managed (CSCM), and Centrally Sponsored State
Managed (CSSM)

Launch
2015, further extended to 2016-20.
Recognition of prior learning (RPL)
• For individuals with prior learning experience or skills,
desirous of obtaining assessment and certification for their
skills
• Certification of grade in accordance with NSQF
• Offers bridge courses to cover the gap in candidates’
knowledge as per NOS, or to upskill as per industry demand-
supply
• Consists of only a mandatory 12-hour orientation, extended
up to 68 hours in case of additional bridge courses
Special projects
Target
Train 1 crore beneficiaries


Sectors
31, covering 577 job roles

Short Term Training (STT)
• Aimed to benefit candidates in school/college dropouts or
unemployed
• Training provided according to the NSQF
• All job roles are NSQF Level 5 and below
• Includes training in soft skills, entrepreneurship, financial
and digital literacy
• Duration ranges between 150 and 300 hours, depending
upon the job role
• Post training, candidates receive placement assistance
from training partners (TPs)
• Entire training and assessment fees are paid by the
government in alignment with the common norms
• For fresh skilling projects, which may not be conducted
under STT
• Training for job roles that are not defined under the
available NOSs/QPs














PMKVY supports establishment of training
centres called Pradhan Mantri Kaushal Kendras
(PMKKs) to facilitate excellence in industry-
driven courses for better employability. Each
PMKK is provided with an assured minimum
training mandate for three years.

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Skills Acquisition and Knowledge Awareness for Livelihood
(SANKALP)

SANKALP is a World Bank-funded initiative of the MSDE to operationalise the Skill India Mission by setting in motion the
sub-missions proposed under the NSDM. It is an outcome-oriented programme with a special focus on decentralised
planning and quality improvement.

National Apprenticeship Promotion Scheme (NAPS)

NAPS was launched by GOI with the aim of promoting apprenticeship training and increasing the engagement of apprentices
from 2.3 lakh in 2015 to 50 lakh cumulatively by 2020.
It provides reimbursement of 25% of the prescribed stipend subject to a maximum of INR 1,500 per
month per apprentice and shares the cost of basic training for fresher apprentices up to INR 7,500 per
apprentice for a maximum duration of 500 hours/three months.

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Deen Dayal Upadhyaya Grameen Kaushalya Yojana
(DDU-GKY)

DDU-GKY is a placement-linked skill development programme for the rural poor youth. Being run by the Ministry of Rural
Development (MoRD) as part of the National Rural Livelihood Mission (NRLM), the scheme intends to provide quality
training at the centres benchmarked to global norms and facilitates the movement of the beneficiaries into mainstream
labour markets. The scheme plays an instrumental role in supporting government programmes such as Make in India.



Objective
Add diversity to the incomes of rural poor families
Cater to the career aspirations of rural youth

Implementation
DDU-GKY, national unit at MoRD, as the policy-
making, technical support and facilitation
agency. The DDU-GKY state missions providing
implementation support, PIAs implementing the
programme through skilling and placement projects

Launch
September 2014
Key features of DDU-GKY
• Demand-led skill training to the rural poor between the age
of 15 to 35 years, fully-funded by the government
• Social inclusion of candidates through mandatory
coverage of socially disadvantaged groups
• ‘Kaushal Panjee’ mobile app for registration of prospective
training candidates
• Incentives for job retention, career progression and foreign
placements
• Mandatory placement to at least 70% of the trained
candidates
• Post-placement support, migration support and alumni
network
• All programme activities are subject to clear and
Total outlay
INR 4,455 crore, including a loan of INR 3,300 crore
from the World Bank
comprehensive standard operating procedures (SOPs). All
inspections are supported by geo-tagged, time-stamped
videos or photographs.



Mandatory CSR Expenditure in Skilling
Since the implementation of the mandatory CSR spending under the Companies Act, 2013, corporations in India have
invested over ₹100,000 crore in diverse social projects.
Of these, about ₹6,877 crore was spent in skilling and livelihood enhancement projects. Maharashtra, Tamil Nadu,
Odisha, Karnataka, and Gujarat were the top five recipient States.

