Future of work in ESDM: Creating a skills-first talent strategy for tomorrow's electronics industry

As the world economy shifts towards digitalization, sustainability, and automation, the Electronics System Design and Manufacturing (ESDM) sector is leading this change. 

India, with its surging talent pool of youth and policy assistance, is well placed to become the global ESDM power. But, if it is to achieve this aspiration, the sector needs to redesign its skills pipeline on a "skills-first" footing—one driven by capability, not by qualifications, and one that is inherently aligned to emerging tech trends.

Why ESDM needs a skills-first approach?
The Indian ESDM industry has seen a fast rise, propelled by growing electronics demand, smart electronics penetration, and policies such as Make in India and Production Linked Incentive (PLI) schemes. 

Nevertheless, this growth is faced with a chronic talent shortage. As per the India Skills Report 2025, almost 25% of the total employment worldwide will radically change over the next five years, owing mainly to automation, artificial intelligence, and sustainability drivers.

The old degree-based recruitment models are unable to cope with these fast-paced developments. What the future holds is measuring talent through functional skills, working skills, and flexibility with modern equipment. A skills-first strategy allows organizations to employ for potential and train for competence—breaking through the rigidity to build a more adaptable, future-fit workforce.

Spurring skills revolution in ESDM
India is leading the skills revolution by way of future-proofed courses to meet national as well as international industry standards. It has brought under its fold a wide range of qualifications based on the newest technologies, such as Embedded Software Engineer, IoT Hardware Analyst, Solar LED Technician, and Drone Manufacturing Technician, among many others.

By integrating newer pedagogies such as AR/VR-based learning, real-time evaluation, and online material across 75+ occupations, the Electronics Sector Skills Council of India (ESSCI) enables students to undergo immersive and scenario-specific training. 

This has been supplemented with the introduction of courses in future skills in colleges of higher learning, such as AI Embedded Product Developer, Essentials of IoT, and Fundamentals of Big Data, that have already trained over 3,000 aspirants. These courses are being imparted without cost, obliterating the accessibility barrier and expanding India's talent pool of employable skill. 

Talent supply meets demand: Global opportunity
India's demographic dividend—over 600 million young people under the age of 25—brings a unique opportunity for ESDM's growth. As per the India Skills Report 2025, the employability of Indian graduates has risen from 33% to over 50% over the last decade, a testament to the success of collective skilling efforts. 

With the global ESDM sector seeking adaptable and cost-effective manufacturing environments, India can be the preferred destination—if it is able to bridge the skills gap.

High-growth sectors like chip design, automotive electronics, and medical electronics require domain expertise skill sets. Talent deficiency in manufacturing and technologies worldwide offers a lucrative future opportunity for India's electronics strength not only to propel local production but also global supply chains. 

The Gulf countries, Europe, and Southeast Asia—areas with the issue of skill shortages and the ageing population—are increasingly looking towards India to satisfy their human resource needs.

Developing ESDM workforce of the future
To utilize these opportunities to the fullest, various stakeholders need to come together. Three imperatives for developing a skills-first talent approach in ESDM are the convergence of curriculum and industry, scalable digital learning platforms and a greater emphasis on micro-credentials and stackable skills. 

Higher education institutions/universities need to continuously revise curricula with cutting-edge subjects such as manufacturing semiconductors, AI-driven hardware, and smart manufacturing. Interfacing with ESSCI and industry players is required in order to keep learning outcomes current. 

With online learning and assessments becoming mainstream, platforms that integrate certification, AR-based simulations, and real-time analytics must be expanded. ESSCI’s digital modules are a strong start, but these need to be scaled across regional languages and states.

Instead of inflexible, long degree programs, students need to be able to follow modular certifications that enable on-going upskilling. Such certifications, if validated by industry, will improve geographical employability.

National agenda for global competitiveness
The Skill India Mission, National Education Policy (NEP), and Digital India have created a strong foundation. It is time to build upon it by making electronics manufacturing a strategic skilling priority. With India targeting a $300 billion ESDM industry by 2026, the demand for a strong, scalable talent pipeline cannot be emphasized enough.

At its essence, there must be inclusivity. From providing free courses and scholarships to bringing training centers into Tier 2 and Tier 3 cities, it must be about democratizing future-fit skills.

The future working life of the country in the ESDM industry won't be framed by degrees but by competence. With favorable initiatives and strategic government policies as well as industry support, India can become not just a manufacturing behemoth but also a global hub for ESDM knowledge. By investing in a skills-first model today, India can make tomorrow's youth the catalyst for the electronics revolution.

-- Rejith Nair, Head of Hybrid IT & Digital Workplaces at Fujitsu Global Delivery Unit.