Background of workers and migration situation in Jharkhand
According to Census 2011, India has 55 million potential workers between the ages of 15 and 35 years in rural areas. At the same time, the world is expected to face a shortage of 57 million workers by 2020. This presents a historic opportunity for India to transform its demographic surplus into a demographic dividend. The Ministry of Rural Development implements DDU-GKY to drive this national agenda for inclusive growth, by developing skills and productive capacity of the rural youth from poor families. There are several challenges preventing India’s rural poor from competing in the modern market, such as the lack of formal education and marketable skills.
Jharkhand is a net exporter of people. As per the National Sample Survey Organization, 64th Round, Report Number 533 the migration situation in the state is clearly reported. The male migration rate is far lower than the female migration rate, in both rural and urban areas. In Jharkhand rural, nearly 30.8% of the females are migrants while the male migration is only about 1%. In the urban areas, male migration rate is about 17.8% while female migration is about 34.1%. Around 44.3% of the male migrant population migrates for employment-related reasons and 12.1% migrate for education-related reasons while about 91.3% of the female migrant population migrates due to marriage reasons.
As per the World Bank Report “Jharkhand – Addressing the Challenges of Inclusive Development 2007” the rate of migration has increased over the last decade. The report further states that proportion of households reporting migration has gone up sharply from 1.5% to 5.1% as per a baseline survey conducted. The rate of migration has increased for both poor & non-poor, but the rate is about twice as high for the non-poor group compared to the poor. The growing role of migration can also be seen from the considerable weight of households (about 6%) with dependence on income from migration.
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Incremental Person Power Requirements
Manpower requirement in the state of Jharkhand is expected to be driven by various sectors like primary including agriculture & mining, secondary including manufacturing and building & construction and tertiary including travel trade & real estate services. The estimated incremental manpower demand will be about 43.88 lakhs including 32.52 lakhs in organized sectors and 11.35 lakhs in unorganized sectors. Approximately 25% of the incremental manpower demand is expected to come from the unorganized sector including agriculture and allied activities. The manpower demand in the organized sector is expected to be primarily driven by building & construction, food processing, and travel trade. The secondary sector which contributes about 28 % of the GDDP is expected to continue its growth as more than 50% of the total incremental demand in the organized sector is expected to come from this sector. The manpower demand in the secondary sector is expected to be primarily driven by the food processing industry, building & construction, fabricated metal & structural metal products. The tertiary sector which contributes about 47% of the GDDP is anticipated to continue its growth driven by travel trade and real estate & business services. Growth in construction activities is expected to have a positive effect on the demand of real estate services.
Current status of Skill gaps and Skill building initiatives in Jharkhand
Currently, skill development initiatives in the state are being undertaken through the funds available under central schemes and funds allocated by various State Government Departments. One of the key issues faced by the skill development sector in the state is the lack of coordinated efforts between various implementing agencies and also the absence of a monitoring mechanism for ensuring the effective implementation of the training programs/ initiatives.
Development Sector Organizations may coordinate the skill development initiatives in the state, Jharkhand Skill Development Mission may be strengthened. The mission may be chaired/ headed by a Principal Secretary (Department of Human Resource Development) reporting to the Chief Secretary. Skill Development Committees in high-demand sectors with representation from respective state government departments, Sector Skill Council, NSDC, and major industry players in the state may be constituted to coordinate the skill development initiatives in respective sectors. The skill Development Monitoring Committee headed by Chief Secretary may monitor skill initiatives in the state.
Major Barriers to Tribal Youth Employability in Jharkhand
Lack of quality instructors (38% of the instructor seats are currently vacant), poor infrastructure as there it is and few placement opportunities have led to low capacity utilization (54%) of the currently operating ITIs. The presence of less popular trades like stenographer, plumber, carpenter, etc. which have relatively lesser demand from the industries is also one of the key reasons for low capacity utilization of the ITIs vis-à-vis private ITCs. During our interactions, the faculty of the ITIs cited the non-availability of refresher courses for self-development as one of the major barriers in imparting quality training to the students.