TEJAS Initiative for Skilling
Recently, TEJAS (Training for Emirates Jobs And Skills), a Skill India International Project to train overseas India’s was
launched at the Dubai Expo, 2020.
The project aims at skilling, certification and overseas employment of Indians and creating pathways to enable the
Indian workforce to get equipped for skill and market requirements in the UAE.


Target
62,85,96 persons assigned to 1,489 projects so far

Sectors
50 industry sectors, covering more than 502 trades

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Skill
Development
and Vocational
Training
Opportunities
in Himachal
Pradesh

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Skill Development and Vocational Training Opportunities in
Himachal Pradesh:

Himachal Pradesh’s economic growth mostly lies in the Tourism industry. The state significantly enhances skills in
specific industries and provides job opportunities for skilled workers. Apart from Tourism, Himachal Pradesh has various
other industries such as Pharmaceuticals, Power, Agro and Food Processing and more which contribute significantly to
the state’s economy. With numerous skill development initiatives, it aims to produce industry-ready workers and
prepare youth for employment and entrepreneurship.

Major industries in Himachal Pradesh
1. Tourism
2. Power
3. Pharmaceuticals
4. Agro and Food Processing
5. Floriculture and Horticulture
6. Handlooms and Handicrafts
Let’s go through the major industries that Himachal Pradesh has and how the state is benefiting through them:
1. Tourism
During 2019, the tourism sector contributed over 7% to the state’s GDP. It aims to increase its share by 8.5% by the end of 2022.
Himachal Pradesh is famous for its popular hill stations. There are huge scope of employment by exploring more areas for adventure
sport like, paragliding, trekking etc.
 Employment opportunities
1. Tour Guide
2. Travel Agent
3. Hotel Manager
4. Taxi drivers and more
5. Food vendors
 Skills required for the Tourism industry are
1. Organisational skills
2. Flexibility skills
3. Communication skills
4. Networking skills
Himachal Pradesh prepares for skilled workforce in tourism industry – The youth in Himachal Pradesh will now be trained in
hotel management, adventure tourism and as tourists guides. Himachal Pradesh Kaushal Vikas Nigam has signed an agreement with
the Himachal Pradesh Tourism department to this effect.

2. Power
Himachal Pradesh has the potential to contribute 26% of the total hydropower potential of India. It has an estimated hydro
potential of 27, 436 MW out of which 24,000 MW is harnessable. The state has a total hydropower generation capacity of
2,910 MW. Himachal Pradesh has huge potential for hydropower as it is naturally blessed with abundant streams and rivers
flowing down from towering mountains.
In future there we need to focus on renewable energy resources and need to develop centre for training as well.
 Skills required for the Power industry are

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1. Manual and electrical knowledge
2. Good vision and hearing
3. Manual dexterity
4. Ability to read interpret blueprints and other plant drawings
 Employment opportunities
1. Solar Design Engineer
2. Operations Analyst
3. Energy Market Analyst and more

3. Pharmaceuticals
Himachal Pradesh is the largest hub for drug manufacturing units in Asia. Over 300 companies including Dr. Reddy’s,
Ranbaxy, Morepen have set up operations in the state. It also has Ayurvedic ways of treatment through its district
ayurvedic hospitals, 143 AYUSH Health and Wellness Centres and three Unani Health Centres.
 Skills required for Pharmaceuticals industry are
1. Medicinal Knowledge
2. Analytical Skills
3. Awareness And Knowledge in Climatic Conditions
4. Knowledge Of Combining Fragrances in Correct Manner
5. Laboratory Skills
With the industries department all set to announce a new pharma policy to woo investors from across the country, decks
have been cleared to set up a pharma and a food processing park at Chanho block of Ranchi.

4. Agro and Food Processing
Major crops like rice, wheat, potato, maize etc., are grown in the state. Himachal Pradesh is one of the leading producers of
off-season vegetables, apples and other stone fruits. Agro and Food Processing sector contributes about 12.7% to the
state’s GDP.
 Employment opportunities
1. Farming
2. Food processing
3. Retailers
 Skills required for Agro and Food Processing industry are
1. Technical skills
2. Production
3. Procurement and Buying
4. Knowledge in Agro-based products
Kangra tea plantations – These plantations are known for their aromatic, exclusive black tea variety that doesn’t require
years of tea-tasting experience to appreciate. It also has long turned senile, the terracotta museum houses some incredible
specimens of rare terracotta work—tribal masks, sculptures, clay monkeys, toads from around the world.

