Transcript Document
‘SKILLS INITIATIVE’ 17 July 2015 1 Reality Check • 1073 Mn population with a 460 mn workforce Unemployment at 9.1% - 42 mn (CIA World Fact Book) • By 2010 – 63 mn unemployed; more than entire population of UK, France & Italy • 90% workforce in the unorganised sector • 30% (140 mn) casual labour with no regular source of work or income 17 July 2015 2 Reality Check • Abysmally low per capita income- India ($460), US ($30000), Sri Lanka($833) • Overall productivity extremely low – India ($5.45/person), Thailand ($11.69), Mexico ($20.51) • Large Scale unplanned rural-urban migration causing urban poverty, slum dwellings proliferation, crime, etc • Low skill levels among women causing rise in unemployment rate for women 17 July 2015 3 Falling Behind the Dragon CHINA INDIA Population 1298 mn 1073 mn Per Capita USD 890 USD 460 Below Poverty Line 5-10% 25-29% Manufacturing as part of GDP (2002) 35% 15% Productivity per person USD 6.88 USD 5.45 17 July 2015 4 Falling Short • 2.5 mn graduates passing out of colleges each year without skills connecting to employment • ITIs - outdated curriculum, outmoded attitude, lack of quality trainers & output • Mismatch between educational system output and Industry’s manpower requirements • Over 70 per cent of the labour force combined (organized and unorganized sector) is illiterate or educated below the primary level. 17 July 2015 5 Skewed ??? • Employment skewed - agriculture 55%, services 28%, industry 17% • At present rate of Urbanization, 46% of total population i.e. 634 mn people in urban regions of India by 2030 – (UN,1998) • Countries like Srilanka, Phillipines & Bangladesh seizing international opportunities for employment • Areas such as Agriculture, Construction, Travel & Tourism, Retail, Healthcare completely unbenchmarked causing un-competitiveness 17 July 2015 6 The Way We Are Headed • Rise in educated unemployment leading to disaffected & disillusioned youth • Education raising aspirations but not providing skills for commensurate level of jobs & remuneration causing discontent • The level of frustration a potential cause for Socioeconomic backlash – insurgency & terrorism • Global un-competitiveness of Industry/workforce/economy • Excessive strain on urban public services causing urban un-sustainability • Spatially imbalanced growth; sections of society disaffected & not partaking in economic growth 17 July 2015 7 VISION INDIA To make India ‘The Skills Capital of The World’ 17 July 2015 8 Mission • Provide skills that connect directly to work and effectively address the Skills gap and unemployment resulting thereof • Help industry deliver internationally competitive performance by having access to locally available, internationally benchmarked, skilled manpower trained in line with their requirements • To impart skills through training, across sectors, based on a sustainable framework with consistency • To involve the private sector in skills development through partnership in this project 17 July 2015 9 Opportunities • Globally Ageing Population – over the next few years Japan (8mn), USA (17mn), Europe (20mn) will retire creating global employment opportunities • Young Indian Population – 53% below age of 24; • Government focus on Education & Employment as a priority • Independent Organizations/institutes already on ground doing work though in isolation • Spare Capacity for Training delivery exists – Services Network/ ITIs /Colleges 17 July 2015 10 Ageing Population in Select Countries 17 July 2015 11 Pit-Falls • False sense of superiority & comfort with statusquo without measuring against global standards • Aspiring to become a Service economy without a well developed Manufacturing Sector • Psychological mindset of Indians favouring degree qualifications and not understanding the benefits of vocational education • Socio-cultural attitude to look down upon bluecollared jobs. • Opposition from parties with vested interests, conventional education system 17 July 2015 12 Hypocritical??? • 90% cut-off at Delhi University? (Long queues, no job connection.) • Is theory backed up by practical experience? • Would you have your son join an ITI today? • Would you have your daughter marry a blue collared worker? • Would you have your son undertake a vocational course rather than a bachelor’s/professional degree? • Whom do you respect more a plumber or an accountant? 17 July 2015 13 Challenges • To build a scale that is meaningful and can dent unemployment significantly • To build consensus • To work across the length & breadth of the country • To work across sectors/industries • To ensure consistent output across the country in line with Internationally benchmarked standards • To do this on a sustainable basis 17 July 2015 14 Challenges – Blue/White/Grey/Rust • While aspiring for white collars, not to forget that grey / blue/ rust collar are essential for balanced economic growth • Drain from blue collar jobs impoverishes Manufacturing sector, depletes industry from valuable human capital causing drag on performance and rendering industry uncompetitive • To bring about balanced development between the Services, Manufacturing and Agriculture Sectors • Develop Blue/Grey/White/Rust collar workforce to International standards • Scale up the value chain in each of these sectors 17 July 2015 15 Four Collared Work Force •Requirement of a system that produces a multi-collar workforce. •White collar work force- fortunately there is no shortage in this category. •Grey collar workforce -the knowledge worker. Which includes ICT skills, problem solving, analytical, and effective communication skills. •Blue collar workforce - for shop floor work in manufacturing and the service sector. •Rust collar work force - trained in basic skills across sectors. 