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    Skill development mission in vocational areas:

    Mapping government initiatives

    Tabassum Jamal & Kasturi Mandal

    Globalization has created a great demand for a skilled workforce which is responsive to

    emerging market needs and is equipped with knowledge. Although the Indian economy has

    experience rapid growth over the recent period, the low level of education and formal training

    of the workforce are the matters of concern. In India, informal sector employs nearly 90% of

    the workforce, most of which is either non-skilled or inadequately skilled and there is very

    little investment or opportunity for formal skilling. To get productive employment,

    especially in the informal sector, it is crucial to acquire skill sets with strong labour market

    linkages.

    This section highlights various government initiatives towards skill development by

    reviewing and analyzing the prevailing programmes/schemes under various institutional

    arrangements, to promote a meaningful and employable skill development system.

    Vocational Education and Training in India

    Vocational education and training basically consists of practical courses through which one

    gains skills and experience directly linked to a career. Vocational education generally gets

    offered at school or to drop-outs, at post-schooling level, and sometime on-the-job.

    Vocational training is directly related with specific skills that many employers look for. Thus

    Vocational Education and Training (VET) have both been known to increase productivity of

    individuals, profitability of employers and aid national development. According to a National

    Sample Survey Organization (NSSO) report (No. 517, 61/10/03) two types of vocational

    trainings are available in India: a) Formal and; b) Non-formal. According to a NSSO report

    vocational training is received by only 10% of persons aged between 15-29 years. Out of this

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    only 2% receive formal training, while non-formal training constitutes the remaining 8%. Out

    of the formal training received by that particular age group only 3% are employed.

    Vocational training in India is being undertaken by the Directorate General of Employment

    and Training (DGET), under Ministry of Labor and Employment. The DGET is the apex

    organization of development and coordination at national level for all the programmes

    relating to vocational training through following schemes:

    Craftsman Training Scheme (CTS)-- ITI/ITC Training,

    Apprenticeship Training Scheme(ATS),

    Craftsmen Instructor Training Scheme,

    Advance Vocational Training Scheme,

    Women Training Scheme, Research and Staff Training,

    Instructional Material Development programme and Hi-Tech Training scheme.

    Vocational Training is primarily imparted through public Industrial Training Institutes (ITI)

    and privately owned Industrial Training Centres (ITC) from grade 8th

    onwards. The present

    capacity of both ITIs and ITCs ( region-wise) is shown in Table 1.

    Table 1: Total capacity of ITIs and ITCs in India

    RegionNo. of

    Govt. ITI

    Seating

    Capacity

    of ITI

    No. of

    Private

    ITC

    Seating

    Capacity

    of ITC

    Total No.

    of ITI

    and ITC

    Total

    Seating

    Capacity

    of ITI andITC

    Northern

    Region770 115122 1554 169041 2324 284163

    Southern

    Region361 86732 2660 289646 3021 376378

    Eastern

    Region194 47450 810 138989 1004 186439

    Western

    Region797 178862 740 68922 1537 247784

    Total 2122 428166 5764 666598 7886 1094764

    Source: Annual Report 2008-2009, Ministry of Labor and Employment as of 31.12.2009

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    Fig 1. Region wise distribution of ITIs and ITCs

    Some premier organization providing Vocational Training (Govt. and Non-Govt.) are:

    Khadi and Village Industries Commission (KVIC), which provides EDP and Khadi

    Village Industries training

    Tool Room &Training Centres (DC,MSME)

    Provisions through the National Manufacturing Competitive Council (NMCC)

    CAPART (Council for Advancement of Peoples Action and Rural Technology)

    SRI, Ranchi (Society for Rural Industrialization)

