How apprenticeships can be a game-changer for skill-building | Explained (2024)

New Delhi,UPDATED: Jun 18, 2024 14:24 IST

With a median age of 28 years, compared to 39 years in the US and China, India's demographic sweet spot will help to drive both growth and income over the coming years. Yet, fully tapping into India's vast economic potential requires a responsive focus on improving skill development and employability among its youth, while prioritising inclusive advancement. We face substantial skill deficits, with just around 5 percent of the workforce considered formally skilled.

According to the report 2024, just about 50 percent of Indian youth are employable. As per the World Economic Forum, only one in four management professionals, one in five engineers, and one in 10 graduates are employable. Moreover, future jobs will need both advanced technical skills and softer, transferable skills, to thrive in a highly competitive & fast-paced work environment.

The net result is that industries are struggling to create a sustainable talent supply chain and the students and youth who join the workforce fail to acquire the abilities required by the industry. This necessitates a shift towards holistic skill-based education, as envisaged in NEP 2020, that prioritises skill development alongside theoretical knowledge.

Ramesh Alluri Reddy, CEO, TeamLease Degree Apprenticeship, has shared how apprenticeships can be a game changer for skill building.

EDUCATION HAS TWO PILLARS

Education has two pillars - vocational and theoretical. However, our education system traditionally has been skewed towards qualifications rather than skills. Conversely, traditional vocational training created uni-dimensional skill sets, without strengthening the foundation via education. There is no long term human capital development, a workforce not possessing functional and cognitive skills.

THE CASE FOR APPRENTICESHIPS

Apprenticeships are critical as a means for raising our youth's employability, enabling youngsters to transition from school to the world of work while also contributing to economic growth. By offering structured training programs combining curriculum learning with on-the-job experience, apprenticeships equip individuals with the practical skills and industry-specific knowledge needed to excel in their fields.

This hands-on training enhances employability and increases innovation, productivity, and economic growth. Moreover, apprenticeships reduce unemployment rates by connecting individuals with meaningful employment opportunities and preparing them to succeed in today's competitive job market.

Apprenticeship in India is slowly taking root, and in the last 4 years, the rate of increase of apprentice engagement by organisations has grown by a substantial 35 percent -40 percent (year-on-year) to reach nearly a million apprentices in 2023-24.

However, it still accounts for barely 0.14 percent of apprentice involvement in the labour force, compared to Germany and UK where apprenticeship participation is in the range of 3 percent. A comparable level of engagement can create a pipeline of 20 million apprentices, significantly improving India's productive workforce pool.

INNOVATIONS AND POLICY RECOMMENDATIONS

There are multiple initiatives that can enhance the scope and effectiveness of the apprenticeship ecosystem in India. We are working closely with all the stakeholders - Government, Industry, Academia, Skill Councils and the youth - to bring the ambit of apprenticeship to a much wider network. One major initiative that we are proposing is to enable apprenticeships under the provision of life-long learning, as envisaged in the National Credit Framework (NCrF).

Jointly developed by UGC and high-level government committees, NCrF is a single meta framework designed to integrate the credit earned through school education, higher education, vocation and skill education. To align with evolving learning and work dynamics, it's vital to integrate apprenticeships into lifelong learning, aiding reskilling and upskilling for people of all ages.

CALL FOR HOLISTIC CHANGE

The future offers India the chance to address issues of employment, skills, and sustainable living while also taking measures to minimise disparities in the job market. Additionally, there is a chance to strengthen the ecosystem for innovation and entrepreneurship so that India can fully leverage the aspirations and potential of its youth.

Our education system based on changes suggested in the NEP 2020 is gradually shifting focus from formal learning to tangible skill development with the aim of promoting employability. Apprenticeships, which integrate on-the-job training with academic degree programmes or vocational studies, can help reshape the intersection of education, skills, and employment. They promise improved outcomes for young people and offer companies a significant return on investment.