5. Floriculture and Horticulture
In Himachal Pradesh, the per capita cultivated land is only 0.12 hectares while per capita irrigated land is a meagre 0.02
hectares. This situation necessitates a cropping pattern that would ensure highest income per unit area. Commercial
floriculture perfectly caters to this necessity.

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The Agro-climatic conditions in the State offer opportunities for the development of floriculture to serve the internal off-
season market. Flowers like Marigold, Chrysanthemum, Rose, Carnation are some of the most grown flowers in the state.
 Employment opportunities
1. Horticulturist
2. Gardener
3. Horticultural Education Supervisor
 Skills required for Floriculture and Horticulture industry are
1. Knowledge of Agriculture
2. Attention to detail
3. Flair for Gardening
4. Knowledge of Chemical Preservation
5. Propagation
6. Technical Skills

6. Handlooms and Handicrafts
The classical traditions and cultures of Himachal Pradesh are unique and are in contrast. The statement is also true for its
rich handloom The dialect and the craft of every region are different in Himachal. Some of the primary occupations in
Himachal include Handicraft and Handlooms where a number of cooperative societies are carrying out work in the Kullu,
Manali and Kinnaur Valley.
 Employment opportunities
1. Weaver
2. Entrepreneurship
3. Merchandiser
 Skills required for Handlooms and Handicrafts industry are
1. Weaving
2. Knowledge of textiles
3. Needlework
















Information about Skill initiative in HP

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 Himachal Pradesh Kaushal Vikas Nigam (HPKVN) – To increase the employable skills and livelihood potential of the
state’s young generation and equip them for growth in a changing job environment in India.

 Himachal Pradesh prepares for skilled workforce in tourism – Keen to introduce a skilled workforce in tourism,
the youth in Himachal Pradesh.

 Himachal Pradesh State Rural Livelihood Mission – To enhance the economic opportunities and empowerment of
rural poor with focus on women and marginalized groups in Himachal Pradesh.

 Startup Himachal – Self-employment/employment generation and income generation; To promote new ideas/ products
and processes suitable for commercialization through startups and to Set up Incubators/Incubation Centers in the state.

 Regional Directorate of Skill Development and Entrepreneurship – This Directorate coordinates with
Organizations/Departments under central /state government for Implementation and Monitoring of various schemes of
the Directorate General of training (DGT) a wing of Ministry Of skill Development and Entrepreneurship.

 Department of Technical Education – Realization of human resource potential of Himachal Pradesh to its fullest in
Technical and Vocational education sector with equity and inclusion.

 COVID-19 impact on Himachal Pradesh – The Covid-19 pandemic may have crushed the hospitality industry
worldwide but international travel has been a blessing in disguise for hospitality in Himachal Pradesh. More specifically,
homestays have thrived September onwards even as hotels are barely staying afloat.

 Development projects – the foundation stone of four mega hydroelectric projects costing Rs. 11,000 crore has been
laid or even inaugurated here. Sawra-Kuddu project, Luhri project, Dhaulasidh project or Renukaji project are going to
meet both the aspirations of Himachal and the needs of the country. Sawra-Kuddu Dam is the first such dam in Asia in
the shape of a piano. Himachal will earn around 150 crore rupees every year with electricity generated from this dam.

 Nauni University launches eight skill development programmes – Dr YS Parmar University of Horticulture and
Forestry (UHF), Nauni has launched eight skill development programmes in collaboration with Himachal Pradesh Kaushal
Vikas Nigam (HPKVN)

 Rural Development Department – The State Rural Development Department is engaged in the implementation of
rural development and poverty alleviation programmes.

