National Policy on Skill Development

In comparison to other economies around the world, India has traditionally had a lower proportion of its population that is suitably skilled. The government of the Philippines proposed initiatives in its 11th five-year plan for the fiscal years 2007–12–2012 with the goal of skilling 150 million people by 2022, or 15 million skilled workers every year. In accordance with the five-year plan's suggestions and to lessen the difficulties the economy is now experiencing due to the skilled labor shortage, in 2009, the government created a skill development policy, emphasizing the importance of specialized training to be provided by industrial training institutes in collaboration with the private sector.

What is National Policy on Skill Development?

In 2009, the National Policy on Skill Development was initially created, and it served as the foundation for all skill development initiatives across the nation. Changes in the policy have been required over time due to changes in the macro-environment and experience gained through the operation of various skill development programs in the nation.

The National Skill Development Policy, 2015, which replaces the Policy of 2009, was created as a result.

The government's commitment to overall human resource development and its "Sabka Saath, Sabka Vikaas" program include taking advantage of the population's demographics in the years to come.

Goals of National Policy on Skill Development

The main goal of the policy is to enable each individual to reach their maximum potential through a process of lifelong learning in which competences are acquired through tools like reliable certificates, credit accumulation and transfer, etc. As people develop, society and the country benefit from their productivity and advancement. It will entail −

  • Make high-quality vocational training a goal for both young people and companies, with employers acknowledging the productivity benefits of a competent workforce by paying the necessary premium.By providing seamless integration of skill training with formal education, you may provide both vertical and horizontal pathways to a trained workforce for future growth.

  • Focus on a quality skilling method that is outcome-based and leads to higher productivity in the primary, secondary, and tertiary sectors while also improving the employability and standard of living of individuals.

  • To ensure fair access for all citizens, expand the infrastructure for training and the caliber of the instructors.

  • You can address the human resource shortage by matching the supply of skilled people with industry sectoral demands and national strategic targets, including flagship programs like Make in India.

  • Create an IT-based information system to collect data on the supply and demand for skilled labor so that supply and demand may be matched.

  • Promote national standards in the area of skilling through active employer participation in creating occupational standards, aiding in curriculum development, offering apprenticeship opportunities, taking part in assessments, and giving skilled workers profitable employment with fair compensation.

  • Implement a well-defined quality assurance structure in accordance with international standards to promote labor mobility.

  • Utilize contemporary technologies to assure scale, accessibility, and outreach, as well as ease of content delivery and results monitoring.

  • Recognize the importance of on-the-job training by incorporating apprenticeships in real workplaces as a crucial component of all skill development initiatives.

Make that the skilling requirements of the marginalized and socially disadvantaged groups are properly met (e.g., the SCs, STs, OBCs, minorities, people with disabilities, etc.).

Policy framework for skill development

By adhering to the aforementioned goals, the policy framework has been designed to realize the vision of Skill India. The framework lists eleven key paradigms and enablers to help India meet these goals in terms of skill development −

Impact of National Policy for Skill Development and Entrepreneurship

The National Policy for Skill Development and Entrepreneurship has been able to reach 1.5 million schoolchildren, 3,000 polytechnics, 25,000 colleges, and 83 youth hostels across the nation by providing a number of incentives for institutions as well as for trainers. More than 1.5 lakh post offices and more than a lakh kiosks can be used by participants who want to sign up for the program.

  • The government is confident that by providing a stipend as an incentive for apprenticeship, the number of MSME (micro, small, and medium enterprises) apprenticeships in the nation will increase tenfold.

  • The government established the Ministry of Skill Development and Entrepreneurship (MSDE) in the country to track skill development and the outcomes of training programs.

  • The National Labor Market Information System (LMIS) has been established to keep track of and analyze the rise in employment following skill development courses, its effectiveness on the population, and other factors.

  • The development courses would be modified using the LMIS analysis to raise the overall standard and outcome.

  • The government's "Make in India" initiative and the National Policy for Skill Development and Entrepreneurship are closely intertwined. The skill development programs are thus relevant to 25 currently existing industries that fall under the purview of Make in India.

  • Due to the use of technology, skill development programs are now accessible to even the most remote regions of the nation and have reduced the cost of training.

Special Components of the Policy

There are some special components of this policy −

  • The program reaches out to those who live below the poverty line and are without housing because its major goals are to increase employment rates and reduce poverty.

  • The program also benefits young people who live in rural, hilly, Jammu and Kashmir, and forest areas in central and eastern India and who lack access to even the most basic education.


It seeks to address the difficulty of scaling up skill development through speed, standard (quality), and sustainability. To ensure that there are plenty of job possibilities for the trained workforce, the skill strategy is supplemented with targeted initiatives to encourage entrepreneurship. It makes it abundantly clear that "One Nation, One Standard" must be put into practice in order to ensure that a common set of internationally recognized standards can be aligned and that Indian youth can obtain employment and career advancement opportunities at local, national, and international levels.


Q1. Why does India need a National Policy on Skill Development and Entrepreneurship?

Ans. The national policy is designed to make it clear and coherent how skill development initiatives across the nation can be coordinated within the current institutional frameworks. This policy also establishes a link between enhanced employability and productivity and skill development.

Q2. What is national skill development policy India?

Ans. The National Skill Development Initiative would enable everyone to attain quality work and ensure India's competitiveness in the global market by enhancing their knowledge, skills, and nationally and internationally recognized credentials.

Q3. What does National Policy on Skill Development and Entrepreneurship 2015 focus on?

Ans. Focus on a quality skilling method that is outcome-based and leads to better livelihoods and higher employability for individuals, as well as increased productivity in the primary, secondary, and tertiary sectors.

Updated on: 16-Mar-2023


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