India's Engineering Paradox

There are 1.5 million new graduates every year, but where are the job-ready engineers?

- NIPUN SHARMA

Every year, India produces around 1.5 million engineering graduates, a figure suggesting one of the largest technical talent pools in the world to support the nation's technology-driven economy. Yet, employers continue to voice frustration: A significant portion of these graduates are not "job-ready". The paradox raises a question: Is it skills, training, or mindset that is missing?

Even as industries undergo digital and technological transformation, employers report a shortage of job-ready engineers. Nearly 83 percent of engineering graduates fail to secure relevant jobs or internships upon graduation. The challenge with today's graduates is not knowledge or degree, but a lack of employability. This is called the employability gap.

The employability gap is multidimensional. India's engineering curriculum has expanded rapidly in quantity but not necessarily in alignment with industry needs. Meanwhile, the nature of work in India is evolving. Employers increasingly value problem-solving ability, adaptability and digital fluency over textbook knowledge, traits that traditional academic programmes rarely prioritise.

THE GROWING DIVIDE BETWEEN EDUCATION AND EMPLOYABILITY

India's engineering employability rate stands at about 72 percent in 2025, yet only a small percentage of graduates find jobs aligned with their core disciplines. Most programmes still follow curricula that have not kept pace with industry evolution. Areas such as artificial intelligence (AI), data analytics, semiconductors, the Internet of Things (IoT), and advanced manufacturing receive minimal attention. Students graduate with strong theoretical foundations but limited applied capabilities like design thinking, problem-solving and data literacy; the very skills employers value most.