Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011),...

47

Transcript of Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011),...

Page 1: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered
Page 2: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

1 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Contents

S.NO. CONTENTS SLIDE NO.

1 Objectives of the Study 2

2 Methodology 4

3 Socio-Economic Profile of Tamil Nadu 7

4 Human Resource Requirement 19

5 Human Resource Availability 24

6 Youth Aspirations 28

7 Skill Gap 32

8 Recommendations 40

Page 3: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

2 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Objectives

Page 4: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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Objectives of the Study

The study objectives included the following at the state as well as the district levels:

• Socio-economic profiling – demography, economic profile of district by industry and state of

education.

• Identification of developmental opportunities keeping in mind factor endowments and stakeholder

perspectives.

• Identification of specific developmental initiatives/projects which have an impact on employment

generation.

• Articulation of the aspirations of the youth.

• Identification of the current and future (2012, 2017 and 2022) skills and human resource

requirements by industry and estimate the gap that exists.

• Studying the existing VT infrastructure both in the private sector, and the government domain.

• Suggestion of suitable interventions/recommendations to address the skills gap.

• Development of specific and actionable recommendations.

• Recommendations were also to include specific initiatives that NSDC can take based on the

mandate of the organization.

• Creation of an action plan

Page 5: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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Methodology

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Methodology

RESEARCH METHODOLOGY

The quantitative and qualitative gaps with regard to skill development were assessed through a

combination of primary and secondary research methods

SECONDARY RESEARCH

• Socio-economic profile of the districts examining population, sex ratio, literacy, major industries,

growth of district GDP

• Existing infrastructure and state policies

• Data analysis for output, employment and growth drivers

PRIMARY RESEARCH

• 25 Focus Group Discussions with 245 Youth

• 250 Field Surveys and Interviews with:

• Government Departments

• Industry

• Training Providers

• Youth

• Unorganized Sector

Page 7: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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SOCIO-ECONOMIC PROFILE Demographic Profile

Industry Profile Education and Training

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SOCIO-ECONOMIC PROFILE Demographic Profile

Industry Profile Education and Training

Page 9: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

8 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Socio Economic Profile of Tamil Nadu (1/5)

Demographic Indicators (2011)

Population Density Across Districts in 2011

Source: Census 2011

Indicator Tamil Nadu India

Population 7,21,38,958 1,21,01,93,422

Population Density (per sq km) 555 382

Sex Ratio 995 940

Literacy 80.33 74.04

Male Literacy 86.81 82.14

Female Literacy 73.86 65.46

Source: Census 2011 (Provisional)

Tamil Nadu performs better than the all India average

in terms of sex ratio and literacy

Page 10: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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SOCIO-ECONOMIC PROFILE Demographic Profile

Industry Profile Education and Training

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10 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Socio economic profile of Tamil Nadu (3/5)

Economic Performance in FY 2012

• Tamil Nadu’s NSDP was nearly Rs.

5.69 lakh crore in 2011-12,

approximately 7.72% of the national

domestic product.

• The state economy grew at 9.39% in

2011-12, as compared to India’s GDP

growth of 6.5%.

• Per capita income at current prices is

Rs. 84,058, higher than the national

average of Rs. 60,603

Source: Reserve Bank of India (2012), Tamil Nadu Statistical Handbook (2012), Tamil Nadu Vision 2023 (2011)

Sectoral Composition of GDP in Tamil Nadu

The share of the services sector in the economy is

steadily growing

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Socio Economic Profile of Tamil Nadu (4/5)

2,170 2,776

4,799 4,864 5,021 5,130 5,182 5,950 6,648 6,654 7,215 7,636 7,786 8,187 8,910 9,575 10,060 10,338 10,854 11,380

13,394 14,172 14,337

18,328 19,451

21,379 21,391 21,820

35,411 39,924

46,376 91,749

0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 1,00,000

Perambalur Ariyalur

Sivaganga Ramanathapuram

Dharmapuri The Nilgiris

Theni Karur

Krishnagiri Thiruvarur

Pudukkottai Thoothukkudi Virudhunagar Nagapattinam

Dindigul Tiruvannamalai

Viluppuram Namakkal Cuddalore

Kanniyakumari Tirunelveli

Erode Thanjavur

Madurai Salem Vellore

Tiruchirappalli Tiruppur

Coimbatore Thiruvallur

Kancheepuram Chennai

District GDP in INR Crore, 2011

Source: Indicus Analytics Market Skyline of India (2011)

The contribution of the top 4 districts to state GDP is 42.8%. Chennai’s GDP is nearly six times the state average. The lowest 16 districts account for 32% of the population and 20% of the state GDP.