    NGO centres like Ramakrishna Math and Ramakrishna Mission

    Vocationalisation of Secondary Education

    Vocational Education in a much broader sense covers education and skill development at all

    levels from post-primary to tertiary education through both formal and non-formal

    programmes. Vocational Education at the higher secondary stage develops competencies

    required by a specific occupation or a group of occupations, through diversified vocationalcourses. It especially prepares students for self employment. A Centrally Sponsored Scheme

    on vocationalisation of secondary education by Ministry of Human Resource Development

    provides for diversification of educational opportunities so as to enhance individual

    employability, reduce the mismatch between demand and supply of skilled manpower and

    serve as an alternative for those pursuing higher education. The scheme provides for financial

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    assistance to the states to set up administrative structures, conduct area vocational surveys,

    preparation of curriculum, text books, work book curriculum guides, training manuals,

    teacher training programme, strengthen technical support system for research and

    development, training and evaluation etc. Under the Scheme:

    Vocational education is provided in 9,619 schools covering about 1 million students.

    It is proposed to expand vocational education to 20,000 schools and the intake

    capacity to 2.5 million by 2011-12.

    About 150 job oriented courses at higher secondary level are being provided in the

    areas of Agriculture, Business & Commerce, Engineering and Technology, Home

    Science, Health and Paramedical, Social sciences, humanities etc.

    To cope up with the proliferation of work in vocational education, Pandit Sunder SharmaCentral Institute of Vocational Education (PSSCIVE) was set up as a constituent unit of

    NCERT, to provide intensive technical and academic support to the formal and non-formal

    vocational education programmes in the country.

    If compared to China, we find that out there vocational education is imparted at various

    stages; i.e. junior secondary schools, senior secondary schools, adults specialized secondary

    schools; they are run by multiple agencies at various levels. Figure 2 and Table 2 give an idea

    of the capacity of vocational education in China, which is much higher compared to India.

    Fig 2. Capacity of vocational education in China at secondary level

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    Table 2: Basic Statistics on Vocational/Technical Training Institutions (2005)

    ItemSchools

    (Unit)

    Registered

    StudentsGraduates

    Teachers

    and Staff

    (A) Vocational/Technical Training Schools 4230 1723388 1933667 50589

    (1) Run by Education Departments and

    Collectives1321 950537 1053748 28377

    (2) Run by Other Departments 1014 502024 612280 9644

    (3) Run By Private 1895 270827 267639 12568

    (B) Technical Training Schools for Adult

    Farmers166601 37293423 47931805 250694

    (1) Run by Education Departments andCollectives

    160924 35968830 46870460 232963

    (a) Run by Countries 1071 966532 1246986 10699

    (b) Run by Townships 23799 15383126 20053644 76068

    (c) Run by Villages 136054 19619172 25569830 146196

    (2) Run by Other Departments 3756 747538 726818 6397

    (3) Run By Private 1921 577055 334527 11334

    (C) Others 27735 9810336 9476408 224957

    (1) Run by Education Departments and

    Collectives959 1028734 999029 14910

    (2) Run by Other Departments 1544 734478 880572 11518

    (3) Run By Private 25232 8047124 7596807 198529

    Source: China year book

    Contrarily, we in India do not have such an elaborate arrangement as seen in case of China.

    The system in India is centralized with the Ministry of Human Resource Development

    (MHRD) and Ministry of Labor and Employment (MoLE) primarily taking care of education

    and training respectively, an overview of which is provided in Figure 3. Besides, some other

    ministries are also involved in conducting various training programs.

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    Fig 3. Academic, Technical and Vocational parallel training structure/system in India

    There are around 15 more ministries/departments (other than MHRD and MOLE) which

    provide and finance vocational education and training programs in India. Their total annual

    training capacity is around three million students, with a wide variation between programs

    offered by different ministries in term of scope, target groups, curriculum, duration, and

    testing and certification but there is no coordination among them. In many cases, a number of

    courses are offered in an ad-hoc manner and are need based still more industry participation

    and demand driven training programmes are required. Moreover there are certain sectorswhere skill requirement is very high but there is no institutional mechanism involved in

    promoting skills in areas such as construction sector, IT enabled services, consumer and retail

    sector, financial sector etc. Beside this there is a set of emerging occupations for greener

    economies which also require attention.

