India has the youngest workforce in the world. By 2022, the country will need 700 million skilled workers to establish its prowess as a stable and progressive economy. With a big and eager-to-contribute workforce at our disposal, the task doesn’t seem daunting, right?
Of the 150,000 engineering graduates in 2015, at least 80% are unemployable More than 47% of India’s youth lacks basic skills that employers seek in fresh graduates
These are just few numbers. A detailed study will reflect a direr scenario. The demand and supply of updated and relevant skills is grossly mismatched, thus creating a Skills Gap. The reason lies in our outdated education system that churns out graduates and not skill proficient workers. Good grades seem to be the norm and not skills-training. Resultantly, skills necessary to fill jobs are either fictional or insufficient.
The reality of Skills Gap is sure to put a dampener on the Make in India campaign besides causing other developmental impediments. India, however, is not alone in this. As per a Manpower Group survey, 38% employers surveyed across the globe are unable to fill jobs. Countries like Japan, Peru, Hong Kong and Brazil are struggling the most with finding skilled professionals. By 2020, the global economy will have 95 million more low-skilled workers than needed. Clearly, the economic viability of businesses and financial progress of world economies stands to suffer due to the swelling lack of skilled workers.
The way we see it, the situation is grim but not beyond fixing.
The Learning and Development (L&D) industry has a big role to play, now more than ever. This global skills challenge requires increased investments and reliance on eLearning. SpringPeople believes that eLearning is capable of rectifying this problem and yields results as well. The perks of eLearning make cost and resource saving possible for businesses making this a viable option to upskill employees in reduced time. With new constantly evolving training methodologies, eLearning offers unparalleled effectiveness.
We also believe that employees must take control of their careers. A system that enables employees to select the next career-alleviating or efficiency improvement training is an excellent way to incorporate continuous skills development. However, this freedom also needs to be incentivized to ensure proactive efforts. This will definitely pull more employees towards training, especially those who either see no value in training or are simply averse to it.
Skills Gap also presents an opportunity to harness the potential of an unexplored talent pool. HR practices need to make way for a more agile hiring process for those who donâ€™t fit the typical job seeker tag. There exists an unconventional job market with mid-level skills. These include stay-at-home moms, retired professionals, defense veterans, folks without a formal degree but with a knack for learning, and so on. Technical training offered to this untapped talent group with work hour flexibility is an easy solution to manage the Skills Gap. Additionally, this will ease the burden on the regular workforce as well.
While we cannot obliterate the Skills Gap in a short span, we can shift perspectives on learning. An open mindset about learning, not limited to acquiring college degrees from Ivy Leagues and the like, will go a long way in preparing an employable workforce from the day they finish the course.
The world needs a vocationally skilled workforce. To make that a reality we also need more training companies that can train with efficiency and speed to assist with this mammoth task. Talk to us if you are looking to train your team or want to upskill yourself.