Page 13: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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Source: Department of MSME (2009)

Industrial Clusters, 2009

Socio Economic Profile of Tamil Nadu (5/5)

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SOCIO-ECONOMIC PROFILE Demographic Profile

Industry Profile Education and Training

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24

.36

13

.72

8.0

5

3.3

Primary/Junior Higher Secondary Middle /Senior

Drop-outs in Lakhs

Institution Number Capacity Enrolment

Primary Schools 34,871 62,17,720 61,16,793

Middle Schools 9,969 38,58,974 36,80,471

High Schools 5,167 28,40,569 23,08,530

Higher Secondary Schools 5,660 16,39,677 15,03,033

Arts & Science Colleges 633 9,70,009 7,35,407

Polytechnics 351 1,64,575 1,18,340

Engineering Colleges 491 1,95,324 1,62,231

ITIs, ITCs and other Registered Training Institutes 1,747 2,19,494 1,53,646

Education Infrastructure (2011)

Source: Sarva Shiksha Abhiyan, Department of Employment and Training, Department of Higher Education (2011), Athena Research

College

Socio Economic Profile of Tamil Nadu (2/5)

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Vocational Training Infrastructure (1/2)

Source: Government of Tamil Nadu (2011), Athena Research

• Tamil Nadu has a total of 62 Government ITIs

• Courses are offered for 39 engineering trades and 17 non-engineering trades, varying in duration from 6 months to 3 years

• 51,000 applications are received each year, of which 23,000 students are admitted

• The state also has 672 ITCs with a total seating capacity of 60,320 across 110 trades

• 933 industrial schools offer courses varying in duration from 45 days to 2 years

• The state also has 118 community colleges under IGNOU

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Vocational Training Infrastructure (2/2)

Source: Government of Tamil Nadu (2011)

Low per capita availability of training infrastructure

Moderate per capita availability of training infrastructure

High per capita availability of training infrastructure

• VT infrastructure is distributed unevenly across the state. It is low in districts with a low level of industrialization and sparse population.

• In per capita terms, Cuddalore, Dharmapuri, Erode, Kanniyakumari, Perambalur, Pudukkottai, Sivaganga, Thanjavur, Theni and Tiruchirappalli have high availability of VT infrastructure.

• Ariyalur, Krishnagiri, Thiruvallur, Thoothukkudi and Tiruppur have relatively low per capita availability of VT infrastructure.

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17 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Overview of State Schemes (1/2)

TER

TIA

RY

SEC

TOR

Education:

Target: General

Programmes: teacher

training

Capacity: 49,000

candidates per year

Information Technology:

Target: General

Programmes: IT

Capacity: NA

Tourism and Culture:

Target: General

Programmes: Guide

training programme, hotel

management, hospitality

and logistics

Capacity: 3,337

candidates per year

Transport:

Target: General

Programmes: Heavy

vehicle driving, light

vehicle driving, aircraft

flight and maintenance

Capacity: NA

SEC

ON

DA

RY

SEC

TOR

Handlooms, Handicrafts,

Textiles and Khadi:

Target: Artisans, khadi

workers

Programmes: Brass and

copper item

manufacturing, palm

product manufacturing

Capacity: 77 candidates

per year

Micro , Small and

Medium Enterprises:

Target: 8 std pass,

unemployed youth

Programmes: tool

engineering, ceramic

technology, glass training

Capacity: 49,487

candidates per year

Cooperatives:

Target: 8 std pass,

unemployed youth

Programmes:

management

Capacity: 1,241

candidates per year

Source: Government of Tamil Nadu Policy Notes (2011)

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18 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Overview of State Schemes (2/2)

