The story to this point:
Over the past decade, India has constructed one of many largest skilling ecosystems on the earth. Between 2015 and 2025, India’s flagship skilling programme, Pradhan Mantri Kaushal Vikas Yojana, has educated and licensed round 1.40 crore candidates. But skilling has not turn into a first-choice pathway for many younger Indians. Employability outcomes stay uneven, and Periodic Labour Drive Survey (PLFS) knowledge present that wage features from vocational coaching are modest and inconsistent, notably in casual employment, the place most employees are absorbed, providing restricted recognition for licensed abilities and little seen enchancment in high quality of life.
Why does skilling nonetheless fail to encourage aspiration?
India’s Gross Enrolment Ratio (GER) stands at 28%, however the Nationwide Schooling Coverage 2020 goals to boost it to 50% by 2035. This can’t be achieved simply by increasing conventional schooling; it have to be built-in into larger schooling pathways in a approach that makes it simpler for folks to be taught new abilities.
Regardless of years of funding, solely about 4.1% of India’s workforce has obtained formal vocational coaching, barely enhancing from about 2% a decade in the past (PLFS; World Financial institution). In distinction, throughout OECD international locations, about 44% of upper-secondary learners are enrolled in vocational programmes, rising to round 70% in international locations resembling Austria, the Czech Republic, Finland, the Netherlands, the Slovak Republic and Slovenia.
The India Abilities Report 2025 exhibits that post-degree skilling by graduates will not be a mainstream or high-participation behaviour in India. If skilling is to scale meaningfully, it should journey by way of and alongside formal schooling.
How can {industry} contribute meaningfully?
Trade is the one largest beneficiary of efficient skilling and educated manpower. In keeping with numerous {industry} reviews, excessive attrition, lengthy onboarding cycles, and productiveness losses impose actual prices, with attrition charges of 30-40% frequent throughout retail, logistics, hospitality, and manufacturing alone.
But, there may be nonetheless not a lot participation from the {industry}. Most employers don’t use public skilling certifications as hiring benchmarks; as an alternative, they use inner coaching, referrals, or non-public platforms (NITI Aayog; World Financial institution). The Nationwide Apprenticeship Promotion Scheme (NAPS) has elevated participation, however its results are nonetheless unequal, notably amongst greater firms.
Trade is neither incentivised nor obligated to meaningfully contribute to related curriculum improvement, certification requirements, or evaluation rigour at scale. So long as skilling stays one thing {industry} consumes fairly than co-designs, it’s going to lag labour-market actuality.
Why do Sector Ability Councils fail?
Probably the most severe structural failure in India’s skilling ecosystem lies with the Sector Ability Councils (SSCs).
SSCs have been created with a transparent mandate: to behave as industry-facing establishments that outline requirements, guarantee relevance, and anchor employability. In impact, they have been meant to personal the skilling worth chain — from figuring out {industry} demand to certifying job readiness. That mandate has not been fulfilled.
As we speak, accountability is fragmented: coaching is delivered by one entity, evaluation by one other, certification by SSCs, and placement by another person — if in any respect. In contrast to larger schooling or technical establishments resembling polytechnic diploma schools, the place reputational threat enforces accountability, the skilling system diffuses accountability with out consequence.
This fragmentation has eroded belief. Employer surveys often point out that SSC credentials have restricted signalling worth in comparison with levels or prior work expertise. Requirements exist, however employers don’t reliably rent towards them. Trade-led certification fashions illustrate what’s lacking. Certifications from AWS, Google Cloud, or Microsoft work as a result of the certifier’s credibility is at stake. Assessments are honest and graded, not binary, and employers know what an authorized candidate can do.
SSCs have been meant to play this function at a nationwide scale. As a substitute, they’ve largely restricted themselves to requirements creation, with out proudly owning outcomes. Till SSCs are held accountable for employability, certification will stay symbolic fairly than financial.
The continuing overhaul of standard-setting our bodies should confront this straight.
How can skilling drive sustained financial progress?
India’s skilling problem is a failure of accountability, not of intent or authorities funding.
Increasing NAPS and deepening {industry} integration can turn into one of many quickest levers to enhance job readiness at scale by pushing skilling into the office. Initiatives like PM-SETU, the central scheme for modernisation of ITIs, level in direction of stronger execution fashions the place {industry} possession and accountability are constructed into programme design.
When abilities are embedded in levels, when {industry} is handled as a co-owner, and when SSCs are made answerable for placement outcomes, skilling transfer from fragmented welfare intervention to a pillar of nationwide financial empowerment.
That shift is not only about jobs. It’s concerning the dignity of labour, productiveness, and India’s skill to transform its demographic power into sustained nationwide progress.
Pravesh Dudani is the Founder & Chancellor of Medhavi Abilities College and an Advisor to NSDC
Printed – January 06, 2026 10:37 pm IST
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