The nation needs to reskill six million workers in the electronics sector alongside targeted upskilling programs for four million new entrants.
Backed by fruitful government schemes and initiatives, India’s electronics industry is all set to achieve the target of $500 billion by 2030, but a projected skills gap of 10 million professionals threatens to impede this growth, claims TeamLease Degree Apprenticeship. This shortfall is particularly acute in specialized technical areas such as semiconductors, electromechanical components, and emerging technologies like the Internet of Things (IoT) and 5G.
The industry, driven by a robust annual growth rate of 25-30 percent is also expected to generate approximately 12 million jobs by FY 2027-28, encompassing both direct and indirect roles. A. R. Ramesh, CEO of TeamLease Degree Apprenticeship, emphasizes that while initiatives like “Make in India” and “Digital India” have significantly advanced the electronics value chain, fully realizing its potential hinges on effectively addressing skill gaps, especially in emerging areas such as the Internet of Things (IoT) and 5G.
According to Ramesh, India’s shift toward high-tech areas such as Artificial Intelligence (AI), the Internet of Things (IoT), and Industry 4.0 has triggered a surge in demand for skilled professionals, particularly in core manufacturing, electronics design, and technical troubleshooting. However, a significant challenge lies in aligning educational outcomes and industry requirements. Many educational institutions need to update their curriculums faster, leaving graduates with theoretical knowledge that doesn’t match the practical skills required in high-tech industries.
The report highlights a pressing need for specialized talent in sectors like communication electronics, consumer electronics, aerospace and defense electronics, semiconductor process engineering, and robotics. Addressing skill development and employability challenges necessitates curricula that align with industry demands. Apprenticeship Embedded Degree Programs (AEDP), as envisioned under the new education policy, present a viable solution by aiming to produce two million job-ready graduates annually.
In 2024, the employability among engineering graduates was approximately 64 percent, an increase from 57 percent in 2023. On the other hand, the employability rate for ITI graduates stood at about 40 percent in 2024, up from 34.2 percent in 2023. Employability rates for general education graduates range between 38 percent and 55 percent, depending on the specific field of study. Moreover, there is a requirement to reskill six million workers in the electronics sector, alongside targeted upskilling programs for four million new entrants by the financial year 2027-28 (FY28).
Moreover, to address these hurdles, the Indian government has launched initiatives like FutureSkills PRIME to reskill and upskill IT professionals in emerging technologies. Additionally, the Electronics Sector Skills Council of India (ESSCI) is actively working to bridge the skill gap in the electronics industry.
