12 Million Electronics Jobs in India — But Only 2 Million Are Truly Ready

• Chinmay
• May 29, 2025
• Electronics, India, News
• AI factory floor, blue collar workers India, Electronics Manufacturing, Indian electronics sector, industry-ready engineers, IoT in manufacturing, Mobile Phone Manufacturing, Production Linked Incentive, robotics in manufacturing, skill gap electronics, SMT lines, workforce automation
• 0 Comments

India’s electronics manufacturing sector is surging — from mobile phones to semiconductors, it’s one of the biggest Make-in-India success stories. But under the surface, a serious talent crunch is brewing. And it’s not just at the top — or the bottom. It’s both.

A startling shortage of blue-collar shopfloor workers and industry-ready engineers is threatening to slow down this momentum, especially in high-growth areas like smartphones, consumer electronics, and component manufacturing. These sectors are rapidly embracing automation, AI, and robotics — but the workforce isn’t keeping up.

The Numbers Paint a Stark Picture

According to TeamLease, the electronics sector will require 12 million people by FY27-28, up from 6 million in FY25. But nearly 10 million of them may not have the skills the industry needs. In mobile phone manufacturing alone, Quess Staffing Solutions reports that capacities are doubling each year — yet the supply of skilled workers is falling short.

Executives say the talent crunch is worst where the tech is most advanced: automated SMT lines, AI-driven quality checks, and robotics-powered factories. And with PLI (Production-Linked Incentive) benefits ending soon for smartphone players, there’s pressure to protect margins through aggressive tech adoption — further widening the skill gap.

Engineers Aren’t Industry-Ready

Only 30% of technical graduates are ready to contribute meaningfully in advanced manufacturing roles. Most technical institutes still lack access to real-world equipment like SMT lines or automated inspection systems. That means companies must spend time and money training every new hire — a bottleneck in fast-moving supply chains.

“Atul Lall, MD of Dixon Technologies, says that while college tie-ups and government initiatives are a good start, they must be scaled through global collaborations to meet industry demand.”

Blue-Collar Gaps are Regional

The problem isn’t just with engineers. Even basic technician and shopfloor roles are hard to fill. The issue isn’t skill complexity — it’s regional supply mismatch. Electronics hubs like Tamil Nadu, Karnataka, and Noida often lack enough local manpower, requiring migration from Bihar, Odisha, Jharkhand, and MP. But aligning supply with demand at the right time and place remains a major challenge.

Job Complexity is Evolving

The rise of component manufacturing is pushing companies toward greater automation, demanding new skill sets. TeamLease estimates that 20% of new roles now require advanced tech skills — double what was needed a year ago. This includes automation design, advanced supply chain roles, and AI-based process optimization.

Meanwhile, around 60% of existing employees are being upskilled annually just to keep pace with automation trends.

The Bottom Line

India is making in India — but to sustain the momentum, it must also train in India. The electronics sector stands at a crossroads. With investment booming and global players setting up shop, the window is open. But without a serious, scaled, and sustained effort in skilling — both engineers and blue-collar workers — that window could start to close.