Skill training centres:

1. National Skill Training Institute (W), Shimla – It focuses on the development, improvement and effective
implementation of various training programmes. The institute has been equipped with the latest technology/infrastructure as
per prevailing demands for various courses – https://nstiwshimla.dgt.gov.in/about-us

2. Himalayan Skill Development Centre – Himalayan Group of Professional Institutions, Kala Amb encourages
innovation in education and entrepnreeurship. It provides the drive, intelligence, and contemporary infrastructure to all its
stakeholders and inspires them to be inventive, ingenious, and imaginative, whether it be education or entrepreneurship –
https://hgpi.in/himalayan-skill-development-centre/


3. TVC Handicrafts cum Vocational Training Centre – At TCV Handicrafts, they are aiming to give recent Tibetan
refugees a concrete education in traditional Tibetan arts and crafts, and to help them seek gainful employment opportunities
in exile. They have 6 different training sections: Tailoring, Woodcarving, Bakery, Screen printing, Thangka Painting, and
Carpet Weaving – https://www.indiamart.com/tcv-handicraft/aboutus.html
Himachal Pradesh is one of the fast-developing states in India as it has a wide range of industries through which the youth
get opportunities to get skilled and employed as per their interest.

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Himachal Pradesh Kaushal Vikas Nigam (HPKVN):

Himachal Pradesh Kaushal Vikas Nigam (HPKVN) is the primary implementing agency of the Himachal Pradesh Skills
Development Project (HPSDP), the flagship employment and livelihood scheme of the Government of Himachal Pradesh.
It is also the state implemention partner of the Pradhan Mantri Kaushal Vikas Yojana (PMKVY).
These schemes, in line with the National Policy for Skill Development and Entrepreneurship, aim to enhance the technical
and vocational skills of youth in the state through education and training. HPKVN’s immediate goal is to train over a lakh
young men and women in the period 2018-22. The organisation’s broader objective is to prepare the youth population of
the state for the emerging labour markets in India and across the world.

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Recommendations
and way forward

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Recommendations and Way Forward


The New Policy on Skill Development and Entrepreneurship contains several initiatives which, if implemented
earnestly, will go a long way in minimizing the demand-supply gap and challenges related to skill mismatch with
industry requirements.

With increased thrust on manufacturing under the ‘Make in India’ programme, the need for revisiting and
improving India’s skill development mechanism becomes all the more critical. It has been globally recognised
that an efficient vocational education and training plays a critical role in the industrial development and
manufacturing success, as in the case of economies like Germany and China. The study of skill development
models of three countries done in this report highlights some best practices that can be utilised in India’s skill
development eco-system.

Integration of skill development with formal education system, mobilisation of students for skill development by
removing misapprehensions and perceptions about vocational trades, investing in creation of new training
capacities for students as well as teachers, utilisation of idle public infrastructure to provide skill training in
remote corners of the country, encouraging industry to actively participate in training through provision of
apprenticeship as well as through direct involvement in curriculum design and teachers training, adopting
innovative skill development delivery mechanisms are the much-needed steps to meet the skill related challenges
today.

There is a scope of international collaboration and assistance in India’s skill development initiatives at almost all
levels, including for creating awareness and capacities, setting standards, improving quality, as well as providing
placement opportunities.

Some specific measures that can be taken by various stakeholders including the government, industry bodies,
corporates, educational institutes as well as foreign investors and international agencies have been detailed in the
below table.

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Table 6: Way Forward for Skill Development in India