The presence of less popular trades like stenographers, plumbers, carpenters, etc. which have relatively lesser demand from the industries is also one of the key reasons for the low capacity utilization of the ITIs vis-à-vis private ITCs. During our interactions, the faculty of the ITIs cited the non-availability of refresher courses for self-development as one of the major barriers in imparting quality training to the students.
The students of the ITIs during the focus group discussion highlighted the fact that the placement opportunities available to them are very few and most of them are preparing for competitive examinations conducted for various job opportunities in Government and PSUs. This can be attributed to the lack of placement cells at the ITIs with adequate infrastructure for continuous interaction with industry/ employers. Also, about 75% of the total ITI and ITC capacity is concentrated in 5 districts (Ranchi, Dhanbad, East Singhbhum, Bokaro, and Hazaribagh) only. The state also has a very limited number of private players providing skill development services. Most of the private training providers are engaged in providing training in the IT-ITES domain only. Districts like Giridih, Garhwa, Latehar, Sahebganj, Gumla, Pakur, & Lohardaga do not have any private ITCs.
Market potential absorption of youth in specific trades
The top 10 sectors as per the incremental person power demand (organized and unorganized sectors) in the next 10 years are listed below:
- Agriculture and Allied Activities: Agriculture and allied activities is the largest employer and is expected to generate about 19% of the incremental manpower demand in the state. However, the majority of the demand will be in a minimally skilled category.
- Building and Construction: In light of increase in urbanization, industrialization, and development of infrastructure in the state, building, and construction is expected to generate about 18% of the incremental demand.
- Tourism Hospitality and Travel Trade: Tourism, hospitality and travel trade is the largest contributor to the tertiary sector and expected to generate about 15% of the incremental person power demand.
- Food Processing: Food processing is the highest contributor to the MSME sector in the state and is expected to generate about 11% of the incremental manpower demand in the state.
- Real Estate Services: Urbanization and growth in construction activities is expected to have a positive effect on the demand of real estate services which is expected to generate about 9% of the incremental person power demand in the state
- Unorganized Sectors: Demand of drivers, domestic help, security guards and other unorganized services is expected to generate about 7% of the incremental manpower demand.
- Transportation and Logistics: Jharkhand being one of the largest producers of minerals in India, and transportation through rail and roadways is of significant importance. The sector is expected to grow further and generate about 3% of the incremental manpower demand in the next 10 years.
- Fabricated Metal and Structural Engineering Products: Most of the ancillary units in the state are engaged in metal fabrication and manufacturing of structural engineering products. With further industrialization and an increase in the production capacity of existing industries, the sector is expected to grow and generate about 2% of the incremental manpower demand in the state.
- Banking Insurance and Finance: The network of banks and insurance companies is expected to increase in rural areas and is expected to generate about 2% of the incremental demand in the next 10 years.
- Non Metallic Mineral Products & Basic Iron and Steel: The presence of mines and proposed capacity expansion of iron and steel plants in the state is expected to generate about 2% of the incremental person power demand in the state
Media & Entertainment: It is one of the emerging sectors in the state and is expected to generate about 2% of the incremental manpower demand in the state.