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    Skill Deficiency in India

    According to the estimates of National Skill Development Policy document, presently, skills

    base of the Indian economy is quite low as compared to other developed economies of the

    world. The present vocational training capacity is estimated to be around 3.1 million while

    12.8 million persons, as per 61st round of National Sample Survey Organization(2004-05),

    enter the labor force every year. The unorganized sector in the country constitutes nearly 90%

    of the work force. Skills in the unorganized sector are acquired through informal apprentice

    system and the prevailing formal training system does not take care of the required skills.

    This eventually has led a huge gap in skill demand and supply. A study conducted by

    Confederation of Indian Industry and Boston Consulting Group (CII & BCG) estimates that

    India is likely to increase deficit of 5.25 million employable graduates and vocationally

    trained workforce by 2012. Contrarily, another study by Boston Consulting Group has

    estimated that by 2020 the world will have shortage of 47 million working people but India

    will have a surplus of 56 million people. However, in order to reap the benefits of

    demographic dividend, India will have to equip this manpower to meet the requirement of

    skill talent across geographies. In this context the Confederation of Indian Industries (CII) has

    conducted a study in selected sectors of economy in the following States:-

    Punjab Textiles, Auto/Auto Components, Light Engineering, Food Processing, Real

    Estateand Construction, Retail and Location based entertainment.

    Tamil Nadu Textiles, Construction, Auto/Auto Components, Light Engineering,

    IT/ITES, Leather.

    Andhra Pradesh Construction, Textiles, Tourism, Healthcare, Engineering,

    IT/ITES, Pharma, Biotech, Paper, Minerals.

    J&K Handicrafts, Hospitality, Agro-processing, Construction, ITES, Repair

    Servicing.

    On the basis of this study CII has projected the following requirement of skilled workers at

    different levels by 2015:

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    Table 3: Estimated requirement of skilled workers at different levels by 2015

    S.

    No.Sector

    Demand

    (in Mn)Skill Level Break-up

    1. Auto 2 - 2.5

    Specialized skills 5%

    Skill category level II 25%

    Skill category level I 30%Minimal education skillable 40%

    2. Construction 15

    Specialized skills 2%

    Skill category level II 11%

    Skill category level I 12%

    Minimal education skillable 75%

    3. Retail 4 - 5

    Specialized skills 6-8%

    Skill category level II 32-43%

    Skill category level I 45-50%

    Minimal education skillable 10-15%

    4. Healthcare 4 - 4.5

    Specialized skills 10%

    Skill category level II 40%Skill category level I 16%

    Minimal education skillable 43%

    5.Banking & Financial

    services4.5 - 5

    Specialized skills 5%

    Skill category level II 15%

    Skill category level I 65%

    Minimal education skillable 15%

    6. Creative Industry 0.5 0.8

    Specialized skills 5%

    Skill category level II 20%

    Skill category level I 65%

    Minimal education skillable 10%

    7. Logistics Drivers: 51 MnWarehouse Managers: 8000

    Total 81 83.8 Mn

    Source: National Skill Development Policy, March 2009

    VET is often considered to be essential for catering to the needs of the industrial sector as evident

    from the CII report. Agricultural sector, which has remained weak in terms of human resource

    base also remains neglected as far as VET is considered. PSSCIVEhas been the backbone in

    terms of providing academic support to VET programmes in this sector. Although 32

    competency based curricula for vocational courses in the discipline of agriculture are

    available across diverse areas, yet enrolment in such courses falls behind the set targets.

