Private sector to address manpower shortage

CONSTRUCTION INDUSTRY UPDATE

Faced with a daunting task of getting adequate skilled manpower to run the machines, the Indian construction equipment industry has taken several initiatives to bridge the demand and supply gap.

The industry, which is projected to grow to $12-13 billion by 2015, has initiated training programmes to prepare operators and mechanics at different levels.

Many industry experts, at the recently concluded construction equipment industry exhibition, EXCON 2007, expressed their opinion that the major challenges faced by the industry today is that of human resources. Inspite of the large population in India there is a very low base of skilled workers in this sector.

Said Rajesh Sharma, Associate Vice President, Escorts Construction Equipment Ltd, ¿While there is a huge population base in the country, the challenge today is to make India the skill capital of the world¿.

He said though the construction industry is the second largest employer in the country, there are very few options for training of manpower in this sector. Most of the training programmes are under different government departments.

Vocational education at the school level is under the HRD Ministry, but the curriculum offers no courses on construction or construction equipment. Vocational training is under Labour and Employment Ministry wherein the Central Government designs the course, and the implementation is upto the state government and individual ITI's, he said.

The construction industry presently employs about 31 million people. The workforce requirement is about five million people per year over the next seven-years to sustain the 25 per cent growth rate. With only 10 million workforce available in the country every year, the construction industry will face a heavy manpower challenge, as it requires to employ five million people per annum.

Seeing this huge shortage of skilled workforce, the private sector has taken many initiatives to set up independent training institutes to provide training in an organised manner.

Telco Construction Equipment Company Limited (Telcon), Sandvik Asia Ltd, and BEML are among those who have taken steps to train the youth.

Telcon is setting up an in-house training academy to train the unemployed youth to operate its machines. It is setting up training centers in all its manufacturing facilities like Jamshedpur in Jharkhand, Kharagpur in West Bengal and Dharwad in Karnataka. Here the company aims to train the youth to operate the machines and mechanics to repair them at the customers¿ site.

"We have set a target of selling 8,000 machines this year and to operate them our customers will need at least 16,000 people and half of that to repair or service them at the time of emergency. Seeing the huge gap in the supply of such men we have set up training academy,¿ Telcon Managing Director Rana Sinha said. To begin with Telcon aims to train 120 persons every year.

Telcon is also in talks with the government of Jharkhand for conducting a joint training course for the unemployed youth of the state.

The mining and construction division of Sandvik Asia Ltd, a part of the Sweden-based $10 billion Sandvik AB, has also set up a training academy at Pune to train students on their products and services. The course includes sessions on mechanical and hydraulic aspects. Every year, it is training 80 candidates and also offers them employment in the company.

"Our aim is to develop a pool of skilled manpower. We also offer them employment. However, they are free to take up jobs anywhere the want," G V R Murthy, vice president (construction segment), Sandvik Asia Ltd said.

BEML has been providing training to matriculates to operate its mining and earth moving equipment. The company also plans to adopt one ITI initially and train students in operation and maintenance. These steps are expected to add 150-200 trained work personnel to the existing manpower base in the industry, C N Durgesh, Chief General Manager (Marketing), BEML said.

Jagannath Vasudevan, Head of HR at JCB India Ltd has stressed that the Indian Earth-moving and Construction Industry Association (IECIAL) should set up training institute managed and supported by the member companies.

The institute can be funded either through direct fees, or by a levy of 2.5 per cent on the sale of each equipment, by member companies or even by charging a rent for each piece of equipment made available at the institute.