Skill and Person power analysis, Vocational Training providers, Jharkhand
|SN||Sector||Key Districts||Key Skills|
|1||Food Processing||Dhanbad, East Singhbhum, Dumka, Deoghar, Sahebganj, Pakur||Quality Testing, Packaging, Bar coding, Labeling, Lab Technicians, Raw Material, Procurement, Sales and Marketing|
|2||Banking and Finance||Ranchi, Dhanbad, East Singhbhum, Hazaribagh, West Singhbhum||Sales & marketing of banking and insurance products, retail banking, Financial agents in Insurance & NBFC companies|
|3||Education and Skill Development||Ranchi, East Singhbhum, Hazaribagh, Giridih, Palamau, Bokaro, Deoghar, Garhwa, Sahebganj||Training skills in the field of soft skills, computer literacy, technical skills, skills in handling modern pedagogical tools, IT-enabled tools, etc.|
|4||Engineering Products||Ranchi, East Singhbhum, West Singhbhum, Dhanbad, Bokaro||Fitter, Welding, Machining, Electrician|
|5||Building & Construction||Ranchi, Dhanbad, East Singhbhum, Hazaribagh, Bokaro||Electricians, Welding, Mason, Carpenters, Supervisors|
|6||Tourism, Hospitality, Travel & Trade||Ranchi, Dhanbad, East Singhbhum, Hazaribagh, Bokaro||Front Desk Officer, Food and Beverage, House Keeping, Bell Boys, Travel Agents, Tour Guides|
|7||Real Estate & Business Services||Ranchi, Dhanbad, East Singhbhum, Hazaribagh, Bokaro||Building Maintenance, Facility Management|
|8||Transportation and Logistics||Ranchi, Dhanbad, East Singhbhum, Hazaribagh, West Singhbhum, Palamau, Bokaro||Driver, Maintenance Operator, Crane Operator, Store Supervisors, Loader, Unloader, Packaging Supervisor, Technology Officer|
|9||Media and Communication||Ranchi, Dhanbad, East Singhbhum, Hazaribagh, West Singhbhum, Bokaro||Content Developer|
|10||Textile & Garments||Dhanbad, Giridih, Hazaribagh, Garhwa||Weaving, Processing, Maintenance, Quality testing, Cutting & Sewing, Embroidery & Needle work|
|11||Basic Iron & Steel||East Singhbhum, Bokaro||Mason, Welder, Mechanical & Electrical, Maintenance, Quality Control Lab, Technicians, Operators|
|12||Automobile||East Singhbhum, Bokaro||Welding, Machinist, Electrical and Mechanical Maintenance, Metal Work, Fabrication, Paint Shop Operator|
|13||Health Care||Ranchi, Dhanbad, East Singhbhum, Hazaribagh, Paramedical, Nursing, Dieticians, West Singhbhum, Giridih, Palamau, Bokaro||Paramedical, Nursing, Dieticians, Physiotherapist|
Qualitative Skill Gaps
|1||Building & Construction||Engineers||Inadequate knowledge of safety aspects, Inadequate understanding of theoretical concepts, Inadequate communication skills, Poor time management skills|
|Supervisors||Inadequate understanding of theoretical concepts, Inadequate communication skills, Inadequate knowledge of practical aspects, Lack of coordination skills|
|Workmen||Lack of knowledge of basic machine operation, Lack of construction-specific skills like lining, leveling etc., Inadequate safety orientation, Inability to understand and follow simple instructions|
|2||Tourism, hospitality & travel||Hotel Manager||Inadequate communication skills, Inadequate ability to handle complaints, Inadequate personal presentation skills|
|Guide||Inadequate communication skills, Insufficient knowledge of tourist places, Inadequate skills of crises management and time management|
|Driver||Lack of adequate communication skills, Lack of awareness on driving rules and regulations, Inadequate knowledge of safety norms|
|Bell boy||Inadequate curtsy level, Lack of discipline, Insufficient communication skills|
|3||Food Processing||Procurement Executive||Inadequate knowledge of different dialects, Lack of knowledge to forecast demand|
|Operator||Inadequate understanding of machine controls, Lack of knowledge of production planning, Inadequate communication skills|
|Quality Controller||Inadequate knowledge of sampling techniques|
|4||Real Estate Services||Project Planner||Inadequate understanding of government regulations, Inadequate networking skills, Inadequate ability to plan out large projects including financial planning|
|Facility Management||Incomplete understanding of maintenance services, Inadequate customer orientation and interaction skills, Inadequate documentation skills, Inadequate communication skills|
|Real Estate Agent||Lack of basic communication skills, Inadequate documentation skills|
|5||Transportation and Logistics||Store Manager||Inadequate knowledge of procedures, paper work for interstate movement, taxation-related aspects, Inadequate ability to ensure training of personnel employed|
