Vocational skills are key to enabling the BOP to participate in value chains. Low productivity linked to the lack of marketable skills acts as a significant barrier towards inclusive business growth. In this context, vocational training is an important precursor to BOP participation and to inclusive growth.
Partnerships with different stakeholders, in particular with the private sector, can assist in skills-needs identification, curriculum development, training delivery, as well as certification and assessment processes to ensure that vocational training is aligned with market demand and subsequently leads to employment. The private sector can also be involved by providing internships, apprenticeships, and job opportunities as well as coaching and mentoring support.
India: Support skills building among low-income communities
With 356 million 10-24 year-olds, India has the world's largest youth population in the world. According to recent reports, only about 34 percent of youths that graduate from school have skills that make them readily employable.
The National Skills Development Corporation (NSDC) is a non-for-profit organization set up by India’s Ministry of Finance whose mission is to promote skills building amongst youth entering the workforce and narrow the existing gap between the demand and supply of skills.
NSDC works in coordination with the private sector to promote skills building through training and capacity building. It also engages in advocacy and training programs, in-depth research to discover skill gaps in the Indian workforce, and developing accreditation norms. NSDC acts as a catalyst by providing funding to enterprises, companies and organizations that provide skill training. It also develops appropriate models to enhance, support, and coordinate private sector initiatives.
NSDC is responsible for ensuring that the private sector delivers vocational training to 150 million people, as part of the national goal set by the Government of India.
- Brazil: SEBRAE provides micro and small business support
- India: IL&FS Skills provides vocational skills building and placement support
- South Korea: Meister high schools provide skills development for high-skilled manufacturing jobs and other employment opportunities [outdated]
- Dunbar, M. Engaging the Private Sector in Skills Development. Department for International Development (DFID) Guidance Note. London: DFID