Addressing Issues: What
is required?
Proposals under National
Skills Policy and recent Govt.
initiatives
Policy suggestions:
What (more) needs to
be done and how?
How can other
countries
assist?
Creating awareness and mobilisation
Spreading awareness on the
need for skilling is critical.
Awareness is required for all
stakeholders including students,
parents, industry, teachers as well
as trainers.
A perception change with
respect to skilling is required in
society. Parents and students
need to look beyond
traditionally preferred jobs and
traditional delivery mechanisms
of education and training.
Industry, especially SMEs,
need to be informed about
the benefits of engaging
skilled vis-à-vis unskilled
people.
They also need to be informed about
various institutes/ centers that
supply skilled students for
particular trade.
Industry should recognise
the training/skill development
offered as per national
occupational standards and
offer skilled workers premium
in pay.
National campaign to be launched to
create awareness and promote
skilling. The delivery mechanisms
will include dedicated television
channel, community radio as well as
social media.
A National Portal for skilling will be
created, which will also include a
Labour Market Information System
(LMIS). This system will provide
information on sectors, modules,
training opportunities, etc. to enable
students to make informed choices.
It will also aggregate data on all
persons mobilized and seeking skill
development training.
Skill India Logo to be used to
promote value of skilled workforce
and encourage certified skilling.
Industry will be encouraged to move
towards employing certified skilled
people and to rationalize
compensation by awarding skill
premium for increased productivity
due to higher skills.
Prime Minister’s Skill Development
Fellow Scheme to be introduced
wherein selected candidates will
work with State and District
administration to spread awareness
related to skill development.
Special mechanisms in delivery of
training such as mobile training
units, flexible afternoon batches,
Awareness on need for
skilling should be taken
up in mission mode and
activated at the local
level, including states,
districts and villages.
Different communication
mechanisms should be
adopted for each level.
For example, SSDMs can
organize advertisement
campaigns in vernacular
language through
electronic as well as print
medium.
Schools can be engaged
effectively for counselling
students at early stages
(e.g. class 5) about
vocational education,
apprenticeship and
associated career paths.
School staff and
teachers to be sensitized
about vocational training
and apprenticeships as
potential career paths for
students.
Encourage students to
opt for vocational stream
in schools by providing
incentives like stipend for
rural students for
boarding and lodging.
International
agencies can
participate in
awareness
campaigns and
workshops and
make
presentations on
international
case studies.
They can
highlight the
contribution of
vocational
training in
improving
livelihoods and
providing
alternate career
opportunities.

23 | S k i l l i n g E c o s y s t e m


Addressing Issues:
What is required?
Proposals under National
Skills Policy and recent Govt.
initiatives
Policy suggestions:
What (more) needs to
be done and how?
How can other
countries
assist?

training based on local area
needs, etc. will be introduced to
ensure participation and
mobilization of women.
are provided in China due
to which enrolment in
vocational education is
very high there)
Counselling sessions
should also be organized
for parents, highlighting
some national and
international case studies.
Introduce financial
incentives for employers
for employing
apprentices, retaining
apprentices as permanent
employees and for
employing the
disadvantaged. Such
financial incentives may
be linked to performance.

Creating capacities/ infrastructure

24 | S k i l l i n g E c o s y s t e m

Significant new
capacities need to
be created for
training for different
trades across the
country. Hence,
novel ideas would
have to be
developed to utilize
the existing
infrastructure with
government for skill
development
purpose.
To address the issue
of migration, training
infrastructure needs
to be created close
to the catchment
areas including
sourcing cluster.
Government plans to incentivise
use of existing infrastructure for
adding training capacity; the
infrastructure that can be made
available includes
1.55 million schools, 25,000
colleges, 3,500 polytechnics,
1,50,000 post offices, 100,000
kiosks, and 65000 km of railway
network with 8000 stations.
New ITIs in PPP mode to be set
up as Multi Skilling Institutes
(MSIs).
Massive Open Online Courses
(MOOC) and virtual classrooms to
be developed for delivery of
vocational education.
The Rajasthan SLDC has
been implementing an
innovative model of
movable training
institutions (mobile vans/
buses) for some of its
remote geographical
pockets. A similar model
can be used across India
to provide training at
village levels and thereby
encourage rural
population, especially
women, to take up
training for specific skills
and earn a living.
Use of information
technology through e-
education and training
should be widely adopted
to create virtual
Foreign
governments,
corporates and
multilateral
agencies can
make significant
investments in
skill
development
initiatives in
India. They can
also participate
in setting up skill
centres and
Universities.
Exchange and
Twinning
programmes can
be introduced at
schools and
colleges to
Addressing Issues:
What is required?
Proposals under National
Skills Policy and recent Govt.
initiatives
Policy suggestions:
What (more) needs to
be done and how?
How can other
countries
assist?
capacities. facilitate
exchange and
capacity
building
programmes for
students,
administrators
as well as
teachers.
Integration, Mobility and Transition