|Supervisor||Lack of knowledge of best warehousing practices, Inadequate knowledge of new technologies such as RFID, SCM techniques, inventory management, Insufficient knowledge of taxation policies|
|Drivers/ Helpers||Lack of formal training in driving, Inadequate knowledge of safety and first aid, Insufficient knowledge of handling high-capacity trucks and|
safe driving practices
|6||Engineering Units/ Iron & Steel||Supervisor||Inadequate interpersonal skills, Inadequate understanding of quality concepts, Inadequate understanding of product specifications|
|Workman/Operator||Insufficient understanding of discipline, industrial rules, work-related procedures, Inadequate understanding of the end-use of the product, Inadequate ability to carry out basic troubleshooting in case of|
|Sales/ Marketing||Inadequate ability to liaison/ negotiate with counterparts, Inadequate understanding of the Indian real estate/infrastructure segments|
|7||Banking, Financial Services & Finance||Field Executive/Agent||Poor knowledge of banking products, Poor communication skills, Poor selling skills|
Promotional Initiatives – Thrust Sectors
Based on the current economic profile of the state, several initiatives could be facilitated and supported by Development support organizations in India for promoting the potential sectors which can drive future employment in the state. The following sectors have been identified as potential sectors for high economic growth in the future:
- Sericulture, Handloom & Handicrafts: The promotional initiatives are aimed at maintaining the leading edge and rejuvenating existing rural industries in the sector through capacity development initiatives and providing marketing assistance.
- Agro/ Food Processing: The promotional initiatives are aimed at setting up new industrial infrastructure to create more off-farm jobs, bringing greater value addition and increasing the income of the rural workforce and farmers
- Automobile and Auto Components: The promotional initiatives are aimed at the development of common facilities and skill development centers at the automobile clusters in the state.
- Tourism: The promotional initiatives are aimed at attracting higher investment in the areas with tourist potential and pool up resources from both government and private sector.
- IT-ITES: The promotional initiatives are aimed at attracting future investments in the sector.
List of Potential Employers and Collaborators
- Government-Supported Vocational Training: Currently Jharkhand has 20 Government ITIs and 25 Polytechnics. In addition to the above, there are 157 private ITCs also. The total annual intake capacity is about 44,400 as highlighted in the table below.
Vocational training infrastructure in Jharkhand
|Programme||Number of Institutions||Intake Capacity|
Private Sector Supported Vocational Training in Jharkhand
|NSDC partners||Globysyn, ISDC, Calance||Ramgarh, Ranchi, Chatra||Security, Food Processing, Biometrics|
|Swarnajayanti Gram Swaraj Yojana||A4e, Don Bosco, Career Launcher, OCFIT, Prayas, Premier Shields Pvt Ltd, NIS Sparta, Cap Foundation, Future learnings, Youth 4 Jobs, Institute of Computer Accountants, RSMIT, PNB Vocational Training Centres, SBI Vocational Training Centres||Bokaro, Hazaribagh, Ramgarh, Dumka, Gumla, Ranchi, Chatra, East Singhbhum, Dhanbad||Retail, Hospitality, Automobile, Security Guards, Facility Management, IT-ITES, Basci Computers, Textiles, Food Processing|
However, with 85% of the intake capacity concentrated in only 8 districts namely East Singhbhum, Ranchi, Bokaro, Dhanbad, Hazaribagh, Deoghar, Dumka, and Palamau, access to vocational training and education is still a challenge for a large population of the state. Some of the western and northeastern districts like Garhwa, Latehar, Gumla, Godda, Sahebganj, and Pakur have a very limited number of vocational training institutions.
It is worth noting that capacity utilization of the Government ITIs is only about 54% on account of presence of trades like Plumber, Carpenter & Stenographer which are less popular among the aspirants and mostly remain vacant27 and vacancy of technical manpower in the ITIs. However, the capacity utilization of private ITCs is much higher at 84% on account of 92% of the intake capacity being in popular trades such as Electrical, Fitter, and Mechanic (Diesel).
