What is Pradhan Mantri Kaushal Vikas Yojana (PMKVY)?

Even as he launched the Make in India campaign inviting investors from all over the globe to invest and set up businesses in India, Prime Minister Narendra Modi promised an abundance of skilled labour in the country. Complementary to this was the idea of skills development among the youth of the nation. The Pradhan Mantri Kaushal Vikas Yojana (PMKVY) was thus envisaged as a key measure to impart skills-based training to young men and women, making them capable of earning and supporting the nation’s anti-poverty endeavours. The scheme becomes all the more important in the Indian society which has the world’s largest youth population that requires employable skills (356 million population between 10 and 24 years of age – The Hindu, Nov 2014).
Earlier this year, on 20 March 2015, the government of India gave the Ministry of Skill Development and Entrepreneurship a formal go-ahead to formulate and implement the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) through the National Skill Development Corporation. With a total outlay of about INR 1,500 crore, the PMKVY is likely to impart skills training to 24 lakh youth of the country, focusing on the Class X/XII dropouts and lower income groups. The scheme was developed over a period of almost three months and its implementation started in select states (primarily Bihar) by early June 2015. The scheme will be launched in all states of the country on 15 July – National Skills Day. India’s unemployment rate averaged about 4.9 percent by early 2014. This scheme should bring that number down by a reasonable measure.

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Skills Needs Assessment

According to the PMKVY plan published by the Ministry of Skill Development and Entrepreneurship in March 2015, one of the key objectives of the scheme was to cover the skills training of about 24 lakh people. The specific skills imparted would be decided based on the National Skill Qualification Framework (NSQF) and on the basis of feedback from the various industries that would potentially employ the trainees.
The specific skills trainings to be imparted have been assessed by the National Skill Development Corporation (NSDC) on the basis of demand in recent skills gap by a study for 2013-17 period. Central ministries and state governments departments were consulted and the inputs of various industry and business heads were also considered. Skills needed to implement various other flagship schemes such as Digital India were also assessed. Currently, about 428 job roles are being catered to by the skills training imparted under the scheme.
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Enrollment Process

The government has partnered with various telecom operators to create awareness about the PMKVY. After the nationwide launch telecom operators are likely to send out mass SMS about the scheme and will provide potential candidates a number to call. Candidates need to give a missed call to this toll free number, following which they shall receive an automated call back connecting them to an IVR. The potential candidate will, at this stage, need to input his/her details into the system. These details will be recorded, and screened. Candidates eligible to enroll for the training programmes will be provided details of the nearest training centre and will be asked to report on the training dates.

Implementation of the Pradhan Mantri Kaushal Vikas Yojana

In keeping with the draft plan, the scheme was launched (in Bihar) and the NSDC partnered with about 24 sector skill councils. As of 1 July 2015, about 1,17,564 people from all parts of the country have already enrolled for skills training. Training has commenced for some 1,07,080 trainees already. The scheme’s implementation is being undertaken by NSDC’s training partners. The NSDC has some 187 listed training partners with 2300 training centres spread out in almost all the states of India. While the scheme is on a pilot mode in select states, a nation-wide launch is expected by mid-July.
The total outlay planned for the scheme is over INR 1,500 crore, of which INR 1120 crore is likely to be allocated towards the skill training of some 14 lakh youth. Additionally, INR 220 crore will be spent towards the “recognition of prior learning”. The scheme budget includes INR 67 crore that shall be spent on spreading awareness and encouraging enrolment.
This includes implementation of the website and running awareness campaigns. In this effort to create awareness about the PMKVY, the NSDC will partner with state governments and municipal organisations and use the administrative machinery extensively to mobilise candidates from the grassroots level. The NSDC has also partnered with various business houses and corporates in an effort to garner mentorship for the candidates and to secure placements once their training is completed. The government has allocated INR 67 crore towards this. The scheme has the youth of the North Eastern region of India in special focus. This region has been traditionally neglected and hence a separate allocation of INR 150 crore has been made towards the training of youth in this region.
Apart from training, the candidates shall also go through an assessment at the end of the training schedule. A certificate of merit shall also be issued to candidates at the end of this training period based on the assessment. ‘Third party assessment bodies’ have been roped in by the NSDC to assess the candidates on the skills acquired and a monetary incentive or reward is given to exemplary candidates. The average monetary reward that each successful candidate is likely to get is about INR 8000.
The scheme has placed much focus on the training partners. These partner institutions have been studied and assessed before enrolment. Digital training facilities and able instructors are highly valued by the NSDC for the training sessions. The curriculum developed is highly relevant and efficient in practical employability. Training sessions and the training institutes will be constantly monitored by state government agencies and by the sector skill councils. Feedback from the candidates themselves will also be sought.