Indian Economy
National Skills Study
- 20 Nov 2019
- 3 min read
Why in News
According to a study conducted by the National Skill Development Corporation (NSDC), 7 crore additional individuals in the working-age (15-59 years) are expected to enter the labour force by 2023. Of this 84.3% will be in the age group 15-30 years.
- The NSDC has projected trends in the country’s labour market potential during 2019-23 based on:
- Periodic Labour Force Survey (PLFS) for 2017-18,
- Crude Death Rates (CDR) at gender and region (rural/urban) level, and
- Employment-Unemployment Survey (EUS), 2011-12 (68th round).
Key Findings
- Gender: According to the study, one out of five persons (15-30 years age) entering the labour force is expected to be a female by 2023.
- Female labour force participation rate for 15 years and above is estimated at 23.3%.
- According to World Bank data, India’s female labour force participation rate ranks much lower than other Asian economies in 2019, including Vietnam (73 %), China (61 %), Singapore (60 %), Bangladesh (36 %). It is closer to the estimates in countries such as Lebanon (24 %), Pakistan (24 %), Libya (26 %), Tunisia (24 %) and Sudan (24 %).
- Education: According to NSDC, many female candidates in the age group of 15-19 years may not be actively present in the labour force. They would instead opt for higher education.
- Age: Of the total youth entrants (aged 15-30 years) during these four years (2019-23), half are expected to come from the 15-20 years age group.
- State-wise:
- Only six states- Uttar Pradesh, Maharashtra, Madhya Pradesh, Bihar, Tamil Nadu, and Karnataka are expected to account for 50% of the new youth entrants (15-30 years) during 2019-23.
- Among female youth (15-30 years), the highest numbers of new entrants are expected in the years 2021 and 2023 each, while among male youth, the highest number of new entrants are expected in 2023.
National Skill Development Corporation (NSDC)
- It is a public-private-partnership working under the aegis of the Ministry of Skill Development & Entrepreneurship.
- NSDC aims to promote skill development by catalyzing the creation of large, quality and for-profit vocational institutions. It acts as a catalyst in skill development by providing funding to enterprises, companies, and organizations that provide skill training.
- NSDC is the implementation agency for skills training in the country.
