Auto industry needs 2 lakh skilled people by 2030: SIAM

New Delhi: Indian automotive industry will need up to 2 lakh skilled people by 2030 to meet the government’s vision of 30 per cent electric vehicle adoption, the Society of Indian Automobile Manufacturers said on Tuesday.

A total talent investment of Rs 13,552 crore is expected for hiring and training the workforce. “As we look ahead, one of the major constraints the auto industry will face is the dearth of skilled electric vehicle capable manpower,” Society of Indian Automobile Manufacturers (SIAM) President Vinod Aggarwal said while addressing a workshop on empowering EV-ready workforce in the Indian auto industry. Aggarwal, who is also MD & CEO, Volvo Eicher Commercial Vehicle Ltd, pointed out the need for specialised domain skills in the areas of battery technology, powered electronics and motor design.

“To keep the pace of global trends and make our auto industry a globally competitive industry, there is an urgent need that our workforce be equipped with new skills by upskilling, rescaling and skilling them,” he added. Detailing the gap, SIAM Vice President Shailesh Chandra said, “By 2030, India will need nearly one to two lakh people with specific skills to meet the government’s mission of 30 per cent EV adoption.”

The talent need will be spread across multiple blue-collar and white-collar professionals, ranging from technicians in manufacturing and testing to PhD scientists and engineers in R&D, he added. “The talent requirements will also span across multiple disciplines like electrical and mechanical, chemical and electronics engineering,” added Chandra who is also MD, Tata Motors Passenger Vehicles Ltd & Tata Passenger Electric Mobility Ltd. According to the ‘SIAM EV Skill Gap Study’ report in order to achieve 100 per cent localisation of EV components, India needs to add 30,000 EV-ready workers per year till 2030, up from a current rate of 15,000 per year.

The report pointed out that 43 per cent of technical competencies between Internal Combustion Engine (ICE) and EV have minimal overlap and therefore would require fresh skilling of talent. On the other hand, 27 per cent of technical competencies have a high overlap between ICE and EV and may require re-skilling of existing talent. “The estimated hiring cost would be Rs 7,671 crore, while the training cost would be around Rs 5,881 crore. The total talent investment is expected to be around Rs 13,552 crore,” the report said.