    Several modules have also been developed by the institute across a wide range of disciplines

    in the agricultural sector covering hundreds of occupations but they fail to be delivered due to

    non-availability of ITIs and polytechnics; the apprenticeship scheme is also not taking care of

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    this sector. VET in agriculture takes place under the aegis of various Departments/ Ministries

    who have established the training centres, e.g. Krishi Vigyan Kendras, Khadi and Village

    Industry Centres, state institutes of rural development, extension training centres etc. There exist

    several associated schemes under which training programmes are conducted. 119 skills/ modules

    in six areas, i.e. agriculture, poultry, sericulture, fisheries, animal husbandry and food processing& preservation are available under the Modular Employable Skill (MES) programme of the

    Ministry of Labour and Employment which aims to equip people with marketable skills.

    However, the non-formal system often suffers from limitations, e.g. problem of standardization,

    crisis of recognition etc.

    With the new emerging areas of skill development like green food production, hi-tech

    floriculture, precision farming, protected cultivation, post harvest management & value addition,

    development of vocational & entrepreneurial skills among the farmers and rural youth is

    extremely essential. National level interventions like Rashtriya Krishi Vikas Yojana (RKVY)

    and National Food Security Mission (NFSM) aiming at holistic development of agriculture have

    been initiated. Such initiatives recognize skills of people employed in farm and non-farm sector

    (this sector alone provides employment to 41.89 million rural people and would necessarily

    require induction of new skills) in rural areas to be one of the important components to be

    addressed. But all such initiatives require synergy with the NSDM (discussed earlier) in effective

    implementation of programmes and MGNREGA which could ensure job opportunities for pass

    outs.

    National Policy on Skill Development

    To respond to the existing skill gaps and to identify skill needs, the Eleventh Plan has taken

    the initiative to launch a National Skill Development Mission. Under this mission a National

    Policy on Skill Development has been formulated by the Ministry of Labor & Employment.

    The objective of this policy is to create a workforce empowered with improved skills,

    knowledge and internationally recognized qualifications to gain access to decent employment

    and ensure Indias competitiveness in the dynamic global labor market. It aims at an increasein the productivity of the workforce both in the organized and the unorganized sectors,

    seeking increased participation of youth, women, disabled and other disadvantaged sections

    and to synergize efforts of various sectors and reform the present system.

    At present the capacity of skill development in India is around 3.1 million persons per year.

    The XI Five Year Plan envisions an increase in that capacity to 15 million annually. Thus,

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    there is a need for increasing capacity and capability of skill development programs. Under

    the mission several measures have been initiated by the Government at various levels

    catering to different sectors of the economy. Following is a brief discussion of these

    important initiatives:

    A. Institutional arrangement

    A three tier institutional structure has been set up to take forward the skill development

    agenda.

    Fig 4. Institutional structure for skill development

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    NSDC aims to undertake the following functions: a) Identification of skill development needs

    including preparing a catalogue of types of skills, range and depth of skills to facilitate

    individuals to choose from them; b) Development of a sector skill development plan and

    maintain skill inventory; c) Determining skills/competency standards and qualifications; d)

    Standardization of affiliation and accreditation process; e) Participation in affiliation,

    accreditation, examination and certification; f) Plan and execute Training of Trainers; g)

    Promotion of academies of excellence; and h) Establishment of a well structured sector

    specific Labor Market Information System (LMIS) to assist planning and delivery of training.

    Till date, the NSDC has funded 15 projects, including one targeted at tribal youth in the ultra-

    left wing extremist-affected areas of Orissa. The NSDC board has also approved further 14

    proposals where funding is to start soon. Combined, these 29 ventures would train over 40

    million youth in diverse trades over 10 years.

    B. Skill Development Initiative Scheme

    The scheme was started in 2007-08 with an objective to train one million persons in short

    term modular courses in five years at a cost of Rs. 550 crore and then one million every year

    thereafter. Under the scheme, 1158 short term modular courses have already been developed.

    These courses cover 49 sectors and range from 60 hours to 960 hours. The entry level for

    these training programmes is 5th

    grade. Training is being imparted through 6398 Vocational

    Training Providers and competencies of trainees assessed by 22 independent assessing

    bodies. On the basis of their assessment, National Council for Vocational Training Certificate

    is awarded to the trainees, which is recognized nationally and internationally.

