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India’s aspiration to become an economic superpower is inextricably linked to its ability to take advantage of the demographic dividend and uplift deprived areas. However, this ambition faces a significant challenge. NITI Aayog CEO BVR Subramaniam has stressed that the most urgent need for reform in India is to bridge the education and skills gap, CNBC TV 18 reports.
Without this improvement, downstream initiatives may fail. Their concern is justified, as the India Skills Report (2024) shows that only 51.25% of youth aged 18-29 across India are considered employable. The World Economic Forum’s Future of Jobs report identifies creative problem-solving, critical thinking and emotional intelligence as essential for technology, finance, marketing and commerce jobs. To truly harness the potential of its youth, India must reimagine employability, especially in the context of AI, and invest in learning methods that leverage technology rather than destabilizing Indian workplaces .
Reimagining employability and the future of work.
Two important forces, automation and declining reliance on formal degrees, undermine traditional assumptions about employability. As companies increasingly use AI to automate routine tasks, demand for traditional roles is decreasing. Additionally, the democratization of online learning has made specialized skills more accessible outside of formal education. As a result, employability now depends more on digital fluency and complex cognitive abilities than simply holding a formal degree.
In this changing scenario, the real game changer will be ‘soft skills’. These uniquely human abilities are irreplaceable by machines, making them the new foundation of employment in the 21st century. To meet the demands of the modern job market, it is important to prioritize soft skills over traditional qualifications. Integrating soft skills into development programs, especially in rural areas, is an educational enhancement and a key strategy for economic empowerment in an AI-driven world.
Innovative approaches needed for soft skills training
Although getting large institutions to refocus on soft skills is a huge task, it is made more difficult because standard pedagogies are inadequate. Soft skills are intangible and context-dependent, therefore requiring innovative teaching methods. Traditional classroom or instructor-led approaches are likely to fall short. Instead, we should create new, challenging environments and intense experiences to stimulate the brain and form new neural connections, enhancing creative thinking and problem-solving skills. Virtual reality, for example, can simulate real-world scenarios where learners must navigate complex social interactions or solve problems under pressure—skills that are essential in any professional setting but not through lectures alone. It is difficult to teach.
Nimaya Foundation recently launched a program for 1000 ‘Smart Women’ in Uttar Pradesh, which is an example of this innovative approach. The initiative uses simulations, games, and learning-on-demand to create immersive learning environments that help young women develop the soft skills needed for success in the modern workplace. These efforts underline the importance of moving beyond traditional methods and adopting new technologies to effectively teach soft skills.
“Along with the technical skills the girls bring from their respective colleges, we like to focus on things that we believe are extremely useful in the 21st century workplace. Creative thinking, problem-solving Things like teamwork, which we might not be able to do, should be taught compulsorily in schools and colleges – these are the soft skills we want to focus on,” says Navya Naveli Nanda, co-founder, Nimaya Foundation. Because we believe that these will create the next generation of leaders.
Integration in all areas
The traditional education system has treated soft skills as an afterthought, often focusing on communication as a formality before placement. It is important for institutions, especially in more remote areas, to recognize industry demand and incorporate a comprehensive soft skills curriculum. This expanded skill set requires communication as well as the ability to navigate complex interpersonal situations, think creatively, and solve problems in real time.
Inspiration for this focus can come from many parts of the country. Nimaya’s example highlights the need for an extra-curricular approach coupled with personal expertise when women are preparing for their first job. Many private IB and Cambridge schools around India’s tier-one cities have formalized life skills into their curriculum, meaning there are culturally relevant methods that government curriculum designers can adopt.
There are also examples of government livelihood programs. Jeevika has already launched Life Skills through Sustainable Livelihood Scheme in Bihar. The/Nuz Institute is also testing the expansion of soft skills for women using digital technology with the Government of Jharkhand. These initiatives underline the growing recognition that soft skills are not “extra” or “nice to have”. In these programs, skills like confident communication are fundamental to interacting with trainers and strangers, mastering business skills, and leveraging them to earn a steady income.
As we look to the future, it is clear that the technical skills envisaged by the policy are inadequate. Investing in comprehensive soft skills training through innovative pedagogy ensures that the next generation of workers is technically skilled, socially adept and emotionally intelligent. This holistic approach is essential to building resilient and self-reliant communities, laying the foundation for sustainable development in an increasingly automated world.
(The author Sharon Barnhart is Director of the Center for Social and Behavior Change at Ashoka University. The author Samyak Chakraborty leads Workverse and is working towards democratizing access to the soft skills training of the future. The views expressed here are personal. )
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