The age category of 18-24 years have expressed their interest for skill-based trainings in the areas of Tailoring, Beauty Parlour, Embroidery, Hand Pump repairing, Sweater Knitting and Mobile repairing. Other Vocational Skills in which the tribal youth are interested to include Tailoring, Computer training, Mobile Training, Electric Motor repairing.
- The main occupation of the tribal youth includes agriculture, Kendu leaf collection, Sal leaf plate making, forest wood collection, Tassar collection and processing, and Goattery.
- Distress migration of tribal youth is high in all 4 districts – Dumka, Deoghar, Giridih, and Jamtara for gainful employment and livelihood security. The tribal youth migrate to nearby towns and outside the state for gainful employment and livelihood opportunities for at least 6-7 months in a year. The destination places include Kolkata, Purulia, Asansol, Ladakh, Mumbai, Delhi, Haryana, Punjab, Bangalore, Tamil Nadu, and Kerala.
- The employment potential of tribal youth lies in promoting skill-building initiatives on natural resources management in the village such as the construction of small water harvesting structures, food processing and value addition, marketing, setting up Tassar units, small Sal leaf plate making units, entrepreneurship development, etc. A majority of the tribal youth (90%) have expressed their interest to work in their village and earn their livelihoods instead of migrating out. Only 10 % of the tribal youth preferred permanent migration.
- The tribal youth preferred seasonal migration as a coping mechanism.
- None of the youth interviewed knew of any skill-building or vocational training centres either of the Government, public sector, private, or other development organizations.
- The income level of the tribal households varies in the range of INR 20,000 to INR 30,000 per annum.
- The tribal youth expressed their aspirations to get trained on the following trades including beauty parlor, tailoring, nursing, mobile repairing, Information technology, electricians, plumbers, mechanics, Government jobs, Railways and public sector undertaking jobs.
- Women and men have differential skill-building and vocational training needs based on their interests. Women have expressed their interest in beauty parlours, Sweater knitting, Embroidery, Candle making, Agarbatti (Incense sticks), soap making, tailoring, nursing, Government jobs, and IT sectors.
- Men are interested in mobile repairing, Information technology, Chanachur making (Snacks), Mudi (Puffed Rice making) factories, Mushroom cultivation, Poultry, electricians, plumbers, mechanics, Electric Motor repairing, Government jobs, Railways, and public sector undertaking jobs.
- Agriculture work is mainly during the Kharif season (Southwest Monsoon season from June to September) for 4 months. Agriculture is mainly rainfed. There are limited assured sources of irrigation in the villages. For the remaining 8 months, the tribal youth do not have gainful employment in their villages or Gram Panchayat.
- The average number of days of employment under the MGNREGS is very low in the 4 districts in Jharkhand. On average the total number of days worked by a household under the MGNREGS ranges between 7 days to 20 days in a year.
- The youth expressed their interest to undertake skill-building/vocational training within their Gram Panchayat and districts.
- The tribal youth are of the opinion that initial handholding support by an external development agency would be required to link the tribal youth with the skill-building and vocational training centers.
Recommendations to improve tribal employability in Jharkhand
Development support organizations have a good presence in Jharkhand through its physical presence of Field Offices and NGO partners. The ongoing projects and initiatives can identify the youth interested to take up Vocational training across sectors of their interest and link them with potential employers and collaborators including Government and private sector actors in the State. The following are the key suggestions and recommendations:
- In order to improve capacity utilization, Development support organizations in India can engage with the Government, and advocacy efforts can be facilitated to suggest that ITIs in the states should focus n identifying obsolete courses (based on capacity utilization and placement figures) at the ITIs by monitoring trade level capacity utilization and demand from the industries. The number of seats in the identified less popular trades may be accordingly reduced. Also, steps should be taken to identify high-demand courses in consultation with the industry and estimated future requirements.
- Development support organizations in India can facilitate the formation and strengthening of sector-level Skill Development Committees may play a significant role in undertaking this activity. The placement opportunities at the ITIs can be improved by establishing Training Councils and Placement Cells at the ITIs with adequate infrastructure for continuous interaction with industry/ employers. Providing English language and computer labs in all Government Polytechnics and ITIs to improve the English and Computer proficiency of the students will also be helpful in increasing placement opportunities for the students.