    This scheme has been developed in close consultancy with industry, state government and

    experts in pursuance of excellence in vocational training. Modular Employable Skill (MES)

    is the Minimum Skill Set which is sufficient to get an employment in the world of work.

    MES allows skill up-gradation/formation, multi entry and exit, vertical and horizontal

    mobility and lifelong learning opportunities of prior learning. Considering it essential forearly school leavers and existing workers, especially in the unorganized sector, ministry of

    labor and employment has developed this scheme with a new strategic framework.

    Till date, under this scheme (which is based on modular employable skills), 6398 Vocational

    Training Providers (VTP ) have been registered under the six Regional Directorate(s) of

    Apprenticeship Training (RDAT) located in Mumbai, Kolkata, Kanpur, Hyderabad,

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    Faridabad and Chennai . Already 1,079,968 candidates are training under the scheme and

    946,304 have been issued certificates, as per information provided by DGET. Placement for

    persons trained under the scheme is reported to be around 466,923.

    C. Up-gradation of 2122 Government Industrial Training Institutes (ITIs)

    1) It has been decided to modernize/upgrade all 2122 government ITIs. 100 ITIs were

    taken up for up-gradation in 2005-06 at a cost of Rs. 160 crore into Centres of

    Excellence. 21 new courses in production & manufacturing, hospitality, automobile,

    electrical, electronics, construction, information technology, industrial automation,

    refrigeration and air conditioning have been introduced in order to meet the

    requirement of these sectors. Upgradation of 400 ITIs through World Bank assisted

    Vocational Training Improvement Project was undertaken in 2006-07 at a cost of Rs.

    1581 crore. Remaining government ITIs are being upgraded at a cost of Rs. 3550

    crore. Under the scheme, an interest free loan of Rs. 2.5 crore is granted to each ITI.

    In the last three years, 900 ITIs have been taken up which are at different stages of

    modernization.

    2) A special Prime Ministers Package for North-East and Jammu & Kashmir has also

    been given in which 35 existing ITIs in North East have been upgraded and 25 new

    ITIs have been set up at a cost of Rs. 113.7 crore. Under the same scheme, one new

    women ITI at Jammu has been set up and 37 existing ITIs have been upgraded at a

    cost of Rs. 37 crore.

    D. Skill Development through Open and Distance Learning (ODL)--IGNOU Initiatives

    Indira Gandhi National Open University (IGNOU), the national Open University in India has

    also undertaken skill development initiatives by establishing the School of Vocational

    Education and Training. The School offers demand driven and value addedcourses/programmes, focusing on both formal and informal sectors. IGNOU School of

    Engineering and Technology has initiated pioneer effort by launching Vertically Integrated

    Engineering Programme known as IGNOU-VIEP to encourage vertical mobility in this field.

    Besides engineering, IGNOU offers training programmes, certificate and diploma programmes

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    over the past five years for skill development in the in the field of agriculture, animal husbandry,

    food processing etc.

    IGNOU has also developed different skill certification programmes for unskilled/semi skilled

    workers mainly in two areas namely footwear and construction industry. Under this

    certification scheme the workers are trained at industrial sites and competency based trade

    certificates are given to workers and supervisors after their necessary training and evaluation

    wherein a candidate is judged by his/her performance evidence, supplementary knowledge

    and prior achievement evidence.

    Key Issues

    Different institutes impart vocational training but they do not have coordination

    among themselves. There is a significant need to review the activities on skill

    development under various institutes/ministries and enhance their coordination.

    A network mapping of various stakeholders should be done to bring synergy to the

    demand and supply of skilled manpower.

    The structure of the job market is changing, therefore the structuring of courses

    should be demand driven specially for emerging occupations.

    Financing of vocational institutes occurs in an unstructured manner. This should be

    based on the performance of institutions to motivate the drive for innovation and

    excellence.

    Tracer studies should be conducted to provide feedback on the capability and

    capacity building of the present VET infrastructure.

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