The Last Mile of Policy: From Intent to Impact

The Union Budget 2026 has promised a lot to support the idea of an all-inclusive India by empowering People with Disabilities (PwD) or as the newly coined term states ‘Divyangjan’. As the year 2025 marked the tenth anniversary of ‘Accessible India Campaign’ (Sugamya Bharat Abhiyan), the budget narrative clearly shifted from welfare-led to empowerment-led. With the announcement of ‘Divyangjan Kaushal Yojna’ and ‘Divyangjan Sahara Yojna’, the government has reaffirmed its vision of ‘Sabka Saath, Sabka Vikas’.

Divyangjan Kaushal Yojana announced in February 2026 by the Department of Empowerment of Persons with Disabilities under the Ministry of Social Justice and Empowerment aims to create an inclusive, demand-driven skilling ecosystem that enhances employability, promotes entrepreneurship, and ensures economic participation of persons with disabilities in India.

The scheme has identified high growth priority sectors that offer task-oriented roles that can be adapted for different disabilities. The key sectors mentioned in the scheme include:

1. Information Technology (IT) : roles such as data entry, software testing, digital support, and back-office operations.

2. Animation, Visual Effects, Gaming and Comics (AVGC) : creative and digital production roles like graphic design, animation support, and digital content creation.

3. Hospitality : jobs in hotels, tourism services, customer support, and front/back-end service operations.

4. Food and Beverage (F&B) : roles in food preparation, packaging, service, and restaurant operations.

These sectors were selected because they often involve process-driven, task-based work that can be adapted to different disability groups, allowing for better job matching and improved employment outcomes. The focus is on providing industry-relevant, customized training aligned with functional abilities of different Divyangjan categories to ensure dignified livelihood opportunities. 

The sectors identified in the Divyangjan Kaushal Yojna have a high growth and employment generation potential. If 5% of these jobs are earmarked for the PwDs, their representation will substantially increase in the urban workforce.  

In rural areas, the solution lies in localized, context-specific employment strategies. National schemes like the National Livestock Mission and self-employment initiatives under MUDRA and PMEGP can be leveraged to create sustainable livelihoods. Integrating PwDs into rural value chains, such as dairy, poultry, and micro-enterprises offers a viable pathway to economic independence. 

Though ambitious in its outlook, the scheme is not the first initiative for providing people with disabilities skill training and employment opportunities.

To its credit, the government has launched several initiatives aimed at addressing this gap in the past. Programs such as Pradhan Mantri Kaushal Vikas Yojana, and the Prime Minister’s Employment Generation Programme aimed to enhance employability through skill development, entrepreneurship support, and financial inclusion. These schemes align with broader national missions like Skill India, signaling a strong intent to build an inclusive workforce.

However, intent alone has not proven enough. As the data implies, the aforementioned schemes have failed in creating the desired mark.

Unemployment among PwDs is a structural economic issue. With an estimated 26.8 million persons with disabilities in India, and over 12.5 million registered under the Unique Disability ID (UDID) system, the scale of exclusion is significant. Labour force participation among PwDs stands at just 23.8%, nearly half that of the non-disabled population. Even more concerning is that over half of those who acquire disabilities during their lifetime lose their jobs, with little to no institutional support for reintegration. The challenge is even more acute in rural India, where nearly 69% of PwDs reside. Limited access to skilling infrastructure, employment networks, and formal job markets leaves millions disconnected from economic opportunities. The public sector too has failed to meet its inclusion mandates. Despite a 4% reservation requirement under the RPwD Act, representation in central government ministries has remained far below target.

The fundamental problem lies in how these initiatives are designed and implemented. 

Most existing skilling programmes operate on a supply-driven model where training is offered based on institutional capacity rather than actual market demand. As a result, many PwDs are trained in low-demand trades such as tailoring or handicrafts, without clear pathways to sustainable employment. The absence of strong industry linkages means that training often does not translate into jobs.

Equally problematic is the fragmented ecosystem. Multiple stakeholders such as training providers, industry bodies, disability organizations, and government agencies operate in silos, with little coordination. There is no unified platform to connect demand, training, and placement. This fragmentation limits scale and impact.

Another critical gap is the lack of accountability and outcome tracking. While placement numbers are often reported, there is limited verification of job quality, retention, or income progression. Without robust monitoring, it is difficult to assess whether these programs are delivering meaningful economic inclusion.

At the same time, biases within the private sector further complicate the issue. Hiring practices often favor individuals with ‘less severe’ disabilities, reflecting a broader misconception that inclusion must align with existing workplace norms rather than adapting workplaces to diverse needs. This not only undermines equity but also restricts opportunities for those who require higher levels of support.

The success of Divyangjan Kaushal Yojna lies in a paradigm shift in implementation policy propelled by systems-thinking.

 An industry-first model, where skilling begins with confirmed employer demand, can ensure that training leads directly to employment. This must be supported by consortium-based delivery systems that bring together sector experts, disability specialists, and placement agencies. Equally important is sustained post-placement support, including job coaching and workplace sensitization, to ensure long-term retention.

On the policy front, stronger institutional mechanisms are needed. Increasing budgetary allocation for disability inclusion, improving utilization of existing schemes, and strengthening data systems like UDID can enhance program effectiveness. The drastic shift will be propelled by a comprehensive skill-mapping of the strengths of different disabilities with job requirements. Mr. Mallikarjun Iytha, Founder and CEO, Inclusive Divyangjan Entrepreneurial Association (IDEA), propounds that a multi-stakeholder consultative committee should be brought together to lead the skill-mapping activity which will provide a blue-print for smooth integration of Divyanjan in the workforce.

Initiatives such as employer pledges, certification systems, and incentives for inclusive hiring can further drive private sector participation.

Ultimately, the issue is not a lack of policy, but a lack of integration.