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The QS World Future Skills Index 2025, released by Quacquarelli Symonds (QS), evaluates countries' readiness to meet the evolving demands of the global job market. It assesses nations based on skill development, education, and economic transformation, highlighting their preparedness for emerging technologies, artificial intelligence (AI), and sustainability.

India’s Performance in the Index:

• Overall Ranking: India is ranked 25th globally, categorizing it as a “Future Skills Contender.”
• Future of Work Category: India ranked 2nd, only behind the United States, reflecting its preparedness for AI, digital, and green jobs.
• Economic Transformation: India scored 58.3, the lowest among the top 30 countries, reflecting challenges in innovation and sustainability.
• Skills Fit: India received a score of 59.1, the weakest among the top 30 nations, indicating a gap between workforce skills and industry requirements.
• Academic Readiness: India’s education system is struggling to keep pace with employer demands, necessitating curriculum reforms and stronger academia-industry collaboration.

Key Findings from the Report:

Strengths:

• Digital Readiness: India has demonstrated strong capabilities in integrating digital talent into the workforce.
• Youth Advantage: A large, young population provides a demographic dividend for sustained economic growth.
• Startup Ecosystem: India’s startup culture and government initiatives support technological advancement and innovation.

Weaknesses:

• Higher Education-Industry Gap: Mismatch between education and employer requirements, particularly in AI, green skills, and entrepreneurship.
• Limited R&D Investment: India’s research and development spending is 0.6% of GDP, far below the global average of 2.7%.
• Low Innovation in Sustainability: India scored 15.6 out of 100, ranking poorly in future-oriented innovation for sustainability.

Challenges and Concerns:

• Skilled Workforce Shortage: The National Skill Development Corporation (NSDC) estimates a 29 million skilled workforce gap in critical sectors such as healthcare, semiconductor manufacturing, and AI.
• Low Employability Rates: Only 25% of management professionals, 20% of engineers, and 10% of graduates meet global employability standards.
• Higher Education Accessibility: Many students face difficulties in accessing quality tertiary education, particularly in skill-intensive fields.

Opportunities for Growth:

• Leverage Demographic Dividend: India can capitalize on its young workforce to dominate skill-based industries while other nations struggle with aging populations.
• Policy Support:
  • National Education Policy (NEP) 2020: Focuses on modular education and reskilling initiatives.
  • ULLAS Program: Aims to expand lifelong learning and skill development.
• Technological Integration: Advancements in AI and digital learning can help modernize academic curricula and improve job readiness.

Recommendations for Improvement:

• Enhancing Academia-Industry Collaboration: Universities should prioritize problem-solving, entrepreneurship, and creativity to align education with employer needs.
• Increasing R&D Investment: Raising spending on research and development to promote innovation and sustainability.
• Expanding Access to Education: Bridging regional disparities in tertiary education through flexible and modular learning.
• Strengthening Policy Implementation: Ensuring effective execution of skilling programs to reduce the workforce-employability gap.