Kumaraswamy Calls on Automakers to Address Youth Jobs Crisis

Union Minister for Heavy Industries and Steel H.D. Kumaraswamy urged automobile manufacturers and dealership owners to help address India's youth employment crisis. Speaking at the Automotive Skills Development Council's annual conclave in Delhi on Monday, he said that "generate employment sincerely" must guide their approach to hiring.

Kumaraswamy said educated graduates continue to struggle for jobs despite the government's growth push. "It is very difficult to get employment, even for educated graduates," he said.

The minister linked his appeal to Prime Minister Narendra Modi's ambition to position India as a global source of skilled labour, claiming that the industry has not matched that vision. Kumaraswamy also cited government EV schemes such as PM E-Drive, PLI Auto, and PLI ACC, and asked automakers to widen job access for young people as the sector expands.

ASDC Chairperson Vinkesh Gulati backed the minister's call with figures on the industry's skills shortfall. The automotive sector employs nearly 1.9 crore people directly and indirectly, and contributes 15% of India's GST collections, but faces an acute talent shortage. "4.3 vacancies per 100 employees, and an estimated 80% of employers reporting difficulty finding skilled professionals in 2025," Gulati said. He added that ASDC will publish a detailed skill gap study in December.

Gulati said the industry needs a coordinated national response as EV adoption accelerates. Penetration stands at around 12% nationally, and some vehicle categories are already above 50%. "We seek your leadership in launching a National Automotive Skill Mission under the Ministry of Heavy Industries, bringing together government, ASDC, and industry to prepare India's workforce for EV, AI, robotics, software-defined vehicles, and Industry 4.0," he told Kumaraswamy.

He also sought a dedicated budgetary allocation for automotive skills and a new Automotive Future Skill Fund to build training infrastructure, including EV and battery laboratories and robotics facilities. Gulati also asked for support in extending skilling programs to Tier 2 and Tier 3 cities, as well as rural clusters.

ASDC reported crossing five lakh learners in FY2025-26, up 20-25% from a year earlier. It also recorded close to three lakh apprenticeships, up 112-113%, which Gulati called the highest growth rate of any Indian industry.

The conclave also marked the launch of ASDC's annual report and the flag-off of 43 candidates for jobs in Romania. Dignitaries also signed new memorandums of understanding between ASDC and companies including Kia India and UKS India Service.

(With inputs from Darshan Nakhwa, Shahkar Abidi and Mukul Yudhveer Singh)