The recent NITI Aayog report on skilling and employment has once again brought
the "credential-to-capability" gap into focus. For years, the conversation has been
stuck in a cycle of setting massive, abstract targets for millions of youth without
fundamentally changing the infrastructure of how that training is delivered or
incentivized.
My take, rooted in my long-standing proposals, is that we must move beyond the
"construction-heavy" approach and leverage the assets we already have.
1. Stop Building, Start Utilizing
The government’s plan to build thousands of new skill centers is slow, expensive,
and unnecessary. We have over 5,000 engineering colleges and 1.3 million
schools across India. Their workshops and classrooms sit idle for more than 16
hours a day. We should be partnering with these institutions to turn them into
skill hubs, which would accelerate our program without the long mobilization time
or the massive capital expenditure.
Email - "RE: Whom to Train ? How to Train ?" - March 2016
2. Transform MSMEs into "Skill Training Centres"
We currently have roughly 57 million MSMEs. If we allow them to engage
apprentices without arbitrary caps—and incentivize them by subsidizing a portion
of the stipend through Direct Benefit Transfer (DBT)—we could create millions of
"on-the-job" training positions. The government’s role should not be to build
classrooms, but to create the policy "triggers" that allow the private sector to
scale training organically.
Email - "Apprenticeship : Half Way house ?" - Oct 2023
3. Shift from "Job Seeking" to "Job Creation"
No government or private sector entity can realistically create 12 million jobs
every year for the new entrants to our workforce. The goal must be to empower
these youth to become self-employed. By providing them with skills that map to
actual industry demand—which we can track via big-data analysis of millions of
job advertisements—we can make our workforce truly "employable" rather than
just "credentialed.
" Email - "IDEAS TO CREATE JOBS" - Aug 2015
Blog - "National Job Skilling Policy" - April 2026
4. Data-Driven Alignment
We have been calling for an integrated labor-market data portal for years. NITI
Aayog is finally moving in that direction, but we need more than just a registry.
We need a live, organic database that links the Udyam, e-Shram, and NCS portals
to provide real-time signals on what skills are actually in demand. This is the only
way to avoid the disconnect between what colleges teach and what the industry
requires.
Blog - "Better / Faster than interlinking of Rivers ?" - Feb 2022
The Bottom Line
The NITI Aayog policy is a sensible step forward, but its success will not be
measured by the number of students enrolled, but by the measurable workplace
capabilities they possess on "Day 1." If we stop treating skilling as an academic
exercise and start treating it as a performance-based service industry—using the
idle assets of our schools and the massive scale of our MSMEs—we can finally
turn our demographic dividend into a powerhouse of productivity.
Sources
| # | Title | Date | About |
|---|---|---|---|
| 1 | IDEAS TO CREATE JOBS | 2015-08-01 | Proposes incentivizing MSMEs to take apprentices to drive self-employment and skill acquisition. |
| 2 | RE: Whom to Train ? How to Train ? | 2016-03-01 | Suggests using existing, underutilized engineering college workshops for vocational training. |
| 3 | Better / Faster than interlinking of Rivers ? | 2022-02-01 | Discusses linking national employment portals for real-time skill and recruitment data. |
| 4 | Apprenticeship : Half Way house ? | 2023-10-01 | Details a plan to reform the Apprenticeship Act to scale training across the MSME sector. |
| 5 | National Job Skilling Policy | 2026-04-01 | Reviews NITI Aayog’s recent skilling policy, emphasizing outcome-driven architecture and data alignment. |

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