25 | S k i l l i n g E c o s y s t e m

Vocational education
needs to be
integrated with
general education in
schools and colleges.
Additionally, the
course curriculum
should be made
practical, in line with
industry’s
requirements, and
constantly upgraded
through feedback
from the industry
There has to be a
seamless facilitation
from secondary to
higher education if a
student chooses to
study vocational
courses. This would
also encourage more
students to opt for
vocational training as
the fear of not being
able to pursue higher
education in the
future will not be
there. The Australian
VET system allows
easy movement in
and out of vocational
National Universities for Skill
Development will be institutionalized
which will include a network of state
level institutions affiliated to it.
Vocational training to be integrated
into formal education by introducing
vocational education for four years
from class 9, in at least 25% of
schools. Skill courses will be
independent subjects that will also
carry qualifying marks for admission
to higher levels. Pilot projects have
already been running in a few states
(e.g. Haryana, Karnataka).
Special focus will be laid on youth
who do not wish to continue with
school or higher education. Special
programmes will be initiated for
providing skill training to those who
have eight years or more of
schooling. NSQF as a means to
integrate and provide multiple
pathways between general and
vocational education will help school
drop-outs make choices about
vocational courses.
The National Skills Qualification
Framework (NSQF) includes
recognition of prior learning and
establishing a credit system for
skills, knowledge, and experience
NSQF is a step in the
right direction and it has
to be ensured that all
institutions make a
collective effort in
aligning their
qualifications as per the
set standards.
Foreign
countries can
assist India in
aligning various
standards to
internationally
acceptable
standards. This
will enable
recognition of
India’s skilled
workforce and
provide
international
opportunities for
Indian
workforce.

26 | S k i l l i n g E c o s y s t e m


Addressing Issues:
What is required?
Proposals under National
Skills Policy and recent Govt.
initiatives
Policy suggestions:
What (more) needs to
be done and how?
How can other
countries
assist?
training, which offers
flexibility to students.
gained by an individual either
formally or informally. NSQF is
expected to enable multiple entry
and exit between vocational
education, skill training, general
education, technical education and
job markets.
All formal and vocational education
including skills training will have to
be aligned with the NSQF by
December 2018.
Multi Skilling Institutes (MSIs) will
be affiliated to Skill Universities, and
provide a bridge into general higher
education through diplomas/
certificates based on a credit
framework aligned to the
appropriate NSQF level.
Polytechnics will be converted into
community colleges, which will
provide NSQF-aligned vocational
courses along with Bachelor’s
degrees in vocational studies.
At least 25% of all existing higher
education institutions would offer
additional career oriented courses
with specialized skills at an
appropriate level of NSQF.
Kaushal Vardhan Kendras (KVKs) to
be set up at village level to mobilise
and impart skills to school drop-
outs, adolescent girls, housewives
and rural youth to enable them to
secure a sustainable livelihood.

27 | S k i l l i n g E c o s y s t e m

Greater Industry linkage
Dual systems like that
in Germany integrate
work-based and
school-based learning
and impart more
practical skills. The
Training curricula will be developed
in consultation with industry
representatives, experts and
academia.
Industry houses including MSMEs
will be incentivized to
The Higher Education
policy needs to be in line
with present and
projected employment
opportunities, and hence
there should be a focus on
Indian
subsidiaries/
Indian units of
foreign
companies can
adopt some ITIs

Addressing Issues:
What is required?
Proposals under National
Skills Policy and recent Govt.
initiatives
Policy suggestions:
What (more) needs to
be done and how?
How can other
countries
assist?
system of
apprenticeship needs
to be encouraged
and could be made
mandatory for
specific vocational
courses.
Industry exposure to
student will help in
acquiring relevant
skills and improve the
prospects of
placements.
Industry linkage is
also important for
faculty training to
keep them abreast
of
latest changes.
institutionalize paid apprenticeship.
Training providers should tie-up
with industry in relevant trades for
improving placement opportunities
for students. Government support to
training providers will be linked to
the placement performance and tie-
ups with industry.
revising the curriculum
and offering relevant new
courses.
Incentives can be
devised to encourage
firms (including MSMEs)
to undertake regular
apprenticeship
programmes. This may
include provision of tax
incentives, grants for part
funding, etc.
for upgrading
their skillsets
(Eg. Bosch India
has agreed to
take over 25
ITIs in
Maharashtra)
Financing mechanism

