Economic Survey: 51.25% of Indian Youth Lack Employable Skills
Nirmala Sitharaman – Union Finance Minister
The 2023-24 Economic Survey, presented in Parliament by Finance Minister Nirmala Sitharaman, reveals that while 65% of India’s population is under 35, only 51.25% of this youth have employable skills.
This statistic indicates that nearly half of India’s young population is not equipped for modern employment.
The survey highlights ongoing issues in vocational training, citing the 2022-23 Ministry of Skill Development and Entrepreneurship (MSDE) report which points to low rates of formal and non-formal vocational training.
“According to the NSSO 2011-12 report on the Status of Education and Vocational Training in India, only 2.2% of people aged 15-59 received formal vocational training, while 8.6% received non-formal training,” the report noted.
The Economic Survey underscores the necessity of a skilled workforce to effectively meet both domestic and international job market demands.
Despite the skills gap, the youth unemployment rate has decreased from 17.8% in 2017-18 to 10% in 2022-23. There has been an increase in new EPF subscribers aged 18-28, and female labor force participation, particularly in rural areas, has been on the rise.
The female labor force participation rate has steadily increased over the past six years, with a significant 16.9 percentage point rise in rural areas between 2017-18 and 2022-23, reflecting growing female contributions to rural production.
Social Reaction:
Online users have criticized the government’s handling of the unemployment crisis.
One user wrote, “AI-induced job losses have driven Indian youth to unhealthy habits and stock market speculation. Is this survey offering any real solutions, or just more political rhetoric?”
Another user commented, “The Economic Survey is full of bewildering statistics. It’s hard to take it seriously.”