Overview

This study examines the structural challenges facing Rajasthan's skill development ecosystem, with a focus on the Rajasthan Skill and Livelihood Development Corporation (RSLDC), the nodal agency for skilling programmes in the state. Since its inception in 2010, RSLDC has trained about 5 lakh youth and placed roughly 2 lakh into jobs through various centrally sponsored, shared, and state schemes. However, the agency has drawn criticism, including from the CAG's 2018 report, for its inability to deliver training in relevant sectors, ensure optimum placements, and effectively monitor training processes. Against the backdrop of rising unemployment in Rajasthan, with figures ranging from about 21 lakh to 68 lakh between 2018 and 2022 across CMIE and PLFS estimates, the study assesses whether recent reforms address the deeper deficiencies in the system.

The publication argues that meaningful skilling outcomes hinge on three interlinked elements: reliable, current data on labour market demand; strong industry and market connect; and adequate, dispersed training infrastructure. It also draws on findings from CMRETAC's 2021-22 policy studies to highlight significant skilling needs in health, sustainable agriculture, agro-business, and the urban informal sector, and flags climate-driven 'green' jobs as an emerging frontier. The study makes the case for a unified, concerted skilling strategy that brings all initiatives under one coherent framework, supported by industry-led governance, professionalised management, and robust linkages with Sector Skill Councils.

Key Highlights

• RSLDC's training model relies heavily on outdated NSDC (2013) and IMaCS (2008) skill gap assessments, missing the impact of Industry 4.0, the gig and platform economy, and shifting trade dynamics; an annual review of sectors and job requirements should be institutionalised to enable continuous demand assessment.
• Industry ownership in RSLDC's governance is absent, with all ten board members drawn from state government; the board should be revamped to include a majority of directors from key economic sectors, and management professionalised including drawing the CEO from the market.
• Training infrastructure is temporary and inadequate, with around 400 training partners relying on rented facilities to train only 65,000-70,000 youth annually against an unemployment pool of about 67 lakh in the 15-35 age group; the state should attract 10-15 large training partners, each capable of training 50,000-75,000 persons per year, supported by an incentive scheme.
• CMRETAC studies identify substantial employment opportunities in health (with a 34% overall shortage of clinical staff and gaps as high as 80% for specialists at CHCs), sustainable agriculture, agro-business, and the urban informal sector, all of which require tailored skilling programmes; task-shifting and up-skilling of locally recruited health workers, including nurse-practitioner models, should be considered.
• Linkages with Sector Skill Councils are weak; RSLDC should establish institutional relationships with SSCs for industry-led curriculum development and third-party certification, encouraging SSCs to set up Rajasthan chapters.
• A coordinated strategy across ITIs, RSETIs, polytechnics, and RSLDC is needed to avoid duplication, with EMI and RSETIs playing a more active role in supporting youth who wish to start micro-enterprises after skill development, and CMRETAC-identified skill requirements being formally incorporated into the state's skilling strategy.