Although he has a large workforce, the issue of insufficient development of skills in the country has become endemic Photocredit: Priyanshu Singh
India is becoming a global employment picenter because the global labor market is undergoing rapid transformation, with the increasing demand of trained employees in the economies, since the aging population in many countries and companies are accepting digitization, according to a report of Crisil Intelligence.
“The global labor market is undergoing rapid transformation, in which the demand for trained employees is increasing sharply in both advanced and emerging economies because of the aging population in many countries and companies that want to take over and scale digitization.” the report noticed.
The report also emphasized that, although some countries witness the rising unemployment, many employers around the world continue to receive challenges in finding skilled employees. It stated: “India to become a global labor picenter. The global labor market is undergoing a contradictory situation, in which some countries experience increasing unemployment, even while employers have difficulty finding competent employees”.
The primary reason for this paradox is the growing demographic divergence. Countries with a high income experience rapid aging of the population as a result of persistent decrease in fertility rates and the rising life expectancy. This has resulted in a high dependency ratio of the elderly in the working population, so that the shortage of skills is further deepened.
On the other hand, countries with a lower and middle income see a demographic extension, with an increasing number of young people entering the workforce. According to the global economic prospects of the International Monetary Fund, these countries are expected by 2050 to contribute nearly two -thirds of the global workforce.
The report also stated that with 65 percent of the population under the age of 35, India is in a unique position to bridge this global shortage of skills. The country has the potential to deliver excess work and to fill the talent gaps in nations with a high income.
However, the Crisil report also warned that the labor market of India stands for serious challenges, in particular in the form of qualifying and widespread skills. According to the periodic workforce survey, less than half of India graduates are considered fully employable and only 4.4 percent of staff have received formal vocational training.
This indicated that, despite the fact that it has a large workforce, the issue of insufficient development of skills in the country has become endemic. The report outlined that India urgently needs to tackle the structural gaps in its skills ecosystem. By doing this, the country can not only improve domestic employment and productivity, but also contribute to bridging the global shortage of skills. (ANI)
Published on July 15, 2025
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