A CAG report flags deep flaws in PMKVY, raising urgent questions about jobs, skills, and the future of India’s workforce.
INDIA TODAY ENJOYS a rare demographic advantage. It has the youngest population among all major economies in the world. The country’s median age — the age at which half the population is younger — currently stands at 28.8 years.
Young people in India reflect the country’s demographic advantage
This advantage, however, is not permanent. India’s median age was just 21.1 years in 2000. It rose to 27.0 years in 2020 and is projected to climb sharply to 47.7 years by 2100.
In comparison, China’s median age is already 40.1 years, while Japan — the world’s oldest society — stands at 49.8 years.
At a time when most global economies are ageing rapidly, India’s youthful labour force offers a once-in-a-generation opportunity to accelerate economic growth and sustain long-term momentum.
But this dividend can only be realised if the youth are made productive through quality education, relevant skills, and meaningful employment.
PMKVY Under the Scanner: Big Promises, Poor Outcomes
Recognising this potential, the Modi government launched the ambitious Pradhan Mantri Kaushal Vikas Yojana (PMKVY) in 2015.
Conceived as a flagship skill-development initiative, the scheme aimed to provide short-term, industry-relevant training to school dropouts, unemployed youth, and vulnerable sections of society.
Had it been implemented effectively, PMKVY could have transformed India’s workforce and strengthened the foundations of economic growth.
Instead, a recent report by the Comptroller and Auditor General of India, tabled in Parliament, paints a disturbing picture.
The report questions the scheme’s ability to generate real employment and bridge the skill gap. It highlights weak governance, poor monitoring, and even instances of corruption and nepotism.
Among the most glaring findings are serious lapses in beneficiary verification, financial disbursement, and tracking of job outcomes. In several cases, the same photograph was used on multiple registration forms.
Jobs and growth remain key public concerns
Over 94 per cent of beneficiary records had invalid or missing bank details, with some accounts absurdly listed as “11111111”.
Payouts for more than 34 lakh certified candidates were pending, while only 18.44 per cent received successful Direct Benefit Transfers (DBT).
CAG teams also found training centres closed on the ground even as records falsely showed training in progress.
Equally troubling was the violation of eligibility norms. Candidates were enrolled despite failing to meet age, education, and experience criteria.
In some cases, individuals lacking basic educational qualifications were trained for technically demanding roles, raising serious concerns about quality and credibility.
Jobs, Not Just Schemes: The Real Test Ahead
The report further found a glaring mismatch between training and actual industry needs. Skills were imparted in sectors where demand was negligible, resulting in poor placement outcomes. Overall, only 41 per cent of certified candidates managed to secure jobs.
MP government decided to call the unemployed ‘aspirational youth’
Unutilised funds running into hundreds of crores point to poor planning and weak coordination between the Centre, states, and implementing agencies.
What was designed as a powerful tool for youth empowerment has instead become a case study in administrative failure.
This should serve as a wake-up call for the government. A well-conceived scheme aimed at harnessing India’s youth advantage has been squandered due to lax supervision and ineffective execution.
Also Read: India at Crossroads
So far, there has been little clarity on action against defaulters or meaningful reforms to fix systemic flaws. The answer, however, lies not in abandoning the scheme but in overhauling it to make it practical, transparent, and outcome-driven.
Millions enter India’s job market each year
As the Economic Survey 2024 notes, India must create at least 7.85 million non-farm jobs annually until 2030.
Many experts argue that the real requirement is closer to 10 million formal sector jobs every year. While official data claims that unemployment is declining, the assertion finds few believers on the ground.
With lakhs of young Indians entering the job market every year, the stakes could not be higher. The government must either create jobs directly or enable the private sector to do so, while also encouraging entrepreneurship.
Also Read: CURRENT OBSESSION
Failure to do so risks turning India’s demographic dividend into a demographic burden — fuelling frustration, social unrest, and long-term economic instability. 
_________
Also Read:
Punjab’s ₹10-Lakh Health Insurance Scheme: Big on Assurance, Still Short on Answers
Vipin Pubby
The author, a freelance journalist, is a former Resident Editor of Indian Express, Chandigarh, and reported on the political developments in Jammu and Kashmir, North-Eastern India, Gujarat, Himachal Pradesh, Haryana and Punjab in his long, illustrious career.
Disclaimer : PunjabTodayNews.com and other platforms of the Punjab Today group strive to include views and opinions from across the entire spectrum, but by no means do we agree with everything we publish. Our efforts and editorial choices consistently underscore our authors’ right to the freedom of speech. However, it should be clear to all readers that individual authors are responsible for the information, ideas or opinions in their articles, and very often, these do not reflect the views of PunjabTodayNews.com or other platforms of the group. Punjab Today does not assume any responsibility or liability for the views of authors whose work appears here.
Punjab Today believes in serious, engaging, narrative journalism at a time when mainstream media houses seem to have given up on long-form writing and news television has blurred or altogether erased the lines between news and slapstick entertainment. We at Punjab Today believe that readers such as yourself appreciate cerebral journalism, and would like you to hold us against the best international industry standards. Brickbats are welcome even more than bouquets, though an occasional pat on the back is always encouraging. Good journalism can be a lifeline in these uncertain times worldwide. You can support us in myriad ways. To begin with, by spreading word about us and forwarding this reportage. Stay engaged.
— Team PT