EMPLOYABILITY ENHANCEMENT PROGRAMME
Section Sub-sections Page
No.
Acknowledgement - EXECUTIVE SUMMARY 1, 2
Introduction 1.1 Background and 3
Rationale
1.2 Objectives of the Study
1.3 Scope of the Paper
1.4 Methodology
Overview of Rural Self 2.1 History and Evolution 8
Employment and Training 2.2 Institutional Structure
Institutes (RSETIs) 2.3 Core Activities and
Training Modules
2.4 Role of RSETIs in Rural
Development
Operational Mechanism of 3.1 Organizational Structure 11
RSETIs 3.2 Selection Process and
Training Delivery
3.3 Partnerships with
Financial Institutions
3.4 Monitoring and
Evaluation
Key Schemes and Funding 4.1 MUDRA and RSETI’s 15
Sources Role
4.2 PMEGP (Prime
Minister’s Employment
Generation Programme)
4.3 Convergence with
Government Schemes
4.4 Financial Support
Mechanisms
ACKNOWLEDGEMENT
I would like to express my sincere gratitude to all those who contributed to the
successful completion of this report on the Skill India initiative. First and
foremost, I am profoundly thankful to the Almighty for granting me the
strength, wisdom, and perseverance to undertake and complete this work. I
extend my heartfelt thanks to Prof. Dr. Anita Singh, my subject instructor, for
her valuable guidance, support, and insightful feedback throughout the course
of this study. Her encouragement and constructive suggestions were
instrumental in shaping the direction and depth of this report. I am also deeply
grateful to Dr. Rhishikesh Dave, Dean, for providing a supportive academic
environment and for his constant motivation and leadership. Lastly, I would
like to thank my peers, friends, and family members whose encouragement
and assistance played a crucial role in this endeavor. This report stands as a
testament to the collective efforts of everyone involved, and I remain truly
thankful for the opportunity to learn and grow through this experience.
Executive Summary
The Skill India initiative is a flagship program launched by the Government of
India to address the pressing issue of employability among the country’s
youth. It is designed to equip individuals with industry-relevant skills, making
them job-ready and capable of contributing to the modern workforce. In a
nation where millions of graduates enter the job market each year, the gap
between academic education and practical, employable skills has become a
major challenge. The Skill India mission addresses this by focusing on
vocational and skill-based training programs that are aligned with current
industry requirements.
This report delves into the broad impact of the Skill India initiative, analyzing
how it bridges the divide between education and employment. It highlights the
core programs under the initiative, such as PMKVY, NSDC, and DDU-GKY,
which play pivotal roles in transforming India’s skill development landscape.
Additionally, it explores key implementation strategies, the challenges faced,
and how these are being tackled through policy innovation and technological
integration.
Furthermore, the report outlines the economic benefits of a skilled workforce
—from increased employability and entrepreneurial ventures to enhanced
productivity and foreign investments. Ultimately, Skill India aims to empower
the youth, enhance the overall quality of the Indian labor force, and promote
sustainable economic growth.
Introduction
India’s demographic dividend presents a unique opportunity as it has one of
the youngest populations in the world. However, the country faces an
unemployment paradox where a large number of graduates remain jobless due
to a lack of practical, market-relevant skills. The traditional education system
has historically focused on theoretical knowledge, often leaving a significant
gap between academic output and industry expectations. This mismatch has
resulted in a scenario where both employers and job seekers are dissatisfied—
the former with the quality of candidates and the latter with limited job
opportunities.
The Skill India initiative, launched in 2015, was conceived to tackle this
critical challenge. It aims to revolutionize India’s approach to human resource
development by offering skill-based education tailored to industry needs. This
report takes a comprehensive look at the rationale behind the program, its
objectives, its various components, and the outcomes it seeks to achieve. From
government institutions to private sector partnerships, Skill India represents a
collaborative effort to transform India into a global hub of skilled manpower.
The study further examines how these initiatives are implemented on the
ground, the extent of outreach to marginalized communities, and the policy
frameworks guiding these changes. Through this analysis, the report evaluates
the effectiveness of Skill India in enhancing employability, boosting economic
productivity, and contributing to inclusive development.
Background and Need for Skill Development
India boasts a vast and youthful population, positioning it as a potential global
powerhouse in terms of workforce availability. However, despite this
demographic advantage, the country faces a daunting challenge—millions of
educated individuals remain unemployed or underemployed. The primary
reason for this paradox is the persistent mismatch between academic education
and the practical skills required by various industries. This disconnect has led
to significant underutilization of human resources, affecting both economic
productivity and individual livelihoods.
Traditional educational institutions have long emphasized rote learning and
theoretical knowledge over skill-based, hands-on training. As a result,
graduates entering the workforce often find themselves ill-equipped to meet
the demands of employers. Simultaneously, industries struggle to find
candidates with the right technical capabilities, interpersonal skills, and
problem-solving acumen. In sectors such as manufacturing, automotive,
construction, healthcare, and information technology, this gap is particularly
pronounced.
Recognizing this urgent need, the Government of India launched the Skill
India initiative to revolutionize the country’s approach to education and
employment. The initiative aims to integrate skill development into
mainstream education and provide structured training opportunities across
sectors. By doing so, it not only improves employability but also contributes to
the economic empowerment of marginalized communities.
The need for skill development is further amplified by rapid technological
changes and the evolving nature of work. Automation, digitization, and
globalization have significantly altered job profiles, necessitating continuous
skill upgrades. With the right training, India’s workforce can capitalize on
these changes, enhance productivity, and drive innovation. The Skill India
initiative is thus a timely and strategic effort to transform India’s demographic
potential into a dynamic economic advantage.
Objectives of the Skill India Initiative
The Skill India initiative is built around a set of well-defined objectives that
aim to foster an ecosystem of continuous skill enhancement, employability,
and entrepreneurship. Its primary mission is to empower youth with the
competencies necessary for gainful employment and to contribute
meaningfully to the national economy. The following are the key objectives of
the initiative:
1. Provide Market-Relevant Skill Training: One of the foremost goals of Skill
India is to impart skill training that aligns with current and emerging market
needs. By equipping individuals with sector-specific technical skills, the
initiative aims to bridge the employability gap.
2. Encourage Entrepreneurship: The initiative seeks to nurture entrepreneurial
mindsets among youth by offering vocational training and support for self-
employment ventures. This objective is crucial in a country with limited
formal job opportunities.
3. Enhance Productivity Across Sectors: By improving the skill levels of the
workforce, Skill India contributes to higher productivity, efficiency, and
quality in key economic sectors including manufacturing, retail, hospitality,
and healthcare.
4. Promote Industry-Government Collaboration: To ensure that skill training
programs are relevant and effective, the initiative emphasizes strong
collaboration between government bodies, industry leaders, and training
institutions. This helps in designing courses that reflect real-world
requirements.
5. Encourage Certification and Standardization: Recognizing prior learning
and standardizing certifications are essential to ensuring credibility in the job
market. Skill India promotes nationally and internationally recognized
certifications, thus enhancing the mobility of workers.
