Only 8.25 per cent of Indian graduates work in roles aligned with their qualifications, according to a NITI Aayog report titled Reimagining Skilling for Viksit Bharat@2047, released in August 2026.

The report, citing the Economic Survey 2024-25, puts graduate unemployment at 13 per cent. The figure is far worse for women graduates, at 20.4 per cent, against a national unemployment rate of 3.2 per cent.

India has about 3.4 crore undergraduate students, with 1.13 crore enrolled in BA programmes alone. The report says conventional degrees such as BA, BSc and BCom have weak links to jobs, leaving millions underemployed in informal or mismatched work.

NITI Aayog has called for a complete overhaul of the skilling system, with work-integrated learning, stronger industry partnerships and career guidance from school onwards. It warns that without reform, the demographic dividend could turn into a liability as the educated workforce keeps growing The report also urges states to publish annual employability data so students can choose courses with open eyes.