PR

IMA

RY

SEC

TOR

Agriculture:

Target: Farmers

Programmes: Pest

management, agro

processing, marketing,

seed training,

entrepreneurship

development

Capacity: 43,970+

candidates per year

Animal Husbandry,

Dairying and Fisheries:

Target: Farmers, fisherfolk

Programmes:

Management, marketing,

Maritime education

Capacity: Fisheries 3200

candidates per year

Environment and Forests:

Target: General

Programmes: forest

management

Capacity: NA

WEL

FAR

E

Adi Dravidar and Tribal

Welfare:

Target: Tribals

Programmes: Textiles,

leather, hospitality, health,

soft skills and language

Capacity: 25,000

candidates per year

Welfare of Differently

Abled Persons:

Target: Differently Abled

Programmes: Medical

technology, electronics,

computers, teacher

training, book binding,

teacher training, chalk

training, weaving

Capacity: 456 candidates

per year

Social Reforms:

Target: Disadvantaged

women and children

Programmes: Teaching,

tailoring, computers,

beautician, baking, wire

bag manufacture,

knitting, services, repair

Capacity: 800 candidates

per year

Rural Development:

Target: Rural poor and

government officials

involved in programme

implementation

Programmes: Enterprise

development, multiple

skilling programmes,

Pudhu Vazhu Project

Capacity: 1,90,063

candidates trained so far

Source: Government of Tamil Nadu Policy Notes (2011)

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Human Resource Requirement

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Incremental Human Resource Requirement (1/4)

Source: Athena Research

Incremental Human Resource Requirement by Industry in 2012-17 (in 000s)

992

797

290

185

176

174

172

133

103

103

95

77

71

67

53

11

10

9

Service sector driven growth on account of rising demand for infrastructure and support services with growth of businesses

High growth expected in chemicals on account of the setting up of PCPIR along the Cuddalore - Nagapattinam coast

High proportion of unskilled resources in highly labor-intensive sectors

The largest human resource requirement for skilled resources will arise in service sectors such as IT/ITES, BFSI, healthcare and education

Strong growth expected in the textile sector across districts

High auto growth around Chennai expected due to strategic location and availability of multi modal transport. Gradual growth of human resource requirements in other automotive hubs such as Coimbatore and Erode.

Page 22: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

21 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Incremental Human Resource Requirement (2/4)

Source: Athena Research

Incremental Human Resource Requirement by Industry in 2017-22 (in 000s)

2176

1357

419

323

246

235

230

181

170

108

105

101

97

85

76

16

16

14

Industry trends suggest increasing growth and organization of retail

Gradual substitution of unskilled resources with semi skilled resources expected in industries showing a trend towards higher formalization

Strong demand for services expected to accompany economic growth in other sectors.

Highest semi skilled and skilled human resource requirement is expected in Chennai, Kancheepuram, Thiruvallur, Madurai and Coimbatore.

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Incremental Human Resource Requirement (3/4)

Incremental Human Resource Requirement by District (in 000s)

INCREMENTAL HUMAN RESOURCE REQUIREMENT (in 000s)

2012-2017 2017-2022

UNSKILLED SEMI SKILLED SKILLED TOTAL UNSKILLED SEMI SKILLED SKILLED TOTAL

Ariyalur -1 8 8 13 5 12 12 27

Chennai 196 170 270 620 287 273 391 936

Coimbatore 139 72 106 312 223 116 151 485

Cuddalore 14 39 44 248 57 62 67 330

Dharmapuri 24 22 24 70 58 37 37 131

Dindigul 48 45 50 142 95 74 77 245

Erode 61 40 56 152 113 63 80 252

Kancheepuram 152 122 168 417 257 196 242 671

Kanniyakumari 111 62 68 238 202 107 105 410

Karur 22 17 22 60 44 27 31 102

Krishnagiri 45 27 31 102 90 45 45 179

Madurai 95 76 96 258 168 124 144 427

Nagapattinam -11 32 29 67 24 55 50 144

Namakkal 34 26 32 91 70 42 46 158

Perambalur -10 6 4 0 -4 9 7 13

Pudukkottai 20 20 23 62 51 32 34 117

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Incremental Human Resource Requirement (4/4)