- Development support organizations in India may initiate work with the government and may focus on districts like Giridih, Garhwa, Latehar, Sahebganj, Gumla, Pakur, & Lohardaga for the expansion of vocational training infrastructure in the state. Educational institutions of the Government above high school may be identified as skill development centers in the above districts. In order to attract private players, the Development support organizations in India might work closely with NSDC to encourage private sector training providers through PPP mode. It may also partner with development organizations like Youth 4 jobs etc and encourage private players to open skill development centers in backward districts such as Lohardaga, Gumla, Latehar, and Garhwa and help facilitate tie ups of the private partners with existing ITIs, Polytechnics, colleges, high schools for sharing infrastructure at nominal rates.
- Development support organizations India and the NSDC may play a pivotal role in encouraging the existing private partners to open skill development centres in the state. The respective Sector Skill Councils (SSC) in coordination with industry associations should be engaged in conducting skill assessments and certification of the students passing out of the private skill development centers. The industry should actively support the activities of SSC in Jharkhand by partnering with skill development institutes to support the Train the Trainers programme of the SSC.
- Development support organizations India may partner with large private players/PSEs including nationalized banks may also support/adopt vocational training institutes as part of its CSR activities. Development support organizations India can partner with nationalized banks like State Bank of India, Punjab National Bank, etc to link tribal youth with the ongoing skill and vocational training programs of the banks in their training centres in Deoghar and other towns in Jharkhand.
- Development support organizations in India can partner with local NGOs for link of tribal youth for the various skills and vocational training and funding available under the Deen Dayal Upadhyay Gramin Rashtriya Kaushalya Yojana (DDU-GKY).
- Development support organizations India may invest in initiating a Skill Development Training Institute on its own and set up the training institute. However, there are already 250 Skill building/Vocational training centers in Jharkhand where the linkages of tribal youth can be facilitated through project partners. Development support organizations in India may consider the following while Skill building and Vocational Training initiatives in its projects/programmes to:
- Enable Poor and Marginalized to Access Benefits: Demand-led skill training at no cost to the rural poor
- Inclusive Programme Design: Mandatory coverage of socially disadvantaged groups (SC/ST 50%; Minority 15%; Women 33%)
- Shifting Emphasis from Training to Career Progression: Pioneer in providing incentives for job retention, career progression, and placements
- Greater Support for Placed Candidates: Post-placement support, migration support, and alumni network
- Proactive Approach to Build Placement Partnerships: Guaranteed Placement for at least 75% trained candidates
- Enhancing the Capacity of Implementation Partners: Nurturing new training service providers and developing their skills.
- Regional Focus and Funding: Greater emphasis on projects for poor rural youth in Jharkhand. Funding components include support for training costs, boarding and lodging (residential programs), transportation costs, post-placement support costs, and career progression, and retention support costs.
- Industry Internships: Support for internships with co-funding from the industry.
- Educational Institution of High Repute: Institutes with a minimum National Assessment and Accreditation Council (NAAC) grading of 3.5 or Community Colleges with University Grants Commission (UGC)/ All India Council for Technical Education (AICTE) funding willing to take up Skill-building projects. The trade-specific skills are required to follow the curriculum and norms prescribed by specified national agencies: the National Council for Vocational Training and Sector Skills Councils. In addition to the trade-specific skills, training must be provided in employability and soft skills, functional English, and functional Informational technology literacy so that the training can build cross-cutting essential skills.
- Training Quality Assurance: Through the National Policy on Skill Development, 2009, India recognized the need for the development of a national qualification framework that would transcend both general education and vocational education and training. Accordingly, GOI has notified the National Skills Qualification Framework (NSQF) in order to develop nationally standardized and internationally comparable qualification mechanisms for skill training programs which can also provide for interoperability with the mainstream education system. Third-party assessment and certification by assessment bodies impaneled by the NCVT or SSCs.