New Delhi, India — diadactics ceo Suresh Iyer issued a strong call on November 21, 2025, for an accelerated national skilling initiative designed to harness India’s unmatched demographic and digital advantages. Speaking at the India Skill Summit, Iyer emphasized that India’s workforce of over 500 million young professionals presents an unprecedented opportunity to dominate global knowledge economies — but only if skill development matches evolving job requirements.[1]
This call comes as India continues to lead global labor exports, with over 18 million Indians working overseas, particularly in technology, healthcare, and engineering sectors. Yet, the persistent gap between education outcomes and employer needs threatens to undermine this advantage. Iyer warned that without urgent investment in vocational training, digital literacy, and soft skills, India risks losing ground to competitors like the Philippines, Vietnam, and Eastern Europe.[2]
The urgency is compounded by rapid shifts in work modalities — AI adoption, hybrid work, and automation are reshaping demand for skills faster than traditional education systems can adapt. Iyer’s message underscores a broader global reckoning: nations must rethink workforce development strategies to sustain economic growth and global competitiveness.

India’s Demographic Dividend Meets a Skill Deficit
India’s labor force is projected to add nearly 30 million workers annually through 2030, a scale unmatched by any other country. This demographic dividend is a central pillar of India’s economic forecast, with the International Labour Organization projecting a 6.5% GDP growth sustained by human capital expansion.[3]
However, the World Economic Forum’s 2025 Future of Jobs report ranks India 89th out of 120 countries for workforce readiness, citing critical gaps in digital skills, problem-solving, and adaptive learning. These deficiencies constrain India’s ability to attract high-value foreign direct investment and limit the mobility of its workforce in increasingly specialized sectors. Education systems, still largely focused on rote learning, lag behind the rapid evolution of industry needs. The National Skill Development Corporation (NSDC) estimates that only 5% of India’s workforce has formal vocational training. This disconnect costs the economy an estimated $60 billion annually in lost productivity and underemployment.

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Industry Perspectives: Aligning Training with Market Realities
Corporate leaders echo Iyer’s concerns. Infosys CEO Salil Parekh highlighted in a recent earnings call the growing demand for “hybrid skill sets” combining technical expertise with communication and teamwork capabilities. He noted that 40% of new hires require retraining within the first year to meet client expectations.[4]
Similarly, Tata Consultancy Services (TCS) reported a 25% increase in investments toward employee upskilling programs in cloud computing, cybersecurity, and AI. TCS’s global CEO, K. Krithivasan, stressed that “without proactive skilling, India risks becoming a low-cost labor hub rather than a talent powerhouse.”
Government initiatives such as the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) and Digital India have made strides in expanding access to training. Yet, experts argue that scaling quality and relevance remains a challenge, especially outside urban centers. Bridging this urban-rural divide is essential to unlock the full demographic potential.

The National Skill Development Corporation (NSDC) estimates that only 5% of India’s workforce has formal vocational training.

Global Competition and the Race for Talent
India’s competitive advantage is no longer guaranteed. Countries like Vietnam and the Philippines are investing heavily in digital infrastructure and vocational education, offering competitive wage structures to multinational corporations. Eastern European nations continue to attract tech outsourcing with strong STEM education and EU market access. This intensifying race for talent has led to shifts in outsourcing patterns. McKinsey’s 2025 Global Services Location Index notes a 12% decline in India’s share of outsourcing contracts over the past two years, attributed partly to skill mismatches and infrastructure gaps. Meanwhile, the rise of AI tools creates both risk and opportunity. Automation threatens to displace routine jobs, but also creates demand for new categories of tech-savvy workers. India’s ability to pivot quickly through targeted skilling will determine whether it remains a global outsourcing leader or cedes ground to more agile economies.

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Technology-Enabled Skilling: The Way Forward
Digital platforms have emerged as powerful tools to democratize skill development. Startups like UpGrad, Simplilearn, and Byju’s are leveraging AI and adaptive learning to deliver personalized training at scale. These platforms report a 30–40% higher job placement rate among graduates compared to traditional programs. Corporate-academic partnerships are also gaining traction. Infosys’ collaboration with the Indian Institutes of Technology (IITs) to develop curricula aligned with emerging technologies exemplifies a new model of workforce preparation. Such initiatives offer scalable blueprints for closing the gap between education and employment. Government efforts to integrate technology with skilling programs, including virtual reality-based training modules and AI-driven assessment tools, signal a more data-driven approach to workforce development. Yet, digital access disparities remain a barrier, particularly in rural and economically disadvantaged regions.

Implications for Policymakers and Career Seekers
The skilling imperative outlined by Diadactics’ CEO carries profound implications for policymakers. India’s Ministry of Skill Development and Entrepreneurship faces the dual challenge of expanding training infrastructure while ensuring quality and market alignment. Strengthening public-private partnerships and incentivizing lifelong learning will be critical. For professionals and career seekers, the message is clear: continuous reskilling in digital competencies and soft skills will be essential to thrive amid shifting job landscapes. The next decade will reward adaptability and proactive skill acquisition more than ever. India’s unique demographic and technological advantages position it to lead in the global knowledge economy — but only if its workforce development strategies evolve in step with global market demands. The coming years will test the nation’s ability to convert potential into sustained economic and social gains.

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