Transcript Slide 1
International Workshop on Skill Development : Policy learning & Exchange
6 May 2010 Mythili Ravi IL&FS Cluster Development Initiative Ltd.
TVET - Rationale
• • • • Globalisation leading to – Greater opportunities in world trade – better technology, larger markets – Competition – more players & relocation of global brands to low-cost production destinations Competitiveness – vital for survival – through productivity improvement (capital and labor) Actualise Growth Potential Inclusive Growth Agenda 2
Millions 450 400 350 300 250 200 150 100 50 0
Constraints in Agriculture sector for livelihoods
• 54% of population dependent on agriculture, but….
• Contribution of agriculture to economy reduced from 32% in 1990 91 to 18.5% in 2004-05
1993-94 Agriculture 1999-00 Secondary Tertiary 2004-05
3
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Jobs generation in secondary and tertiary sector
Formal sector employed … – 55million in 1999-2000 (NSSO 55 th – 63 million in 2004-05 (NSSO 61 st round) round) – That is 8 mn jobs in 5 years, or 1.6 mn. annually Some estimates of skill needs / employment projections in select sectors Textile, Garment & Apparel: 26.20 million by 2022 Leather & Leather Products: 4.64 million by 2022 Construction : 47.30 million by 2022 Logistics : 4.00 million by 2022 Auto & Auto Components : 11.70 million by 2022 Organised Retail : 17,34 million by 2022 Banking, FS, & Insurance : 4.22 million by 2022 Tourism & Hospitality : 4.46 million by 2022 General Engineering : 3.00 – 5.00 million by 2012 (conservative est.)
500 mn additional jobs by 2022, or 42 mn jobs every year At the same level of 7% from organised sector, 3.3 mn. Jobs every year in organised sector alone
Source: General Engineering and Logistics, NSDC report & IL&FS Analysis
Ongoing Transformation
• • • • Farm to non-farm Rural to urban Unorganised to organised Subsistence self employment to decent wage employment India Labour Report, 2008
• • • • • • • • •
Employment and Vocational training Status
Informal workers 92-93% of the work force. Of this, 86% (393 million) work in informal sector and 6-7% in formal sector Unorganised sector contributes 60% of GDP Characterised by low skills, poor productivity & poor income 2.5% & 12.5% of the informal workers are exposed to formal & informal vocational training One-third illiterate and fall below poverty line Another one-third have primary & middle school background Only 15.7% of Rural persons (10.2% of women) above 15 yrs of age have educational attainment of at least secondary school level Only 2% have technical skills Source NCEUS, 2009
Key Issues In Background Paper
• • • • • Increased enrolment for VE LMIS – how to collaborate with industry Mechanism for vertical and horizontal mobility of VE for skill enhancement Need if any, for differences between rural and urban school curriculum for VE Funding aspects
Why poor enrolment
• • After VE in 12 th – – no clear road ahead? Point of no return?
Is it possible to enter labour market directly ?
– Is there a career path in the VE stream ahead (diploma, graduate, PG, etc. in VE) ?
– Is there an equivalence? Can the person get into formal higher education?
VE at 11 th
standard level excludes a big section
School drop outs at primary level and secondary level
(engaged in traditional crafts, trades, etc. ) • Do they have any avenues? • Do they find value in the courses offered ?
• Do they have the time or money to spare (
Why poor enrolment
• It is unimaginative and has poor relation to needs, clear goals and outcomes
Target Group
For School students Unorganised Sector
What it offers
Cannot get a job after VE in Class XI & XII @ No clear relation to their current /most likely occupations @ No structured approach to career advancement @ Though 104 courses are listed, course material developed only for a quarter of those. Chosen six disciplines are • agriculture (eg. Vet pharmacist / technician; watershed management) • Business & Commerce (eg. Taxation practice, stenography) • Humanities (eg. Classical dance ; entrepreneurship) • Engg & Tech 9eg. Lineman, cost effective bldg tech) • Home Sciences 9eg. Textile design, gerentology) • Health & paramedical skills (eg. X-ray technicial, health / sanitary inspector)
Suggestions – improve enrolment
• • • • For youth that continue and complete school education – Vocational education in schools should be aimed to build basic knowledge underpinnings, which will be the base for vocational education and training during post secondary school studies – Seamless integration between VE in “academic institutions” and Vocational training in “technical institutes” – Enabling Two-way movement between Academics and VE For early school drop-outs, Persons engaged in traditional crafts, trades, etc. – Create a parallel stream for TVET. Can we have policy and other enablers to earn a formal “graduate” / PG/ PhD in “trades” / crafts?
