Is merging caste-targeted schemes into universal programmes such as PMKVY a gain in efficiency or a loss of equity? Discuss.

PM-DAKSH was a Central Sector Scheme of the Department of Social Justice & Empowerment, launched in 2020-21. It gave free skill training to SCs, OBCs, EWS, DNTs and Safai Karamcharis. From 2024-25 it was merged into MSDE's PMKVY because its job roles overlapped with PMKVY's [1]. The merger clearly makes administration more efficient. Whether it also costs equity depends on how the merged scheme is designed.

Gains in Efficiency

• Ends duplication: two ministries were paying for the same PMKVY-empanelled institutes and the same Skill India Digital Hub job roles [1].
• One budget, one audit: the restructured Skill India Programme (PMKVY 4.0 + PM-NAPS + JSS) has a single outlay of ₹8,800 crore for 2022-26 [2].
• Little unique design lost: PM-DAKSH had no courses built for waste pickers or DNTs. Only its funding channel and beneficiary selection were separate [1].

Risks to Equity

• Outcomes may become invisible: PM-DAKSH reported its own placements: 96,162 of 1,87,305 trained (about 51%) [1]. PMKVY 4.0 reports only a survey-based rise in employment, from 26.6% to 45.4% [5]. Results for SCs and OBCs may disappear from view.
• Targeting performed better: CAG found only about 41% of certified PMKVY candidates were placed, though the two rates use different bases [3].
• Weaker link between skills and credit: NSFDC, NBCFDC and NSKFDC paid for training and also gave loans for self-employment [1]. MSDE does not run these corporations.
• Social, not only economic, disadvantage: PM-DAKSH had no income ceiling for SCs, DNTs and Safai Karamcharis [6]. A universal scheme may lose this sensitivity.
• Inherited flaws: CAG found job roles were chosen without skill-gap analysis [3]. The Standing Committee recorded only 8% placement in PMKVY 3.0 [4].

Way Forward

• Report PMKVY 4.0 outcomes to Parliament by social group.
• Set up formal referrals from PMKVY centres to the three finance corporations for loans.
• Release final payments only after wages are seen in bank accounts. Bank details were missing in 94.53% of PMKVY 2.0/3.0 records [3].
• Choose courses based on district-level demand.

The merger is a real gain in efficiency and need not be a loss of equity. It needs three safeguards: data by social group, a link to credit, and courses chosen by local demand. With these, a universal PMKVY can still serve Article 46, which directs the State to promote the economic interests of weaker sections, and SDG 8 on decent work.