Surveys reports 48 percent shortage in skilled workforce in Tamil Nadu by 2025

According to  a study stated by PricewaterhouseCoopers (PwC) for the Tamil Nadu Skill Development Corporation (TNSDC) ,manufacturing, education and health, construction and IT/ ITES sectors  in Tamilnadu need 32 lakh skilled and semiskilled workers over the next six years but is expected to end up with a shortage of 48% if things continue in this manner.  


PwC surveyed 11,520 youth in 193 blocks, covering all the districts in the state for the study, based on which TNSDC is now preparing district skill development plans (DSDP) focusing on region-wise requirements and training, the first-ever such exercise in Tamil Nadu. PwC also conducted an employer survey covering 1,076 large, medium, small and macro industries across key sectors that defined the economy of the districts.


“We wanted to identify sources of self and wage employment in all 32 districts and estimate the sector-wise current and future labour demand by industry,” a top official said.


“For example, in Coimbatore district there were more jobs in automobile and textile sectors, but there is clearly a shortage of skilled persons. TNSDC will focus on training youth in these areas instead of offering common skill training programmes,” sources said.


According to the study, manufacturing sector will add a maximum of 10 lakh skilled and semi-skilled jobs over the next six years. Education, health, and construction sectors are expected to add more than 3 lakh skilled jobs.


In a positive trend for engineers, communication/information technology/IT services sector will add nearly 2 lakh skilled jobs. Trade and repair services, real estate and business services, allied activities of agriculture and logistics sector too will add more than one lakh jobs.


The study also found there was a disparity between the wages youth expected and what the market offered. For example, candidates with graduation and above expected an average salary of ₹24,737, whereas the industry paid ₹11,935.


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Of the respondents, more than 25% aspire for employment in the public sector while 29% prefer self-employment. “Salary, social status and job security were key determinants of selection of work,” officials said.


There is clear divide in job choices between men and women. “While 20% of women preferred food processing, 14% of men preferred auto and auto components,” officials added.


“Lack of jobs near their residence, pressure to get married, lack of guidance are identified as major challenges in pursuing desired careers,” the study found.


The study identified relevant work experience, soft skills and certified technical skills as key factors that determine employability and employment. Better job opportunities (68%), lower wage (67%) and candidate disinterest (45%) were found to be key reasons for attrition.


There are 10 lakh to 12 lakh migrant workers in the state. Some 27% of the industries affirmed the deployment of migrant workers, mainly from eastern and central India, the study said.


Courtesy: TOI


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