Incremental Human Resource Requirement by District (in 000s)

INCREMENTAL HUMAN RESOURCE REQUIREMENT (in 000s)

2012-2017 2017-2022

UNSKILLED SEMI SKILLED SKILLED TOTAL UNSKILLED SEMI SKILLED SKILLED TOTAL

Ramanathapuram 7 34 33 73 34 57 54 144

Salem 81 61 77 213 158 99 113 364

Sivaganga 20 17 20 56 46 28 30 103

Thanjavur 16 50 55 120 55 82 86 223

The Nilgiris 33 40 42 114 49 67 66 181

Theni 17 14 19 49 29 22 26 77

Thiruvallur 147 105 130 351 243 166 185 564

Thiruvarur -35 13 9 -14 -14 21 18 25

Thoothukkudi 37 42 48 122 78 69 73 216

Tiruchirappalli 74 63 80 214 137 104 120 359

Tirunelveli 84 52 68 196 149 84 98 323

Tiruppur 90 44 64 197 149 68 91 308

Tiruvannamalai 16 43 42 101 66 72 68 206

Vellore 117 70 90 268 210 112 129 443

Viluppuram 18 38 40 97 74 62 62 198

Virudhunagar 60 38 50 117 109 56 67 202

Page 25: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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Human Resource Availability

Page 26: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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Human Resource Availability

Total Population

8,01,49,059

Working Age Population

5,27,71,262

Labour Force

3,43,37,314

Work Force

3,35,73,476

Total Population

8,82,38,256

Working Age Population

5,77,13,558

Labour Force

3,83,11,449

Work Force

3,75,07,488

Estimation of Human Resource Availability for Tamil Nadu

2017 2022

Incremental human resource availability is estimated to be 35.02 lakh in 2012-17 and 39.34 lakh in 2017-22

Page 27: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

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Incremental Human Resource Availability Incremental Human Resource Availability by District (in 000s)

• The decline of the crude birth rate is likely to lead to moderate population growth over the next decade.

• The highest incremental human resource availability at the semi skilled level is expected in Chennai, Kancheepuram, Tiruchirappalli, Coimbatore and Tirunelveli.

• The largest human resource availability at the skilled level is expected to be in Coimbatore, Kancheepuram, Chennai, Madurai and Vellore.

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27 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Incremental Human Resource Availability Incremental Human Resource Availability by District (in 000s)

• The availability of semi skilled resources is low in districts such as Dindigul, Namakkal and Sivaganga.

• The availability of human resources across skill levels is low in districts such as Ariyalur, Perambalur and Thiruvarur.

• The Nilgiris has seen a negative growth in population over recent years, leading to negative growth in human resource availability.

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Youth Aspirations

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Youth aspirations – mismatch between industry demand and

aspirations (1/3)

High

Low

Inc

rem

en

tal M

an

po

we

r P

ote

nti

al

High Low Youth Aspirations across Sectors

Leather,

Construction,

Food

Processing

Textiles,

Media &

Entertainment

Automobile, IT &

ITES, Travel &

Tourism, Retail,

BFSI

Gems & Jewellery,

Chemicals &

Pharmaceuticals,

Furniture

Agriculture,

Handloom &

Handicrafts

Transport &

Logistics,

Healthcare

Real Estate

Electronics

Hardware

Education

Source: Athena Research

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Youth aspirations – mismatch between industry demand and

aspirations (2/3)

Source: Athena Research

Districts with High Youth Aspirations and High Human Resource Requirement by Industry

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Youth aspirations – mismatch between industry demand and

aspirations (3/3)

Source: Athena Research

• Youth aspirations and infrastructure creation for skill development are correlated • There are gaps between industry demand and youth aspirations • There is a need for skill infrastructure and targeted student mobilization activities through awareness campaigns and student interactions in

sectors such as leather, construction and food processing.

