Context :As global job markets undergo rapid transformation driven by technology, climate goals, and economic shifts, preparing a future-ready workforce has become essential. India stands at a critical juncture to bridge skill gaps through educational reforms and industry-academia collaboration.
Relevance : GS 2 ( Governance, Education, Government Policies) , GS 3 ( Economy, Employment, Inclusive Growth)
Key Drivers of Labour Market Transformation (WEF Report 2025)
- Technological advancements and digital access identified as top drivers by 60% of employers.
- Other critical forces: demographic shifts, geo-economic fragmentation, economic uncertainties, and green transition.
- Climate change mitigation is both a job creator (e.g., renewable energy) and a disruptor due to business model adaptations.
- Dynamic labour market outlook:
- 170 million new jobs projected globally.
- 92 million roles at risk of becoming obsolete.
Employer Priorities & Workforce Demands
- Employers are focusing on:
- Workforce training
- Wage increases
- Employee well-being
- 59% of workforce needs reskilling in:
- Analytical thinking
- Resilience
- Technological literacy
- High-growth roles include:
- Big Data specialists
- AI engineers
- Rising emphasis on soft skills:
- Emotional intelligence
- Adaptability
- Leadership
Insights from QS World Future Skills Index
- India ranks 2nd globally in preparedness for AI and green skills.
- High score in ‘Future of Work’ (99.1) indicates strong demand-side readiness.
- Skill Fit gap: Low score of 59.1, highlighting supply-side deficiencies.
- Poor performance in:
- ‘Academic Readiness’ (Rank: 26)
- Innovation & sustainability (Score: 15.6/100)
- Entrepreneurial mindset and R&D investments
Opportunities for Reform
- Need for curriculum transformation:
- Integrate critical thinking, resilience, entrepreneurial skills
- Use of experiential and interdisciplinary learning
- Encourage initiatives like:
- Hackathons
- Startup incubators
- Design-thinking workshops
- Green curriculum imperative:
- Establish sustainability research centres
- Promote green technologies
- Support student-led community environmental initiatives
- Strengthen academia-industry collaboration:
- Co-create curricula
- Provide internships and mentorships
- Develop job-ready graduates
Institutional and Governmental Action Points
- Faculty development through:
- Training, certifications, global exposure
- Government must focus on:
- Investing in research, innovation, skill development
- Expanding digital infrastructure, especially in rural/semi-urban areas
- Call for a paradigm shift in higher education:
- Make the system agile, innovative, and aligned with global workforce demands
