Is your degree enough?

As the Indian workforce grows, a critical question emerges: is a degree alone enough to secure a prosperous career in today’s job market? The India Skills Report highlights a startling gap, with over 250 million young Indians set to enter the workforce by 2025, but only 5% equipped with employable skills through formal training. This gap persists despite the proliferation of higher education institutions, particularly private colleges, across the nation.

In the broader context, the World Economic Forum predicts that technological advances will significantly impact 1.1 billion jobs globally within the next decade. This wave of change, driven by automation and digitalisation, heralds the arrival of Industry 5.0, where the synergy between humans and machines will redefine labour markets. In this era, a degree alone is insufficient; skills are the new currency of employability.

Adding to this, a study by Korn Ferry predicts a significant shortage of skilled workers in 20 major countries across finance, tech, and manufacturing sectors by 2030. If left unaddressed, this shortage could result in millions of unfilled jobs and trillions of pounds in lost revenue. The solution? Upskilling.

Projections indicate that worldwide upskilling could boost the economy by £5.1 trillion, with India potentially gaining £446 billion by 2030. As India is poised to become the world’s third-largest economy by 2027-28, with a GDP surpassing USD 5 trillion, the necessity for upskilling becomes imperative. Upskilling isn’t just a remedy; it’s a catalyst for economic growth and individual prosperity, ensuring that the workforce remains relevant and competitive in an ever-evolving job market.

The evolution of the job market

Gone are the days when a single degree or specialisation guaranteed a lucrative career. The job market of the past was relatively straightforward: earn a degree, secure a job, and climb the career ladder. However, the digital age has fundamentally altered this trajectory. The rapid pace of technological advancement demands dynamic and specialised skill sets, far beyond what traditional education models typically provide.

Automation and artificial intelligence (AI) are at the forefront of this transformation. Industries across the board, from manufacturing to finance, healthcare to retail, are undergoing significant changes. Routine tasks that once required human intervention are now being performed by machines and algorithms. This shift is displacing certain roles, particularly those that involve repetitive or low-skilled tasks. Jobs that were once considered stable are becoming obsolete as machines take over their functions.

Conversely, this technological upheaval is also creating new opportunities. Roles that require a blend of technical and soft skills are emerging, necessitating a workforce that is both technologically adept and capable of critical thinking, creativity, and emotional intelligence. For example, while AI can handle data analysis, the interpretation and strategic application of that data often require human insight and ingenuity. Similarly, as automated systems manage logistical operations, the need for human oversight, problem-solving, and innovation becomes more pronounced.

To thrive in this evolving scenario, individuals must acquire adaptable and transferable skills that transcend industry boundaries. Adaptability is key; workers must be prepared to learn and unlearn as technology evolves. Transferable skills, such as problem-solving, communication, and project management, enable individuals to pivot across different roles and industries. These skills are not tied to a specific job function but are broadly applicable, making them invaluable in a rapidly changing job market.

Moreover, the emphasis on lifelong learning has never been more critical. Continuous upskilling and reskilling are essential to keep pace with technological advancements and shifting industry demands. Educational institutions and employers alike must foster environments that encourage ongoing education and skill development. This includes embracing new learning methodologies, such as online courses, bootcamps, and micro-credentialing, which offer flexible and targeted skill acquisition opportunities.

The imperative of skill education

Skill education offers numerous advantages for both individuals and society. Firstly, it significantly enhances employability. Employers seek candidates who possess not only technical expertise but also problem-solving, communication, and critical thinking abilities. Developing such skills makes individuals more attractive and competitive in the job market.

Skill education future-proofs careers. With technology advancing at an unprecedented pace, professions and industries are constantly evolving. By acquiring versatile skills and fostering a mindset of continuous learning, individuals can adapt to changing trends and remain relevant. The ability to upskill and re-skill is essential for professionals to stay competitive and seize emerging opportunities.

Skill education also fosters entrepreneurial opportunities. The rapidly changing business landscape presents fertile ground for individuals with diverse skill sets to pursue entrepreneurial ambitions. The ability to innovate and adapt is crucial for success in a competitive and dynamic market.

Additionally, skill education plays a vital role in personal development. It equips individuals with not only the technical skills required for their chosen fields but also the essential soft skills needed to thrive in a collaborative and interconnected world. Skills such as emotional intelligence, effective communication, and adaptability are invaluable in building strong relationships, navigating diverse cultures, and successfully contributing to teams and organisations.

The need for a paradigm shift

There needs to be a paradigm shift from traditional degree-focused education to new-age skills development driven by AI and technological advancements.

This shift is imminent and will require the reskilling of 120-140 million individuals by 2025, according to experts. Universities must align their curricula with industry demands, embedding in-demand skills and fostering stronger engagement with employers to improve graduate employability outcomes.

A degree alone is no longer sufficient in a skills-driven job market. As the digital age continues to reshape industries and professions, the importance of skill education cannot be overstated. Investing in upskilling and reskilling is not a luxury; it is a necessity for individuals and the nation. By embracing this paradigm shift, we can ensure that our workforce is prepared to meet the challenges and opportunities of the future, driving economic growth and personal development.

(The author is Chairman of i-merit Steering Committee and Founder & CEO at Connexrm Pte Ltd Singapore)