Undoubtedly, the growing population of India has become a problem in terms of providing jobs and tackling economic development. In today’s rapidly globalizing world and with reasonable advancement in technology the world over, the need for people with skills may perhaps be more necessary than ever. The core to addressing this challenge is the Ministry for Skill Development and Entrepreneurship (MSDE), which is the department responsible for developing the workforce needed for the domestic and export marketplace. From skill development to entrepreneurship and enhanced employability, the MSDE is charting a new course to a more empowered India.
Ministry of Skill Development and Entrepreneurship
Earlier known as the Ministry of Labour and Employment, the MSSDE was formalised in 2014 to implement the government’s broader efforts to tackle the skills demand-supply disparity in India. The swift shift of the Indian economy from agriculture-based to more of an industrial and service-steady skilled workforce is turning into an essential factor that defies the growth of the country. Understanding this reality, the MSDE was established with the responsibility of preparing the youth population, which constitutes a major demographically important population of the country, for employment, career development and contribution to the economic progress of the country.
The formation of the Ministry became the logical step in the reproduction of skill development, entrepreneurship promotion, and vocational education under the umbrella of the large and interconnected ministerial structure to concentrate the development and delivery of the existing programs and schemes.
Vision and Objectives of the MSDE
The vision of the Ministry of Skill Development and Entrepreneurship is clear: to help enable the development of a quality workforce that can compete on the international stage while also developing the skills of a young generation of Indians, promoting new enterprise, and creating quality employment for millions. The main objectives of the MSDE include:
- Addressing Skill Gaps across Sectors: It is widely recognized that a key challenge facing the country is to ensure there is the right human capital available in the right areas of the growing industries such as manufacturing, information technology, healthcare, construction, food processing, and agriculture.
- Promoting Entrepreneurship: Proactively educating the youths on the importance of adopting entrepreneurship and innovative employment chances by coaching them, granting them funds and reducing bureaucratic burden on them.
- Improving Employability: Educating people in a way whereby they can be placed in the workforce as soon as possible, fulfilling certain sector needs.
- Inclusive Growth: Guaranteeing achievement of the skill development programs for various sectors especially for those most left out such as the marginalized, people in the rural regions and women to reduce job bias.
- Sustaining Economic Growth: The systematic process of creating a workforce that is competent enough to fuel sustainable economic growth by matching the development skills.
Key Initiatives and Programs by the MSDE
To this end, the MSDE has put in place several strategic programs and activities that are meant to produce a skilled population and support entrepreneurship in relation to the various sectors of the economy. Here are some of the major programs that have had a significant impact:
Pradhan Mantri Kaushal Vikas Yojana (PMKVY) or Prime Minister Skill Development Scheme
Launched in 2015, the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) could be considered the most-highlighted program of the MSDE. Its purpose is to deliver industry-accredited certification to youths throughout the country, in order to fulfill the skill demands of various fields.
PMKVY has several components:
- Short-term Training (STT): Conducts training with people in one or several skills with the goal of making them obtainable for employment.
- Recognition of Prior Learning (RPL): Designed for persons with prior experience but without professional certification.
- Special Projects: End user specification in various segments such as hospitality, construction, and health care.
Looking at the PMKVY scheme, millions of people on each of the regions have been trained to fit into the required job markets both in India and internationally. Financial inducements are also offered with regard to skill training, which makes the course popular among many people.
Skill India Mission
The Skill India Mission was started in 2015; it is a broad generic campaign under which many projects, including PMKVY, fall. The mission taking into account that the target involves presenting skills to more than 400 million people by the end of the year 2022. This mission involves various categories of skills, skill fields, such as information technology, manufacturing, agriculture, services among others.
However, Skill India Mission also does not only aim at training people employed in different sectors, but it also aims at enter into partnership with key industry players to ensure that the training is well oriented towards the actual feels of the market.
National Apprenticeship Promotion Scheme (NAPS)
On this basis, one of the most significant components of the skill–development process is hands–on learning. To achieve this, new apprentice procurement approach called National Apprenticeship Promotion Scheme (NAPS) has been developed to offer apprenticeship to the youth in paramount industry environment. The employers are supported financially to train the apprentices through NAPS for both a form of academic education and practical experience.
NAPS would like to expand the population of apprentices in India, raise employment readiness of an apprentice, and make the apprentice competitive within the labour market. This programme is most useful in industries where staff development is most critical, for instance in manufacturing firms, automobile and construction industries.