Youth Aspirations Infrastructure Availability Industry Demand

Engineering Engineering Engineering Goods

IT, ITES IT, ITES IT, ITES

Automobile Automobile Automobile

Electronics Hardware Electrical Electronics Hardware

Retail Retail Retail

Hospitality Hospitality

Transport Transport

BFSI

Textiles Textiles

Leather

Construction

Food Processing

GAPS: Leather, Construction, Food Processing

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32 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Skill Gap

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Quantitative Skill Gap

Source: Athena Research

SKILL GAP (in

000s)

2012-2017 2017-2022

UNSKILLED SEMI

SKILLED SKILLED TOTAL UNSKILLED

SEMI

SKILLED SKILLED TOTAL

Incremental

Human Resource

Requirement

1,718 1,511 1,896 5,125 3,313 2,440 2,807 8,560

Incremental

Human Resource

Availability

2,179 258 1,065 3,502 2,519 278 1,137 3,934

Skill Gap -461 1,253 831 1,623 810 2,162 1,655 4,626

• The highest skill gaps are likely to arise in the most rapidly industrializing districts of Kancheepuram, Chennai and Thiruvallur.

• The largest skill gap is expected to arise at the semi skilled level. There is an excess availability of unskilled human resources in 2012-17.

• Enrolment trends and primary research suggest that unskilled human resources are more likely to become skilled rather than semi skilled. This will cause the skill gap at the semi skilled level to persist.

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Summary of Skill Gap in Tamil Nadu (2012-17)

Skilled

Semi-skilled

Unskilled 17.18 L

10.65 L

2.58 L

21.79 L

18.96 L

15.11 L

Deficit Of Human

Resources 2012-17

Incremental Human

Resource Availability

2012-17

Total Incremental Requirement: 51.25 L

Total Incremental Availability: 35.02 L

(4.61) L

8.31 L

12.53 L

Source: Athena Research

Incremental Human

Resource Requirement

2012-17

Note: Figures in parentheses indicate excess availability

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Summary of Skill Gap in Tamil Nadu (2017-22)

Skilled

Semi-skilled

Unskilled 33.13 L

11.37 L

2.78 L

25.19 L

28.07 L

24.4 L

Deficit Of Human

Resources 2017-22

Incremental Human

Resource Availability

2017-22

8.1 L

16.55 L

21.62 L

Source: Athena Research

Incremental Human

Resource Requirement

2017-22

Total Incremental Requirement: 85.6 L

Total Incremental Availability: 39.34 L

Page 37: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

36 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

District-wise Quantitative Skill Gap

SKILL GAP (in 000s)

2012-2017 2017-2022

UNSKILLED SEMI SKILLED SKILLED TOTAL UNSKILLED SEMI SKILLED SKILLED TOTAL

Ariyalur -13 5 3 -6 -9 10 7 6

Chennai 15 153 210 361 79 258 312 634

Coimbatore 31 60 19 104 99 102 56 251

Cuddalore -61 30 17 137 -27 53 37 207

Dharmapuri -36 14 7 -15 0 26 10 36

Dindigul 5 38 17 59 32 66 56 154

Erode -29 33 17 17 -30 55 79 100

Kancheepuram -128 109 60 16 20 180 31 207

Kanniyakumari 69 53 56 174 156 96 91 340

Karur -8 15 4 10 10 25 11 47

Krishnagiri -35 24 7 -5 1 41 18 60

Madurai -1 67 35 92 57 115 77 240

Nagapattinam -38 28 19 26 -6 49 39 99

Namakkal -10 16 5 11 18 29 20 68

Perambalur -27 2 1 -25 -21 4 2 -15

Pudukkottai -14 9 13 8 14 19 25 57

Page 38: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

37 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

District-wise Quantitative Skill Gap

SKILL GAP (in 000s)

