In many ways, the Union Budget 2024 gives a major push to employment, especially, the ambitious internship programme that can be a game changer. The proposed internship programme will be launched soon will provide over one crore youth internships in the top 500 companies over the next five years. The interns will be given a one-time assistance of Rs. 6,000 and a monthly stipend of Rs. 5,000 during their training period. Similarly, the budget also lays emphasis on skilling youth in various in-demand domains. As part of this programme, about 20 lakh youth will be skilled in various domains over the next five-year period to make them job-ready.

These two initiatives can usher in significant changes in the technology industry. As it is, India can reap the dividends of its demographic profile. While around 50 per cent of its population is aged below 25 years and around 65 per cent aged below 35. If properly nurtured, this can change the economic landscape of the country, more so if they are gainfully employed. However, industry leaders in the technology industry usually complain that employing most of the graduates from various colleges makes for improper investment, in short it is not an economically viable proposition for the potential employer.

Industry body Nasscom has time and again highlighted the employability gap of young engineers in the country. Usually, the industry seeks foundational skills among freshers in aspects like skilling in artificial intelligence and cyber security, and deep technology skills among others. Moreover, professional skills like capabilities to communicate ideas and design thinking are the other attributes that employers in IT sector look out for. However, many of these attributes seem to be lacking among many young career aspirants. In this context, the initiative to connect fresh graduates with the industry is a welcome move. Firstly, this will provide them with firsthand experience of how the world works.

Not only technical skills, they will also understand the nuances of organisation communication and dealing with clients and other stakeholders. Secondly, the proposal for paid internship is a step in the right direction. As they earn while they learn the ropes, this will provide them with a lot of self-esteem at the time of entering the workforce. It is certain that these steps will ensure inclusive growth of talent.

Many engineering colleges in tier-II and tier-III cities don’t get adequate amount of campus placement. This leads to a situation wherein students from rural areas suffer. Through these initiatives, democratisation of opportunities will happen. We have seen in recent years that IT firms are running skilling programme for freshers. Even many IT firms are collaborating with engineering colleges directly to train graduates in emerging technologies. These moves will get a leg up with the government formally stepping in.

The industry has always been keen to pursue skilling initiatives for youngsters but they have limited resources and machinery to support such massive programme. With the government machinery now coming forward to support internship and skilling initiatives, the industry-government collaboration will shape up a more robust India. Moreover, as the technology industry is a major employer of women, the budgetary moves on boosting women employment will also propel social inclusion.