'Only 10% of India's 1.5 mn engineering graduates to secure jobs this year'

Despite India's reputation as a global powerhouse for engineering talent, a significant gap persists between the number of engineering graduates and their employability. This disparity poses a significant challenge to the nation's economic growth and technological advancement.

The Employability Dilemma:

 India produces a staggering 1.5 million engineering graduates annually, yet only a small percentage secure employment. Employability among engineering graduates stands over 60%, with only 45% meeting industry standards. Furthermore, a mere 10% of the 1.5 million engineers expected to graduate this fiscal year are anticipated to secure employment, according to a report by TeamLease.  The major reason, it said, is the skills gap among engineering graduates.

 

“Engineering has long been a cornerstone of India’s development, emerging as one of the most preferred career choices, shaping the nation’s innovation, infrastructure, and progress. As we celebrate National Engineering Day, honoring the critical contributions of engineers in driving the country’s growth, India proudly stands as a leader in producing engineering talent, with nearly 1.5 engineers graduating annually. However, despite this impressive output, the employability of our engineering graduates remains a significant challenge,” said the report by TeamLease Degree Apprenticeship.

 NASSCOM has projected that India’s technology sector will require over one million engineers with advanced skills in artificial intelligence and other cutting-edge technologies within the next 2-3 years. Additionally, the demand-supply gap for digital talent is poised to widen from the current 25 per cent to almost 30 per cent by 2028. The escalating demand, fueled by the rise of AI, electric vehicles (EVs), semiconductors, and the growing electronics industry, underscores a critical challenge regarding the employability of engineering graduates.

As industries increasingly seek expertise in domains such as cybersecurity, IT, robotics, and data science, it is evident that conventional academic education alone is inadequate. 

To address this skills gap, essential measures involve the amalgamation of technical education with hands-on vocational training.

"Apprenticeships bridge this gap by offering structured, hands-on training alongside formal education, ensuring that young professionals are work-ready from day one. With real-world experience and mentorship, apprentices can develop the critical skills required to meet the growing demands of the industry, a win-win for both professionals and companies," said Dhriti Prasanna Mahanta, Vice President and Chief Business Officer at TeamLease Degree Apprenticeship.

Here are they key highlights of the report:

Skill Gap: Many engineering graduates lack the practical skills and industry-specific knowledge required to meet the demands of employers.

Evolving Job Landscape: Rapid technological advancements and the rise of emerging industries have created a skills mismatch.

The Role of Apprenticeships:

Bridging the Gap: Apprenticeships offer a valuable solution by combining academic learning with practical, on-the-job training.

Industry-Relevant Skills: Apprenticeships equip young engineers with the skills and experience needed to thrive in today's competitive job market.

Managed Training Services (MTS): Innovative programs like MTS provide intensive, industry-focused training to enhance job readiness.

Industry Demands and Future Outlook:

• Growing Demand: The technology sector in India is projected to require over 1 million engineers with advanced skills in AI and other emerging technologies.
• Skills Shortage: The demand-supply gap for digital talent is expected to widen, creating a critical challenge for industries across the board.
• Focus on Emerging Fields: Industries such as cybersecurity, IT, robotics, and data science are experiencing a surge in demand for skilled engineers.

Addressing the Challenge:

•  Aligning engineering curricula with industry needs is essential to ensure graduates possess the necessary skills.
•  Stronger partnerships between academia and industry can facilitate knowledge exchange and skill development.
• Promoting apprenticeships and providing adequate support for both apprentices and companies can address the skills gap.