2012-2017 2017-2022

UNSKILLED SEMI SKILLED SKILLED TOTAL UNSKILLED SEMI SKILLED SKILLED TOTAL

Ramanathapuram -26 30 18 21 -6 55 38 86

Salem -20 49 26 48 40 86 61 181

Sivaganga -20 11 0 -10 0 21 9 29

Thanjavur 3 43 12 58 24 74 58 155

The Nilgiris 48 38 40 125 67 66 62 195

Theni -19 9 7 -4 -10 17 11 18

Thiruvallur -106 94 53 11 -36 154 85 173

Thiruvarur -55 8 1 -46 -32 16 5 -11

Thoothukkudi 5 36 28 65 54 64 40 154

Tiruchirappalli 42 50 22 112 81 88 79 246

Tirunelveli 21 40 22 75 59 70 67 189

Tiruppur -9 31 27 49 39 56 47 142

Tiruvannamalai -54 35 22 3 -11 62 46 97

Vellore 50 58 12 111 96 99 82 269

Viluppuram -60 33 17 -9 -13 57 43 87

Virudhunagar 17 31 36 51 64 48 49 129

Page 39: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

38 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Qualitative Skill Gap (1/2)

• PREFERENCE MISMATCH

• Low interest in traditional, labor-intensive sectors such as handloom & handicrafts, gems &

jewelry and leather

• Preference for service sector industries such as hospitality and retail

• Low supply of labor at lower skill levels due to preference for white collar jobs. Excess supply

of skilled labor.

• QUALITATIVE MISMATCH

• Skill sets do not match educational attainment

• High attrition preventing assimilation of skills

• Lack of industry exposure

• High variation in quality of work force

• Unwillingness to migrate

• INFORMATION ASYMMETRY

• Lack of awareness regarding skill development and qualifications required by industry

• Mismatch between job expectations and work conditions

• Low collaboration between industry and training providers for curriculum development

Source: Athena Research

Page 40: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

39 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Qualitative Skill Gap (2/2)

• QUALITY OF TRAINING

• Unavailability of quality trainers

• Outdated equipment used for training

• Poor basic education preventing absorption of vocational education

• DISINCENTIVES FOR SKILL ACQUISITION

• Low access to skill training providers

• Lack of guidance regarding skill development

• Opportunity cost of skilling in terms of loss of employment and wages

• Lack of mobility between formal and vocational education

• Career progression not institutionalized

• ATTITUDES AND PREFERENCES

• Low dignity associated with blue collar jobs

• Preference for formal education

• Socio-economic constraints for skilling of women

Source: Athena Research

Page 41: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

40 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Recommendations

Page 42: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

41 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Recommendations (1/4)

Stakeholder Recommendation Functions Implementation

State Government

Establishment of District Skill Development Councils

1. Data Collection 2. Information Dissemination 3. Skills Registry and Placements 4. Identification of Skill Gaps

1. DSDCs established with TNSDM as the nodal agency 2. Use of existing infrastructure by revamping employment exchanges 3. Supervising the implementation of skill development initiatives at the district level

Ranking of Skill Training Providers

1. Creating an incentive for institutes to register themselves 2. Encouraging greater competition 3. Information dissemination

1. Choosing parameters for ranking institutes 2. Rankings by an independent third party 3. Publication of rankings in major newspapers 4. Regular update

Equivalence between Formal and Vocational Education

1. Allowing mobility across educational institutions 2. Clarity on skill attainment associated with courses 3. Benchmark for wages

1. Market Survey 2. Benchmarking using Occupational Standards 3. Equivalence

ATIs on PPP Mode 1. Collaboration between industry and government 2. Improved placements through industry linkages 3. Relevance of curriculum

1. Focus on industrialized districts for sectors such as auto, electronics and textiles 2. Value for Money analysis 3. Standardized course content through SSC inputs 4. Higher industry interaction

Teachers' Training on PPP Mode

1. Ensuring availability of trainers 2. Improving quality of training delivery 3. Development of standardized tests and certifications for trainers

1. Focus on developing districts 2. Industry training as part of the curriculum 3. Inclusion of soft skills and the use of technology to facilitate learning 4. Refresher courses for those already employed as trainers

Unorganized Sector Interventions 1. Providing a means for transitioning from informal to formal employment 2. Awareness of skill development

1. Review of basic concepts as part of course 2. Minimize opportunity cost 3. Formal recognition of informally acquired skills 4. Multi-skilling 5. Skill vouchers

Page 43: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

42 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Recommendations (2/4)

Stakeholder Recommendation Functions Implementation

Industry

Institutionalization of Career Progression for Lower Skill Levels

1. Improvement in working conditions for blue collar workers 2. Creation of incentive for employees to acquire skills 3. Correspondence between wages and skills

