A detailed analysis by the Associated Chambers of Commerce and Industry of India (Assocham) that represents over 4,50,000 business entities reveals that, only 7% of the graduates from Indian business schools are employable.
The study says that, “Barring a few handful of top B-schools such as the government run IIMs, most of the 5,500 B-schools are producing sub-par graduates.” This has resulted in them earning less than Rs. 10,000 a month, if at all they find placements.
The study further pointed out that the primary reason for the unfolding of this disastrous education system was the lack of quality control and infrastructure, low-paying jobs through campus placement, poor faculty and outdated curriculum.
This is why some of India’s B-schools both approved and otherwise are going out of business. In the past few years more than 220 of these have shut down in cities such as Delhi-NCR, Mumbai, Kolkata, Bangalore, Hyderabad etc., 120 more are expected to wind up by the end of 2016.
Students spend nearly Rs. 3 to 5 lakh on a two year MBA programme however their current monthly salary is a measly Rs. 8,000 to Rs. 10,000. A similar observation was made about engineering graduates, 20-30% of which, find jobs well below their technical qualifications.
This is a grim especially in the light of the news, about Indian economy being poised to hit a double digit growth.
Initiatives such as the “Make In India” demand skilled manpower. The current situation presents a harsh irony.
The Indian President Pranab Mukherjee was quoted saying in January that, ” if ( the situation is) not reversed quickly we will land ourselves in a scenario where we have a large number of people with degrees but not enough manpower with proficiency to meet the emerging requirement of our industrial and other sectors.”
The education system has been a failure at the primary level as well. The government schools are in shambles. They are facing an acute shortage of efficient and skilled teachers.
A German word, often quoted by Einstein, aptly describes the present state of the Indian education system. The word “Kadavergehorsam” which means ‘the obedience of a corpse’, precisely what our education institutions are breeding young Indians into.