Automobile and Auto component
How which contributes 7.1% to India’s GDP, is getting benefited with NEEM Scheme?
The Indian automotive industry is one of the largest automotive industry in the world. It has a combined production capacity in excess of 24 billion vehicles in a year. In fact, the role of automotive industry in the Indian economy is so pivotal that it contributes almost 7.1% to its GDP. India is also emerging as an automobile export hub, with many brands providing some good quality products for the globe.
It all started way back in 1897 when the first automobile ran on the Indian roads, up till 1930 the cars were an import only option and was considered a luxury. However, this planted the seeds of what would evolve into the Indian giant automotive industry.
India saw its first automotive manufacturer in form of Hindustan Motors in the year 1942 and for a good amount of time this brand gave stiff competition to many other players that came with time.
Currently, the Indian automotive sector is witnessing a drastic change on many fronts. The Indians are now producing products which appeal to the international players and markets. We are now incorporating the latest technology for automotive production. However where we lack is the fact that our workforce is not sufficiently skilled to handle the change.
As a remedy, the Indian automotive sector is gaining immensely from skills development initiatives like NEEM Scheme. Imagine if the Indian automotive industry can have the best-skilled manpower, what is there that this sector cannot achieve. The issue that the sector currently faces in terms of getting the best skilled manpower is the training programs and their complexities. NEEM scheme eliminates the need of direct HR involvement of the company and a NEEM agent takes care of every HR formality on behalf of its client. The NEEM agent is also responsible for providing the trainees which can fit correctly to the clients training mix, hence providing the industry with a more determined and motivated workforce. The training provider just have to pay trainees stipend and is not legally obligated to provide employment to the trainee at the end of the training period. NEEM scheme really creates a win-win situation for both the trainee and the trainer company.