28 | S k i l l i n g E c o s y s t e m

Skill development
requires at least partial
state funding. The
problem of under-
investment by different
stakeholders is often
addressed by creating
infrastructure and
providing financial
assistance for skill
development. A
combination of public
and private funding is
demonstrated to yield
the best results.
Since it is not feasible
for the state to
undertake the entire
cost of skill
development, incentive
mechanisms that induce
private players and
Government to support creation of
training infrastructure in public and
private domain through equity,
grant and loan support.
It is proposed that the industry
should earmark at least 2% of its
payroll bill (including for contract
labour) for skill development
initiatives in their respective sector.
Government to promote grant of
scholarships, rewards and skill
vouchers for funding of training
costs for those with an inability to
pay the training fees. Skill Vouchers
can be redeemed by the training
providers based on a performance
linked payment schedule subject to
successful completion of training.
Innovative funding
mechanisms need to
be evolved to
encourage greater
enrolments in skill-
development
initiatives.
Government may
consider setting up a
training fund to facilitate
financing of poor
students for pursuing
vocational training.
Students are willing to
take huge loans for their
higher education but not
so for skilling. Innovative
ideas need to be evolved
to encourage students to
take out loans for skill
training too. First of all,
skill courses need to be
made more attractive by
Multinationals in
foreign countries
like UK,
Germany,
Australia, etc.
can enter into
third country
collaborations
with training
providers in
India, wherein
they can sponsor
the skilling of
Indian youth
customized to
specific
requirements of
their units across
the world. The
training costs in
India would be
much lower and

29 | S k i l l i n g E c o s y s t e m


Addressing Issues:
What is required?
Proposals under National
Skills Policy and recent Govt.
initiatives
Policy suggestions:
What (more) needs to
be done and how?
How can other
countries
assist?
students to invest must
be instituted. The
funding framework of
China can serve as a
good example.

ensuring placements and
attaching a premium to
the pay for higher skill
capabilities. Costs of
funds for willing students
can be lowered by
introducing interest
subvention schemes for
skill related loans,
providing tax exemptions
towards repayment of
such loans, etc.
will provide a
win-win
proposition for
all countries
involved.
Quality improvement

30 | S k i l l i n g E c o s y s t e m

The standardisation
process to improve the
quality of vocational
education and training
is already in process but
needs to be expedited.
National Standards for
each occupation should
have national as well as
international
recognition.
The ITIs need to be
upgraded in terms of
equipment, course
content, as well as
faculty.
All the National Occupational
Standards (NOS) and Qualification
Packs (QPs) developed by Sector
Skill Councils for various trades will
be examined and reviewed by the
National Skills Qualification
Committee (NSQC) before being
conferred ‘National Standards’.
Thereafter, all vocational training in
the country will have to align to
these ‘National Standards’.
NSQF will be aligned to globally
recognized standards. Transnational
standards will be created for specific
trades having the potential
opportunity to international
workforce mobility.
National Universities for Skill
Development and Entrepreneurship
to be promoted as an institute of
excellence for skill development and
for training of trainers.
Industry representatives will be
encouraged to become guest faculty
at Multi-Skilling Institutes. Industry
professionals will also be empaneled
as adjunct faculty in relevant areas
for teaching during off-hours.
More ITIs need to be
upgraded with respect to
course content,
equipment and
technology. ITIs adoption
by private enterprises
should be encouraged.
Foreign
corporates can
enter into tie-ups
with training
providers in
India, wherein
quality skills can
be imparted to
candidates who
can later be
absorbed for
overseas
placement in
their companies.
This will serve
the dual
objective of
enhancing skill
quality in India
and also assure
supply of skill
labour for
foreign countries
facing skill-
shortage due to
an ageing
population.
International

Addressing Issues:
What is required?
Proposals under National
Skills Policy and recent Govt.
initiatives
Policy suggestions:
What (more) needs to be
done and how?
How can other
countries assist?

Standard certifications for trainers
will be institutionalized.
trainers and
experts can
be invited for
training of
trainers in India.

31 | S k i l l i n g E c o s y s t e m






Report prepared by:

As per the direction of worthy Director,
Technical Education Vocational & Industrial Training
Himachal Pradesh, the report on Access to Skilling:
Expansion of Skilling Ecosystem in India has been
prepared by the following:



Er. Naveen Kumari Er. Shivender Doegar
Principal, Principal (Sr. Scale)
Govt. ITI Jogindernagar, Govt. ITI Mandi (Gr.-A)
Distt. Mandi (HP) Distt. Mandi (HP)
Tags