The government Thursday okayed a whopping Rs.1,000 crore
employment plan for job-starved Jammu and Kashmir, which has
around 500,000 unemployed men and women.
The plan of Special Industry Initiative Scheme in Jammu and
Kashmir was approved by the Cabinet Committee on Economic Affairs
at its meeting here chaired by Prime Minister Manmohan Singh,
according to an official statement.
"It has been launched to enhance the employment opportunities in
the state and to formulate a jobs plan involving both the public
and private sectors, especially for the youth," the statement
The scheme would be launched to provide job-oriented training to
some 40,000 graduates, post-graduates and professional degree
holders over a period of five years.
With 100 percent assistance from the central government, the plan
will be jointly implemented by the National Skill Development
Corporation (NSDC) and India's corporate sector. NSDC is a
public-private partnership initiative for the development and
upgrading of the skills of the growing Indian workforce through
The identified private companies will screen and select candidates
from the state. After assessing the skill gap of the trainees and
the need of the corporate, they will be trained suitably to be
absorbed by the private companies.
The company will, in turn, be incentivised to absorb the trainee,
the statement said.
The estimated expenditure is approximately Rs. 250,000 per
"The central government will make a provision of Rs.500 crore in
the next five years from 2011-12 onwards. The cost of travel,
boarding and lodging and stipend (of trainees) will be borne by
the central government," the statement said.
But the training cost will initially be borne by the company which
will be reimbursed if the trained youth are given employment.
Some 8,000 youth from the state are proposed to be trained
The plan is based on the recommendations of expert group headed by
known economist C. Rangarajan set up by Prime Minister Manmohan
Singh in August 2010.
According to rough estimates, there are around 500,000 unemployed
youth in Jammu and Kashmir which Chief Minister Omar Abdullah has
described as a major challenge for the state.
The chief minister has been maintaining that the problem of
unemployment was feeding the two decades of militancy in the