Demographic dividend means that as compared to other large developing and developed countries, India Has a higher proportion of working age population as compared to entire population. More than 50% of India’s population is in the age group of 15-59 years. With such a young population. It has a huge demographic dividend waiting to be capitalised. But unfortunately we haven’t been able to harness this capital.
According to a mckinsey study, 51% of this working age population i.e. mpre than 350 million people require some form of vocational/skill based training in order to make them more employable.
Reasons:
- Lack of training institutes and vocational training centres.
- Graduates passing from the colleges are not skilled enough to do a job. They are not able to match up the expectations of the industry.
- Industrial revolution 4.O, Artificial intelligence and robotics – their negative effect is low creation of human job.
- Currently most of the country is on the path of protectionism. Because of this they are averse to outsourcing and migrants. For example H1B issue,nitaqat law
- Poor performance of Manufacturing sector.
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