Human resource requirement in next 6 years in 24 Sectors

By | March 9, 2016
(Last Updated On: March 9, 2016)

Sectoral Skill Gaps

The Minister of State (Independent Charge) for Skill Development and Entrepreneurship Shri Rajiv Pratap Rudy has said that National Skill Development Corporation (NSDC) under Ministry of Skill Development and Entrepreneurship (MSDE) is building research base in the skills domain and has commissioned several district level and sector level skill gap studies. As per NSDC’s Sector Specific reports on Human Resource and Skill Requirements in the 24 Sectors, India had an employment base of 461.1 million in 2013 which is expected to increase to 581 million by 2022.  Thus, about 120 million people would be added to the workforce who need fresh skilling in these sectors.  In addition, there is a need for constant upskilling and re-alignment of existing workforce.   A list of 24 sectors covered is atAnnexure. However, after removal of duplication in retail sector the net incremental human resource requirement during 2013-2022 comes to 109.73 million

Break Up of Incremental Requirement Across Sectors

S.NoSectorEmployment Base in 2013

(million)

Projected Employment by 2022

(million)

Incremental Human Resource Requirement (2013-2022)
1Auto and Auto Components10.9814.883.9
2Beauty and Wellness4.2114.2710.06
3Food Processing6.9811.384.4
4Media and Entertainment0.41.30.9
5Handlooms and Handicrafts11.6517.796.14
6Leather and Leather Goods3.096.813.72
7Domestic Help610.884.88
8Gems and Jewellery4.648.233.59
9Telecommunication2.084.162.08
10Tourism, Hospitality & Travel6.9613.446.48
11Furniture and Furnishing4.1111.297.18
12Building, Construction and Real Estate45.4276.5531.13
13IT and ITES2.965.122.16
14Construction Material and Building Hardware8.3112.7
15Textile and Clothing15.2321.546.31
16Healthcare3.597.393.8
17Security711.834.83
18Agriculture240.4215.6(24.8)
19Education/ skill development13.0217.314.29
20Transportation and Logistics16.7428.411.66
21Electronic and IT Hardware4.338.944.61
22Pharma and Life Sciences1.863.581.72
23BFSI2.554.251.7
24Retail38.655.9517.35
Grand Total461.1581.89120.79

Note: After adjusting double counting in retail segment in larger sectors, the net incremental Human Resource Requirement during 2013-22 comes to 109.73 million.

 In a written reply in the Lok Sabha today the Minister said, National Skill Development Corporation (NSDC) commissioned a study on overseas skill requirements in order to prepare Indian youth for employment opportunities overseas. The study covers 20 key countries including 7 GCC countries, Australia, Malesia, Canada etc. focusing on four major sectors namely manufacturing, construction, wholesale & retail and healthcare.   As per the report largest increase in job creation by 2020 is expected in the Asian emerging markets, with jobs in Singapore and Malaysia increasing by 100% and 22% respectively. Bahrain and Saudi Arabia are expected to create more jobs by 2020 compared to the other GCC countries. Construction in Saudi Arabia is expected to grow on the back of plans to overcome the housing shortage and efforts to develop the transport network.

Source Ministry of Skill Development and Entrepreneurship 09-March, 2016

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About CA Satbir Singh

Chartered Accountant having 12+ years of Experience in Taxation , Finance and GST related matters and can be reached at Email : Taxheal@gmail.com

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