By Ashutosh Verma
The electric vehicle industry across the world is creating a new wave of job creation. India is no different. One of the biggest potential EV markets, with a large pool of skilled labours – India can benefit from a surge in job creation across different portfolios, from the electric vehicle boom.
Directed by evolving goals and technological agitation, the extension and progressive growth of the automobile industry has boosted domestic factory production levels, increasing jobs and value creation.
There is an implied acceptance of the conspicuous part that the automobile sector presents in any country’s financial output. In India, the amount comprises approximately half of the industrial GDP and seven per cent of the country’s overall GDP. Additionally, the automobile manufacturing sector engages over 35 million of India’s working population both directly and indirectly, contributing considerably to the livelihood earned by the Indian population.
However, despite the large volume of people employed by the sector, the capacity of the sector to maintain sustaining such a substantial proportion of employment in India’s manufacturing sector is being summoned to examination. The primary reason is that approximately 350,000 of the workforce has been ousted due to a decline in auto sales spread over ten consecutive months.
While the reason behind the sudden drop in sales has been associated majorly with two paradigm shifts: The scheduled upsurge to BS-VI norms that boosted the need to hasten radiation control and the momentum on electric vehicles (EVs) to generate high electrification by 2030. However, the industry was flooded with loads of green and electric vehicle-centric jobs, particularly on the scheme to assist the country reach a sustainable future.
Electric vehicles are sustainable as their fuel reservoirs are non-polluting and replenishable; the renewable energy sector holds tremendous promise as a lateral job provider.
The transformation from conventional fuel-based vehicles to electric vehicles will have its share of hurdles, but positive possibilities subsist in this shift.
An up-to-date ILO release concluded that the renewable energy sector in India has the potential to create 3.8 million jobs within the next decade. Another study also observed that the sector created over 47,000 new jobs in the past five years, employing 4,32,000 Indians, and this number excluded substantial hydropower projects. By expansion, this demonstrates how green jobs can thrust the Indian Economy upward and forward.
Additionally, it is worth noting that entrepreneurial enterprises on the electric vehicle development path have created a competing ecosystem. This sector has many more such examples of significant investments made to advance the country’s shift towards green energy resources. This wholesome mix of start-ups and seasoned automobile manufacturers showing enthusiasm for future technology also provides the necessary incentive to drive skilling initiatives. Moreover, electric vehicles will invite a new assortment of skilled workers in the automobile industry and protect them from growing archaic.
Multiple countries in Europe and the US recognize electric vehicles as a fast-growing job-creating industry, and India ought to follow these economies.
The transformation from conventional fuel-based vehicles to electric vehicles will have its share of hurdles, but positive possibilities subsist in this shift. For example, the appearance of smartphones made certain phones out-of-date and compelled companies to turn their approach to align with the new technologies. This transformation produced multiple jobs in that sector and led to several value-added services being constructed around it, generating a series of new employment and corporations. Change almost unavoidably drives to a new, fast-growing market with more possibilities getting formulated on the way.
Multiple countries in Europe and the US recognize electric vehicles as a fast-growing job-creating industry, and India ought to follow these economies. Being the centre for automobile production in South Asia and the fourth-largest auto market globally, India has an ecosystem that can be a reliable launchpad to adopt the change to electric vehicles and be considered a leader in the evolution. The world is shifting towards electric vehicles, and India needs to seize the moment to prepare and upskill the 35 million workers to gain an advantage in the sector.
According to the government’s growth outline, the electric vehicle sector in India is anticipated to generate 10 million jobs soon.
According to the government’s growth outline, the EV sector in India is anticipated to generate 10 million jobs soon. A few of the job descriptions for multiple positions in the EV domain are design & testing, manufacturing and management, wiring harnesses, sales and services, technology for battery, automation, smart mobility, infrastructure for charging points, and redesigning the infrastructure of existing buildings to make them EV-ready.
The government’s thrust and incentives for locally manufactured EV vehicles and their components will help produce a domestic EV supply chain. Moreover, private funding will rise with a lower tax rate of 15% on new production companies. This will commence the production of tropical EVs and the development of batteries better suitable for the Indian environment.
Retrofitting existing fuel-based vehicles will facilitate job opportunities for roles requiring a solid knowledge of conventional fuel-powered vehicle technology, thus providing a platform for present ICE professionals to upskill themselves.
Moreover, experimentation and modification in chemical & materials engineering and metal mining will give way to more job possibilities in the sector. Multiple states in India have already begun redesigning the curriculum for engineering, polytechnic colleges and ITIs to accommodate and include the new requirements of the EV industry.
The present workforce shift will require a precise strategy and precise hand-holding through the evolution years.
The present workforce shift will require a precise strategy and precise hand-holding through the evolution years. However, it is also crucial to remember that new jobs are expedited because the sector is adopting electric vehicles include rearranging existing jobs rather than completely displacing them. Moreover, as previously stated, the current skillset in the auto industry can be employed in these redefined, value-added job roles brought on by fresh and futuristic technicians who focus on electric vehicles.
To encourage new jobs, the government has announced supportive systems like FAME to stimulate the market and is also designing a program to meet the workforce’s necessitating from the e-mobility sector. The Ministry of Skill Development and Entrepreneurship directs this enterprise with decisive stakeholders from Automotive Skill Development Council, ARAI and Power Sector Skill Council to produce electric vehicle-specific industrial norms. The Skill India mission has already incorporated new courses on electric vehicles in association with top multinational and Indian firms in the sector.
These forces are all directed to achieving the electric vehicle goals set by India. Completing these will convert the automobile sector and will also boldly impact skill levels amidst India’s youth.
Ensuring the policy is set reasonable and precisely during this transformation phase will expedite the process, whether in skilling or emerging technology and infrastructure.
The future of clean automobile technology is electric vehicles, and the industry, government, and other stakeholders should work collectively to aid the Indian workforce in the transition to meet future job requirements.
The stage-wise transformation to electric vehicles will surely bring prosperity to the country, and all the components in the system must work towards the common goal of realizing this arduous target.
(Ashutosh Verma is the Founder of Exalta India.)
(Disclaimer: The views expressed in the article above are those of the author’s and do not necessarily represent or reflect the views of Autofintechs.com. Unless otherwise noted, the author is writing in his/her personal capacity. They are not intended and should not be thought to represent official ideas, attitudes, or policies of any agency or institution.)