Substack

Tuesday, February 5, 2013

India "skills deficit" fact of the day!

The FT has this striking stat about India's skills deficit, 
Out of the 12.8m joining the workforce every year, only 8 or 9 per cent have any skills, while many can barely read having left school at 13.
In simple terms, we have a double challenge if we are reap the "demographic dividend". There is a "skills deficit" crisis - unemployable youth coming out of a failing schools system - coupled with a "jobs" crisis - economic growth not accompanied by job creation.

There are no quick-fixes, irrespective of whatever the NSDC does, for making "unemployable" youth emerging from 10-12 years of schooling employable over a short period. The schooling system has to be fixed and structural problems in the labor market has to be addressed. Unfortunately, both, especially the former, are super-difficult problems. Sadly, I am not optimistic about much progress in this regard in the medium term. They hardly get a mention in mainstream debates which harp on improving investor confidence and restoring animal spirits. 

No comments: