R E T U R N S O N E D U CAT I O N

Attuning education with employability is key to improving India’s human capital ranking

A country’s growth depends on its ability to develop and deploy human capital. The bad news for India, with a population of 130 crore, is that it ranks a lowly 105 out of 130 countries, based on the latest global human capital index, brought out by the World Economic Forum (WEF). With a low optimisation (57.73%) of its human capital—Finland’s at the top, with 85.86%—India is placed much below China (71), and even Bangladesh, Bhutan and Sri Lanka. Last year, the country ranked 100 out of 124 countries. That India’s education system and infrastructure are poorly attuned to the needs of the job market is visible from the WEF index pointers for different age groups. For the 0-14 year segment, the country’s human capital rank is a much better 62, because of improved enrollment in schools. But, as one moves up the age-groupings, the lack of vocational and other training, which enhances employability, becomes evident. In the 1524 years band, India is placed 106th, and in the 25-54 years band, it occupies the 119th spot. This state of affairs continues in the 55-64 years group (120) and it stays at this level for the 65+ age group (119).

There are middling consolations, like being placed 39th for ‘quality of education’, 46th for ‘job training’ and 45th for ‘ease of finding skilled employees’. But, this is clearly limited to a small portion of the educated population even today. At a time when the government is looking at bringing in necessary changes in the education system, it would do well to focus on creating employable individuals, not just graduates and post-graduates. All those getting into tertiary education must have the opportunity to engage in studies that equip them to be absorbed in the job market or become self-employed. The WEF report rightly points out that how the country adapts its education system to the digital revolution would be critical.