Unemployed IIT and PhD Holders in India?
If you are actively searching for a job but are not able to secure a position that aligns with your skills and goals, you are still considered “unemployed,” even if you might be taking a job that is not your ideal fit; the key factor is that you are actively looking for work and do not currently have a job.
An individual is considered unemployed if they do not have a job at the moment. This includes people who may be taking temporary or part-time work that does not align with their skills or career goals but are still seeking more suitable employment.
In recent years, the unemployment rate among graduates from India’s prestigious Indian Institutes of Technology (IITs) has become a significant concern. As of the latest reports, approximately 38% of IIT and National Institute of Technology (NIT) graduates are unemployed, with around 8,000 out of 24,230 students failing to secure jobs during campus placement drives in 2024. This marks a troubling trend for institutions that have historically boasted high placement rates and lucrative job offers.
Factors Contributing to Unemployment
Changing Job Market: The job market is evolving due to various factors, including global economic conditions and automation. Many companies have reduced hiring as they adapt to cost-cutting measures influenced by decreased demand from offshore clients.
Declining Salaries: The average salary offered to final-year students has significantly dropped from ₹25 lakh per annum to ₹16 lakh per annum, with the lowest package reported at ₹4.20 lakh per annum. This decline reflects broader economic challenges and shifts in industry needs.
Outdated Curriculum: Critics argue that the curriculum at many IITs has not kept pace with technological advancements and industry requirements. This gap leaves graduates ill-prepared for the current job landscape.
Preference for Certain Disciplines: There is a noticeable preference for graduates from specific engineering streams such as computer science and information technology; however, even these candidates are facing tougher competition and lower salary offers compared to previous years.
Student Selection: Many students are becoming more selective about job offers, often rejecting positions that do not meet their expectations based on past IIT placement trends. This selectivity can further exacerbate unemployment figures as students hold out for better opportunities3.
Impacts on Students
The high unemployment rates have led to increased anxiety among students, with some facing immense pressure during the placement process. Reports have highlighted distressing outcomes, including mental health challenges among those struggling to secure employment in a competitive environment3.
Institutions like IIT Bombay have seen a rise in unplaced students; for instance, 36% of registered students for the 2024 placements were still without job offers, indicating a 2.8% increase from the previous year3. This situation underscores the urgent need for IITs to reassess their approach to career services and support systems for graduates.
While IITs continue to attract top talent through rigorous admissions processes, the realities of the job market are forcing both students and institutions to adapt in order to improve employment outcomes in the future.
Unemployment among PhD holders in India has become a pressing issue, reflecting broader challenges within the higher education system and job market. Here are key insights into the situation:
Current Employment Landscape for PhD Holders
High Unemployment Rates: Recent studies indicate that a significant number of PhD graduates struggle to find suitable employment. For instance, approximately 2,000 out of 6,000 individuals awarded science PhDs annually are unable to secure decent jobs, highlighting a stark mismatch between supply and demand in academia and research fields.
Brain Drain: Many PhD holders are opting to seek opportunities abroad due to limited job prospects in India. This trend is exacerbated by the lack of adequate support and employment opportunities domestically, leading to a significant brain drain of skilled professionals.
Job Market Saturation: The job market for PhD holders is highly competitive, with some academic positions receiving over 250 applications. This saturation results from an influx of graduates and a shrinking number of available roles in academia, particularly as new institutions have already filled many positions in recent years.
General Unemployment Trends: The overall unemployment rate for educated youth in India is concerning. The International Labour Organization (ILO) reported that the unemployment rate for young graduates is around 29.1%, significantly higher than for those without formal education. This trend reflects systemic issues in the Indian labor market that affect even the most qualified individuals.
Regional Disparities: Certain regions, such as Kashmir, report even higher unemployment rates, with figures reaching 18.3%, which is nearly double the national average. This regional disparity further complicates the employment landscape for PhD holders.
The challenges faced by PhD holders in India are indicative of larger systemic issues within the education and labor markets. With a significant number of graduates unable to find relevant employment, there is an urgent need for policy interventions that can bridge the gap between higher education and job availability, as well as enhance support systems for these highly educated individuals.
