8.7 crore Indian youth caught in a career limbo

More than 8 crore Indian youth are caught in a difficult spot — with no job, no education and no training.According to a Niti Aayog report, an estimated 8.7 crore Indians aged 15 to 29 fall into this category. The figure, based on the 78th round of the National Sample Survey conducted in 2021, was highlighted in Niti Aayog’s report Reimagining Skilling for Viksit Bharat@2047.It called for subsidised training programmes to help young people move towards self-employment and develop skills that match local demand and emerging sectors.The report divided India’s workforce and learners into five broad groups: those in schooling, tertiary education, formal and informal work, not in education, employment and training (NEET) youth, and women. It said that young people outside education, employment and training face a particular financial hurdle as they have no income while already having spent on their earlier education.“NEET youth are constrained by the absence of income and the sunk cost of prior education. Students often cannot layer paid skilling onto existing financial commitments,” it said.

Cost remains a barrier

For students from low-income households, adding a paid skilling course to the cost of college and, in many cases, private tuition can be difficult to afford, the report said. This can leave young people with limited room to invest in additional training alongside a conventional degree.The report said some graduates subsequently take up formal employment simply to secure an income and support their families, even when the available job is low-paying. Others find it difficult to make the transition from education to employment and eventually become NEET.“As a result, many students choose to get themselves a formal job/income source after graduation to support their families and often end up taking whatever brings in some stable income even if that is low-paying; others, however, struggle to transition into work and become NEET,” the Aayog said.

Career mismatch

The gap between having a degree and finding the right job remains stark, with only 8.25 per cent of graduates employed in roles that match their qualifications. The report said limited exposure to practical learning and industry-aligned training continues to affect employability, even among formally educated youth.

The Aayog said that NEET youth and women need affordable or subsidised training options, backed by dedicated financial support where financial constraints are most binding. It also emphasised the importance of allowing people to learn while earning.“For the workforce and NEET youth, the need shifts towards mid-career reskilling, self-employment pathways, and learning options aligned to local demand and emerging sectors,” the Aayog said in the report.The report said India’s Viksit Bharat 2047 ambition rests on enabling citizens to keep learning, earning and progressing, making skilling a key part of that effort.Since 2014-15, more than 7.67 crore people have been trained, the Aayog added.