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Technical Education :Skill Enhancement a FNCCI initiative Kush Kumar Joshi Second Vice President FNCCI Second NRN Glob

Technical Education :Skill Enhancement a FNCCI initiative Kush Kumar Joshi Second Vice President FNCCI Second NRN Global Conference 7-9 October 2005 Kathmandu, NEPAL 08,October 2005. Introduction.

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Technical Education :Skill Enhancement a FNCCI initiative Kush Kumar Joshi Second Vice President FNCCI Second NRN Glob

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  1. Technical Education :Skill Enhancement a FNCCI initiative Kush Kumar Joshi Second Vice President FNCCI Second NRN Global Conference 7-9 October 2005 Kathmandu, NEPAL 08,October 2005

  2. Introduction • Nepal is an agricultural country having poor economic base and diverse topographical situation • The agricultural sector, where more than 80 percent of the labour force is involved, is contributing almost 40 percent to the national GDP • Non-Nepali workers are displacing the Nepali workers both in formal as well as informal sector • Large numbers of Nepalese are suffering from unemployment and underemployment. • The income and labour situation is becoming alarming FNCCI

  3. Facts & figures • GDP Contribution Agriculture, Fisheries & Forestry 38.81 % Manufacturing 7.71 % • Underemployment as the percentage of labour force is 4.1% - 4.8 % in urban and 4. 0 % in rural areas FNCCI

  4. Formal and informalEmployment 0f the person 15 + (by Sector) Source: NLFS 1998/99 FNCCI

  5. Trends in the Labour market • Lack of overall planning in labour market • Most basic data on employment and the labour force are either lacking or unreliable • Lack of statistics on labour market information • The productivity of labour is very low • Assessment of labour market condition in Nepal depends on analytical judgment • A recent study showed that the unemployment rate among persons with a School Leaving Certificate (SLC) or higher education to be 39 % for the age groups 25-29 years and 20 % for the age group 30 years and older FNCCI

  6. Labour Market : Industrial Manpower Training System • The labour situation in Nepal is characterized by rapidly growing labour forces (more than 3 % per annum) • Insufficient growth in employment generation, particularly in non-agricultural sectors ·Public sector employment is also disappointing due to administration reform programmes • Women population into the labour market is increasing due to the change of economic base from agriculture to industry. FNCCI

  7. Labour Market : Industrial Manpower Training SystemContd…. • Nepalese Enterprises are even now experiencing problems in the labour market concerning competitiveness, motivation, creativity and labour flexibility • Enterprises face more challenges than ever • The productivity, competitiveness, motivation and creativity of workforce are deteriorating because of the lack of appropriate education and training. FNCCI

  8. Technical Education and Vocational Training • To overcome the shortages of unskilled and semiskilled manpower, comprehensive technical and vocational education has been introduced in the country. • People benefit from the provision of special training programmes aimed at updating skills and bringing them into closer conformity with local labour market needs. FNCCI

  9. Present Scenario • Vocational and technical training is poorly developed • Lack of coordination and linkage between users and producers (industries and training institutions) • Lack of manpower planning and mechanisms for the systematic and regular assessment of the requirements of modern industries and business . • Absence of such mechanisms makes it difficult to devise the training system to respond to the skill shortages faced by the industrial sector. • The areas of vocational education and training, personal development and foreign employment until now have operated in isolation. This is due to lack of overall planning, labour market information and coordination. FNCCI

  10. Idea of Trade School • Considering the present scenario of the nation, FNCCI came up with an idea or concept of establishing the "Trade Schools" in the year 2003. • to develop and conduct quality and demand driven (need based) training programs/packages • expected high placement rate of trainees as a new employee and enhance capacity of working (employed) labor force due to our CCI and local Businessmen (Private Sector) validated training programs FNCCI

  11. Idea of Trade School Contd….. • Covers the basic and advanced theory and laboratory practice required to provide the successful trainees with the necessary skills for entry-level positions as well as on the job training for semi or unskilled youths including male and female. • Provide technical and employment oriented training FNCCI

  12. Goal and Achievement • The goal of establishing the Trade School (Ilam Prasikchan Kendra) is already achieved in Five Development Regions with the initiative of FNCCI • Five Trade Schools established in Damak,Nuwakot,Taulihawa,Surkhet and Kanchanpur to address the problem of unemployment through conducting employment oriented training to the unemployed youths of the districts. FNCCI

  13. Federation of Nepalese Chambers of Commerce & Industry TRADE SCHOOLS Kanchanpur Nuwakot Damak Surkhet Taulihawa

  14. Goal and Achievement (contd…) • employment oriented skill training on different trades is imparted to 1000 unemployed young men and women so far. • productivity of business, industry and entrepreneurs through skill training is enhanced. FNCCI

  15. Objectives of the Trade School • To develop and implement the concept of public-private partnership • Conduct training for unskilled local people to enhance their skill from unskilled to semi-skilled • Open job opportunities in national and international level (including India) • Necessary agreements and mechanism have been made between Government, CTEVT, and FNCCI. Working modalities for each trade school have also been designed. FNCCI

  16. Implementation and Execution Modality Steering Committee Implementation Committee Project Implementation Unit at FNCCI Trade School Trade School Management Committee FNCCI

  17. Benefits • Employment Generation: Basic and semi-medium level manpower are generating in different regions, hence opening job opportunities for the individuals • Income: Job-opportunities with the skill upgrading generate more income for themselves and their families. • Enhancement of Productivity: The trade school will enhance the country's economy boosting up its GDP. • Skill Development: Non-skilled student can hence possess semi-skill and can further improve their skills. • Enhancement of DCCI's Capability: District Chamber of Commerce and Industry's (DCCI's) capability will improve by holding such activities and can link the job opportunity for the skilled man power. FNCCI

  18. Finance and sustainability of Trade School (provision) • Contribution by HMG/N as a seed grant (as a revolving fund) • Investment by FNCCI and DCCI • Users fee/Training fee • Contribution of Donors and NGOs/INGOs/Individuals • Coordination with donor organization for seeking fund and assistance by synergy effect means 2+2=5 FNCCI

  19. Main Thrust of the Trade School • Quality • Flexibility and Innovative training packages • Demand driven training (Need based) • Targets for Employment and Self-Employment • Provide approximately Skilled workforce • Sustainability Approach FNCCI

  20. Partnership with NRN Community and Linkage with International TEVT Institutions. • In view of these main thrust there is a need to develop partnership scheme with International TEVT Institutions. Following suggestions can be made to develop partnership scheme in the areas of skill training and skill bench marking. • Community like NRN with their linkages and expertise can provide technical assistance to update the latest trend of skill bench marking as well as skill development in the pace of technology changing context. FNCCI

  21. Contd… • It is necessary to make demand assessments of the different types of technical/skilled manpower required by enterprises, their current availability and projections of future. This should help Trade School to design training module and start course in those areas that are highly demanded by industries. FNCCI

  22. Suggestions to Develop Partnership Scheme Contd…. • The government and training institutions like CTEVT has become the main producers of manpower. In view of the rapid growth of private sector investment, strong partnership between private sector, NRN, government and CTEVT is needed. • A comprehensive system for providing labour market information system is lacking, especially in vocational and technical sector. Partnership scheme in this area should move ahead. • Coordination with vocational education and training, personal development and foreign employment FNCCI

  23. Thankyou

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