Skill Impact Bond: Empowering Women’s Workforce Participation
Mumbai: India’s Ministry of Skill Development and Entrepreneurship (MSDE) has launched the Skill Impact Bond (SIB), a pioneering initiative aimed at enhancing women’s workforce participation. The program, India’s first development impact bond for employment outcomes, ties funding directly to measurable outcomes such as certification, job placement, and retention. With a strong focus on women, the SIB has exceeded its target, with women accounting for over 70% of trainees.
Breaking Down Barriers
The SIB addresses barriers such as social norms, family responsibilities, safety concerns, and limited employer support that hinder women’s workforce participation. The program’s strategies include counseling families to secure their consent and support for women’s careers, vetting employers for gender-friendly policies and safe working environments, and sourcing placement opportunities closer to home.
Impressive Results
The results have been remarkable, with women’s retention rates rising from 48% in Cohort I to 66% in Cohort IV, reaching parity with men. Placement rates for women have climbed from 66% to 81% over the same period. Self-employment among women has more than doubled, from 6% to 14%, reflecting a growing entrepreneurial spirit.
A Proven Model
The SIB has shown that outcome-driven training combined with employer engagement and post-placement support is an effective way to improve women’s long-term workforce participation. The program’s success has been evident in the stories of beneficiaries like Shraddha Mishra and Salomi Malto, who have secured jobs and are supporting their families.
Future Prospects
As the initiative advances into new cohorts, there is tremendous potential to expand into emerging sectors such as green jobs, digital services, and advanced manufacturing. By placing women at the heart of its workforce, India can realize its full economic potential. The Skill Impact Bond has paved the way for a more inclusive and resilient economy, building careers, shaping futures, and empowering women to lead in the workplace.