National Skill Development Corporation (NSDC)
To establish and promote the skill development paradigm across the country, a special-purpose vehicle known as the National Skill Development Corporation (NSDC) was planned and put into operation. An organization of public-private partnerships needs to liaise with training service providers to ensure that the training offered is market-relevant and has competencies therein.
It also involves itself in financing development of skills and creating new training models at NSDC. NSDC with its network of partners and investors works to ensure that the demand for skilled human beings in the various sectors meets the supply available on the market.
Atal Innovation Mission (AIM)
The Atal Innovation Mission pronounced by the NITI Aayog aims at encouraging innovation and entrepreneurship throughout the country. AIM stands for promoting innovation centres, start-ups incubators, and accelerators that can help grow creative thinking and turn it into strong business-generating companies.
This initiative is also important to grow a culture of innovation and entrepreneurship for India’s future economy. AIM’s programs are centred on offering training, financial support, and pipelines to business executives who help aspiring entrepreneurs transform their ideas into lacuna-fitting ventures.
Start-Up India Scheme
Start-Up India is yet another step that is similarly poised to enhance the mindset of new ventures and startups in India. They include tax incentive, availability of funds, and efficient laws to regulate young people intending to venture into business on their own.
Surprisingly, the Stand-Up India is closely associated with the Start-Up India which aims to facilitate support to SCs/STs, women entrepreneurs to give them loans to come up with their own start-up.
Role of MSDE in Promoting Entrepreneurship
Self-employment that is entrepreneurship is one of the key causes of employment and the MSDE is involved in this cause. The emerging a start-up culture in India is indicative of the success of these efforts.
- Business Incubation and Acceleration Programs
The institutions the MSDE is working with include other government bodies such as NITI Aayog, and these have been involved in the establishment of incubation centres and accelerators across the country. These centres provide physical space, capital for initial development, guidance and appropriate conditions for the start-ups to develop. They also provide avenues for meeting other leaders, investors and other like-minded businessmen and women.
- Financial Support and Credit Access
Considering the fact that funding is very crucial when it comes to beginning operations in a new business, the MSDE offers several funds in existence in the form of MUDRA (Micro Units Development and Refinance Agency) as well as Credit Guarantee Fund Trust for Micro and Small Enterprise Scheme (CGTMSE). These initiatives offer capital to business individuals at lower interest to make it possible for startups to get the capital needed to finance their businesses.
- Skill Development for Entrepreneurs
While the MSDE plays its role in preparing the youth for employability, it does not leave the young generation entrepreneur without dire need of training as well. These programmes are focussed on special areas of management including business strategy, accounts and finance, marketing, and administration. Also, there are several government run sites offer free information, classes and advice to Emirates interested in starting a business.
Impact of Skill Development on India’s Workforce
Some of the programs that the Ministry has implemented have had profound effects on the working force and economy of the Indian workforce with regard to employment, economic growth and industrialization.
- More Employment and Chances of Getting a Job: To this end, the MSDE has made the youth of this nation more employable by offering skill-based training. Some of the initiatives have empowered people with skills required to practice in conventional and competitive markets such as PMKVY. This has favoured in filling up of the skills gap and has supplied industries with a requisite human resource.
- Economic Progress of a Nation and Technological Development: For enhancing industrial development, especially computer science, manufacturing and construction, a skilled workforce is mandatory. This paper argues that as the employees gain new competencies at the workplaces, industries enhance productivity and thus the competitiveness leading to the development of technology.
Challenges and Future Prospects
However, there are a number of issues that can be seen as significant barriers to success even now. Some of these are; quality assurance of the trainings, growing the number of industries that embrace trainings and awareness creation on the various trainings being undertaken.
But the prospects are bright as the government remains committed to skill development and entrepreneurship and there is a new focus towards such area as artificial intelligence, machine learning and green energy, for instance. Through developing a future cognitive workforce, India is positioned to leverage for the jobs market in the future.
Conclusion
The Ministry of Skill Development and Entrepreneurship is involved with shaping the future skill set of the workers in India. Consequently, rolling out across its extensive programs and schemes, the company has equipped tens of millions of young Indians for the contemporary economy. India’s dream of overtaking other developed countries as one of the leading economic nations of the world depends largely on the efforts that the MSDE is currently making in the aspects of skill development and entrepreneurship. So, India, being in the process of building a skilled and entrepreneurial workforce further, is set to be a significant player in the global economy.
