MoU Signed for Skill Development in Manufacutring Sector

• A Memorandum of Understanding (MoU) for skill development in the manufacturing sectorods and automotive sector was signed on 8/12/2015.
• The , with focus on capital goMoU was signed between Ministry of Skill Development and Entrepreneurship (MSDE) and the Department of Heavy Industry (DHI).
•  The MoU was signed on the eve of DHI-FICCI-HMFI WIN (World of Industry) India event.
• This agreement will enable private partnership in the entire value chain of skilling through targeted interventions.
• Partnership with Ministry of Skill Development is important to make people job-ready for our capital goods sector.

Purpose of the MoU

• The purpose of the MoU is to create centres of excellence for different manufacturing skills and a multi-location national institute of manufacturing technologies for training education and research by utilizing/upgrading the existing training facilities of Central PSUs such as HMT, BHEL and Instrumentation Ltd. under the DHI.
•  This will ensure that a robust national ecosystem for development of skills in the manufacturing sector is created in the country and internationally known best practices in this field are brought in with active participation of countries like Germany.
•  It will make India’s manufacturing globally competitive.
• Department of Heavy Industry has played a key role in promoting two key Sector Skill Councils (SSCs), namely, Capital Goods Sector Skill Council and Automotive Skills Development Council in the skilling ecosystem of this country.
• Under the MoU, all Central PSUs have committed to invest at least 20% of their Corporate Social Responsibility (CSR) funds for skilling purpose.
• They have also committed to provide equipment and machinery, which has been phased out of production line, but could still be used for training purposes to training institutions.
• The MoU will also enable significant scale up of apprentice training in the central PSUs under the Department of Heavy Industry and promote adoption of ITIs by these Central PSUs.
• Apart from ITIs, Advanced Training Institutes and regional vocation training institutes under the Skills Ministry, training partners of NSDC and Sector Skill Councils (SSCs) will also work with the Central PSUs under DHI.
• The availability of talent and productivity of the workforce are among the top drivers for manufacturing competitiveness of a nation.
• The Government is committed to ensure that there is adequate supply of quality talent for the manufacturing sector.
• This agreement will go a long way in ensuring supply of such a pool of talent.
• Large and expensive infrastructure and facilities available with Public Sector Undertakings under the Ministry of Heavy Industries will be leveraged to create high quality training facilities for skilling in the manufacturing sector and thus create a robust national ecosystem for development of skilling in the country.

source: PIB

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