17 July 2015 16 Proposal • • • • • • • • • Onsite Skills Training & Testing CII-City & Guilds joint certification Across the country, across sectors Practical hands-on skills focus Clearly benchmarked international standards of performance Accessibility, Quality and Cost Stringent Quality Assurance System in place Consistent output across the country Independent Assessment & Verification 17 July 2015 17 Principles • Localised approach – assessing local needs and using local framework to address the needs • Maximum Impact skills and sectors selected • Subsidized Fee Structure to provide accessibility • Skills for Women – (Hair Dressing & Beauty Therapy, Teaching, Nursing, etc.) • Centrally administered ‘Train The Trainers’ • Self-sustaining in later phases • Placement assistance connecting candidates to jobs • Building pathway for international progression 17 July 2015 18 Sample Skills Available •Health •Community and Social Care, •Motor Vehicle Engineering, •Sales and Marketing, •Office management and Secretarial Practice, •Laundry Services, •Driving, and Transportation •Transportation logistics, -- warehousing, packaging, preservation, cold chain management, distribution, 17 July 2015 19 Sample Skills Available · •Travel and Tourism •Hospitality •Telecommunication •Computer and BPO •Agriculture •Horticulture •Floriculture •Small Businesses •Garment and Hosiery •Air-conditioning •Hairdressing 17 July 2015 20 Skills in Construction Sector Alone.. •Scaffolding, •Masonry, •Fencing, •Tiling, •Painting and Finishing, •Plumbing, •Carpentry, •Building, •Sanitation, •Water, •Ready Mix Cement, •Facilities Management and back up support. 17 July 2015 21 Some Skills in Agriculture Tropical Agriculture Agro-processing Horticulture Animal Husbandry Floriculture Pisciculture etc. 17 July 2015 22 Benefits • Individuals – Allow candidates to acquire skills for employment and growth – Enhanced levels of performance due to internationally benchmarked skills – Mobility from unorganised to organised sector – Enhanced opportunities for women employment – International mobility allows seizing global employment opportunities 17 July 2015 23 Benefits • Industry – Allows sourcing certified skilled manpower in line with actual workplace requirements – Increased Industrial performance in terms of quality & productivity – Enhanced Global Competitiveness – Allows for benchmarking and facilitates structuring unorganized sectors 17 July 2015 24 Benefits • Country – Reduction in unemployment at a significant & meaningful scale – Diffusion of Discontent and potential cause for socio-economic unrest – Planned rural-urban migration – Balanced growth across sectors – Socio-economic integration of backward and remote areas 17 July 2015 25 Pilot Scheme 17 July 2015 26 Framework 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 Yr Yr Yr 1 2 3 CANDIDATES • Project in 3 Phases • 1 million candidates in 3 years • The project would be administered through circles • Training & testing through network of centres within each circle • These would include both technical & non-technical skill centres • These would be centres from industry /academia /services/ government 17 July 2015 27 Centres Sr. No Centre Name Programs Capacity Shillong 1 ARWA / ICAR Cane & Bamboo Cultivation Integrated Farming Vermiculture Mushroom Farming Dairy Farming Poultry Piggery Horticulture 17 July 2015 120 28 Centres Sr. No 2 Centre Name Mumbai Programs Hindustan Construction Company Shuttering Carpenters Trowel Trades Capacity Two Batches of 25 each. Total 50. Painting & Decorating Soil Lab Technicians 17 July 2015 29 Centres Sr. No 3 4 Centre Name Programs Pravaranagar Pravaranagar Rural Motor Vehicle Education Society Engineering (ITI - Pravaranagar) Pravaranagar Rural Fabrication, Pipework & Education Society Welding (ITI - Pravaranagar) 17 July 2015 Capacity 80 57 30 Centres Sr. No 5 Centre Name Gurgaon Programs Saksham Centre of Motor Vehicle Professional Engineering Excellence (SCOPE) 17 July 2015 Capacity 20 31 Centres Sr. No Centre Name Programs Capacity Jammu & Kashmir 6 Beauty Hair Dressing Baramula /Srinagar Travel & Toursim 50 50 50 Food Processing 50 17 July 2015 32 Additional Centres Sr. No 1 2 3 Centre Name New Delhi Mumbai Chennai Programs Travel & Tourism, Food Preparation, Food & Beverages Services, Hair Dressing, Beauty Therapy Electronics, Engineering,UPS Maintenance, Networking, Basic Engineering,Motor Vehicle Engineering, Hair Dressing, Beauty Therapy Hair Dressing, Beauty Therapy, Motor Vehicle Engineering, Retail, Food & Beverage Services Capacity Sr. No 500 4 448 5 800 6 17 July 2015 Centre Name Programs Food Preparation,Food & Beverage Services, Kolkata Motor Vehicle Engineering, Hair Dressing, Beauty Therapy Poultry, Bee-keeping, Bihar Pisciculture & Fishery Management Sewing, Machine Anupshashar Embroidery, Block (Rural UP) Printing, Aari work, Zardos Capacity 700 200 100 33 Proposals in the pipeline • Government of NCT of Delhi • Government of Gujarat • Ministry of Defence • Jammu & Kashmir • North-East • Corporate • Haldia Petrochemicals • ACC • TATA • Gujarat Ambuja • Sanmar Group • Quark City • All India Industrial Gas Manufacturers Association • Construction Federation of India • MICO • Handloom Export Promotion Zone in Erode 17 July 2015 34 Government of New Delhi Commonwealth Games • • • • • Target 2010 Proposal to put Soft-Infrastructure in place Objective – World Class Service Experience Safety, Quality and Convenience Public Services – Taxi & Bus Drivers, Tour Guides, Ticketing Agents, Information Providers, Facilities Management, Para-Medical & Emergency Services • Introduce Skills in Schools for grooming Volunteers • Authorised/Recommended list of service providers 17 July 2015 35 Sri Lanka Experience • Established a Foreign Employment Bureau with a Minister in charge. •Also a Minister for Vocational Training and Skills •Difference between Skilled and Unskilled – USD 250: USD 600-700 • Skilled Work Force Moving up the Value Chain and Creating Niche Market 17 July 2015 36 Data-Sources • www.Indiastat.com • www.economictimes.com • CIA World Fact Book • • • • • • www.mckinsey.com www.bbc.co.uk www.ncert.nic.in www.businessweekonline.com www.hindu.com www.economist.com • Lynn’s Book - 21st Century at Work 17 July 2015 37