1. Development of industry norms for compensation commensurate to skill levels 2. Wage revision to reflect experience and skill acquisition 3. Communication of work standards to employees

Involvement in Skill Development 1. Ensuring marketability of skills imparted 2. Relevance of training to industry 3. Stronger training-industry linkages

1. Participation in campus recruitments 2. Internships, apprenticeships, guest lectures and industrial visits 3. Feedback on curriculum and training, especially for the service sectors

On the Job Training 1. Optimizing infrastructure creation 2. Improving productivity 3. Standardization of output

1. Induction programs and short-term training modules for new hires 2. Partnerships with skill training providers for up-skilling 3. Earn while you learn schemes

Improvement in Work Conditions 1. Improving dignity of labor 2. Reducing attrition 3. Facilitating assimilation of skills

1. Part compensation in kind to reduce attrition 2. Employee feedback systems 3. Bonuses for completing one year in employment 4. Safety equipment and suitable gear for hazardous jobs

Page 44: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

43 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Recommendations (3/4)

Stakeholder Recommendation Functions Implementation

Training Providers

Orientation Programs

1. Clarity on course content and expected employment 2. Rationalization of job expectations 3. Industry orientation

1. Interactions with alumni and faculty 2. Aptitude tests for service sector jobs 3. Designated point of contact for students to obtain clarifications regarding employment and career

Industry Collaboration 1. Improving placements 2. Ensuring relevance 3. Industry exposure for students

1. Periodic market surveys 2. Regular industry interactions 3. Mandatory/ dual apprenticeships and internships 4. SSC inputs on curriculum design and pedagogy

Student Mobilization 1. Improved awareness of skill development initiatives 2. Increased student mobilization

1. Talks and interactive sessions at schools and work places 2. Focus on up-skilling 3. Targeted campaigns for women in socially backward districts

Certification of Informally Skilled People

1. Formalization of informally acquired skills 2. Information dissemination through word of mouth

1. Tests for certification of skills 2. Targeted advertising campaigns, particularly for the unorganized sector

Career Counselling for Students 1. Realistic job expectations 2. Improved job matching 3. Lower attrition

1. Counselling before commencement of recruitment process 2. Alumni interactions

Page 45: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

44 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

Recommendations (4/4) Stakeholder Recommendation Functions Implementation

NSDC

Establishment of Training Providers' Association

1. Aggregation of information on private skill training providers 2. Provision of a common platform for training providers to facilitate dialogue 3. Better targeting and resolution of qualitative issues

1. Media advertising to encourage training providers to join the association 2. Constitution of a board of representatives chosen by the members 3. Conferences and workshops to encourage dialogue and discussion

Funding Initiatives 1. Bridging existing qualitative and quantitative skill gaps

1. Training for service sectors such as tourism, hospitality and retail at the work place interspersed with theory classes 2. Standardized curriculum for manufacturing trades through SSC involvement 3. Initiatives for skilling women through community skilling models in backward districts 4. Entrepreneurship development for economically backward districts 5. Use of existing infrastructure where capacity utilization is low 6. Training the trainers and developing standardized evaluation through SSCs

Sector Skill Councils

1. Standardization and quality control for different industries

2. Bridging information gaps among students, training providers and industry

1. Inclusion of unorganized sector representatives in SSC boards 2. Development of sector skill development plans for growing sectors such as logistics, maritime and food processing 3. Accreditation and Testing 4. Advanced Training Institutes

Collaboration with State Government

1. Avoiding duplication of effort 2. Cross pollination through exchange of ideas

1. Conferences, seminars and workshops to facilitate greater dialogue 2. Exchange of information on successful business models and planned capacity additions. 3. Coordination of skilling efforts.

Page 46: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered

45 Proprietary and confidential. This information does not represent and should not be construed as, legal or professional advice. © 2011 NSDC. All Rights Reserved.

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Page 47: Contents - National Skill Development Corporation · Source: Government of Tamil Nadu (2011), Athena Research • Tamil Nadu has a total of 62 Government ITIs • Courses are offered