– Can we have methods to certify / license a tradesman or artisan?
– Can we move away from ineffective “EDP” programs, and towards formal subjects that cover various aspects of owning & running an enterprise?
– Schools have the greatest reach in remote locations. Leverage this by making available the infrastructure & resources to ANYONE intending to deliver skill dev program Need to reduce school drop-outs before we can provide VE for it is these drop-outs who are likely to benefit from VE courses School to facilitate needs of adults – semi-literates, semi-skilled & non-skilled workers
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Suggestions – LMIS – how to collaborate with industry
Define inputs and outputs to skill needs in chosen occupations –
Engage industry – make them partners – Engage them in development of course curriculum
– Engage them in certification process
– Ask them to sponsor / adopt students Try for the best fit –
Technical partners including international collaborations
Suggestions – vertical & horizontal mobility
• Policy & Planning – Perfect coordination or convergence of authority among different policy agents – Integrated national framework for basic knowledge (academics) & Skills development – Clarity in roles & responsibilities – Clear and focused plan to “include” the illiterates, early school drop-outs, traditional artisans, etc. for being ‘educated’ to move from mere weaver →designer →merchandiser → exporter; etc.] [eg. casual lab to entry in factory; traditional weaver to be given opportunity
Suggestions – Funding issues
• Rationalisation and clarity on cost recovery • WB estimates of per trainee public expenditure Rs.3,863 for VE and Rs.20,747 for VT – 90-95% of which is in salaries • MORD provides Rs.14,132 per trainee for its
Placement linked
program under SGSY-Sp Projects • MES – Rs. 15 per person per hour – works out to Rs. 3,600 for a 30 working day-8 hr daily schedule • DIPP – Rs. 10,000 per person trained and placed (new worker) – Rs.2,500 per worker for skill upgrdation Need for changing the broad brush approach to costs of ‘training’, which varies significantly depending upon outcomes, inputs, nature of vocation, geographical locations and target beneficiaries
More Suggestions….
Reluctance of industry to train the workers for fear of losing them • Allow intermediaries on “for-profit” with viability gap funding for cost recovery linked to outcomes • Get a pool of fund from industry linked to net profits and no. of employees Lack of access to credit for setting up training institutes • NSDC kind of agencies to fund • Make banks loans to education 7 VE a priority sector Excessive government regulations – Result: more than 50% of sampled pvt / NGO institutes were unaccredited • Rationalise regulation • Integrate policy and regulatory bodies for Education and VE • Flexibilty in content, etc.
The Story of a Young Girl
Thank you
School drop-outs
• • • Primary school enrollment is approx. 125 million Which drops to 25 million in class IX-X and Further to 13.4 million in class XI-XII
A whopping 89 million do not enter higher secondary where VE is introduced
VE for the informal sector
• • • Only relevant courses possibly are those under MES, NOS, etc.
But are they conceived keeping in mind the needs of this segment?
Perhaps not…..
– – – – Because of poor relation to their existential needs Entry barriers Sheer lack of knowledge Cost of taking up the course and its poor relation to benefits – No structured approach to offer a career improvement plan
Mobilization of the excluded
In attracting the poor, school drop outs to TVET Deal with high opportunity cost Deal with lack of clear career path for these people Deal with entry barriers Effectiveness of the training in terms of outcomes (job offer) Migration issues Poor income status (cost recovery) • • • • • Partners to reach them – DRDA & Local Panchayat – NGO’s – Local Government bodies Awareness of our program Counselling Career goals & progression Industry participation is also encouraged.
Exposure Pamphlets Banners Camps Telephone
Rozgar Rath
Mobilisation - methods and tools
Other Partners NGOs, PRI Individuals Reference
Informal Sector
Own account & employers Unpaid Family workers Regular salaried wage workers Casual workers 1993-94 % 32 23 14 32 100 2004-05 % 33 24 15 28 100 Only 59 mn are regular wage workers.
A whopping 334 mn. Are either “self-employed” or casual workers or unpaid family workers
Trainee Selection Process
Trainer Calculating the Peg-Board Score
Trainer checking the Colour Blindness of a candidate
Training goals & methods
• • Placement as goal Content exactly as per industry • needs • Delivery in local language Delivered in Multimedia format
Defining outcomes -Factory Simulated Training Room
Industry Simulated Workshop
Technical Partners
Certification by industry bodies other accepted technical institutions
K-Yan
Assessment & Certification
• 3 rd party Assessment by the Expert Agencies: