Mumbai, Nov 7: The issue of youth unemployability is a bigger crisis than overall unemployment, according to a 'India Labor' survey report carried out by a human resource firm, Teamlease.
The report examined the issue of youth unemployability and warned that our demographic dividend will become a curse unless there is a radical overhaul of India's education and training regime.
According to the Report, 53 per cent of employed youth suffer some degree of skill deprivation while only eight per cent of youth are unemployed and 57 per cent of India's youth suffer some degree of unemployability.
The Report further stated that poor human resource demand and supply mismatch is contributing largely to rise in unemployment.
About 90 per cent of employment opportunities require vocational skills, but 90 per cent of college/school output has bookish knowledge.
High drop out rates (57 per cent by Grade 8) are incentivized by the low returns of education. 75 per cent of school finishers make less than Rs 50,000 per year.
The Report observed that poor quality of skills/education show up in low incomes rather than unemployment. It showed 45 per cent of graduates make less than Rs 75,000 per year.