NITI Aayog Report ‘Reimagining Skilling for Viksit Bharat’

NITI Aayog releases the report “Reimagining Skilling for Viksit Bharat” highlighting an education-employment mismatch in India’s skilling ecosystem. The report cites data from the Economic Survey 2024-25 and discusses graduate unemployment, NEET estimates, and an outcome-oriented skilling approach.

NITI Aayog Report:

Dimension	Key Details
Qualification-job alignment	Only 8.25% of graduates are employed in jobs aligned with their qualifications.
Unemployment rates	Graduate unemployment stands at around 13%, unemployment among graduate women is 20.4%, and the national unemployment rate is 3.2%.
Undergraduate enrolment	Of 3.4 crore undergraduate students, 1.13 crore are enrolled in B.A., and combined enrolment in B.A., B.Sc., and B.Com exceeds 2 crore.
Educated unemployment trend	Unemployment among graduates below 25 rises from 35% (1983) to 39% (2023), and among graduates aged 25-29 rises from 12% to 20%.
Credential inflation	The report comprises a description of credential inflation where possession of degrees expands faster than the availability of suitably skilled employment.
NEET estimate and clarification	NITI Aayog identifies 8.7 crore people aged 15-29 as NEET, accounting for 11% of the population outside the labour force, and has clarified that NEET in its report refers to people not seeking employment and should not be equated with unemployment or added to the unemployment rate.
Skilling participation gap	The report comprises figures showing non-pursuit of skills among 47% of women, 43% of youth, 36% of higher-education students, 52% of formal workers, and 55% of informal workers, with inadequate information about suitable programmes among the leading reasons.
Vocational education pathways mentioned	Technical and vocational pathways comprise ITIs, diplomas, and vocational training.
Factors influencing career choices	Career choices are influenced by: examination scores and family preferences; perceived social status of conventional degrees; cost of acquiring additional skills; inadequate knowledge of career alternatives; and absence of visible success stories from vocational pathways.
Wage return figures	A generic undergraduate without additional skilling earns an average starting salary of about ₹22,000 per month, compared with ₹29,000 for a similarly qualified graduate with skilling, and the initial ₹7,000 monthly difference could translate into an estimated ₹9.7 lakh cumulative income gap over 10 years.
Women-specific barriers	For women, barriers comprise concerns regarding safety, trust, social permission, time constraints, and uncertain employment outcomes.
Current skilling programme success metrics	Existing programmes often measure success through enrolment and completion rather than placement, wage progression, career advancement, or long-term employability.
Schemes with inadequate awareness	Awareness remains inadequate for schemes such as PMKVY, DDU-GKY, and PM Internship Scheme.
Model shift described	The report provides for a move from an input-based skilling model to an outcome-based model where funding and institutional performance are linked to employment, earnings, and career progression.
Industry-linked degree redesign examples	The report provides for redesigning generic degrees into applied specialisations such as B.A. Hospitality, B.Sc. Applied Technology, and B.Com. Analytics.
Work-based learning programmes	The report provides for scaling up Apprenticeship Embedded Degree Programmes (AEDP) and Work-Integrated Degree Programmes (WIDP) to integrate classroom learning with practical experience.
Sectors prioritised for skilling	Skilling priorities comprise high-growth sectors such as green industries, electric vehicles, and emerging technologies.
Sectors mentioned for reskilling support	Workers affected by technological disruption or structural decline comprise those in traditional automotive manufacturing and mining, and the report provides for reskilling and transitional income support for such workers.
Institutional infrastructure measures	The report provides for: greenfield PPP skilling universities drawing on models such as the World Skill Center in Odisha; PPP skilling hubs within existing public campuses; industry partnerships to redesign college curricula; greater academic and administrative autonomy for ITIs; and local-demand-based courses with flexible trainer and procurement arrangements.
General employability skills listed	General employability comprises digital literacy, financial literacy, communication, workplace readiness, and entrepreneurship skills.