The National Education Policy (NEP) 2020 is a revolutionary move in restructuring the education system of India with a clear emphasis on vocational training, skill acquisition, and employability. The policy envisions incorporating vocational training at the school and higher education levels so that students not only gain theoretical knowledge but also practical skills related to industries. This article examines the vocational education provisions of NEP 2020 and critically examines how they may be able to promote employability and skill development, especially in technical streams like engineering, information technology, and applied sciences. The research points to how NEP's vocational education seeks to dislodge the historic dichotomy between academic and skill-based education by beginning early with practical training, internships, and industry interfaces from secondary school levels. By integrating vocational courses into regular schooling, the policy aims to de-stigmatize vocational tracks and establish equality between academic and applied learning. Additionally, the NEP stresses flexible curriculum, credit transfer systems, and multidisciplinary instructional approaches to prepare students for changing labormarkets. Methodologically, the study takes a mixed methodology approach by using policy texts, secondary information, and industry reports alongside taking into view the opinions of stakeholders consisting of educators, employers, and students. The study examines the degree to which vocational education change is likely to fill the enduring skill deficit in India's technical workforce where graduates get underemployed or skill-mismatched despite bearing formal degrees. The study indicates that NEP 2020 has immense possibilities for promoting employability through systematic vocational routes, embedding digital learning platforms, and intensified collaboration between the industry and academia. For this purpose to be realized, however, there is a need to overcome the system challenges of inadequate infrastructure, the shortage of skilled vocational instructors, underfunding, and opposition to curricular changes. In addition, matching vocational courses with changing industry needs, especially in such new areas as artificial intelligence, robotics, and alternative energy, will be important to achieve the greatest impact. This paper concludes that the effectiveness of NEP's vocational education reforms hinges on policy implementation, industry cooperation, and sustained monitoring. If effectively implemented, the policy has the potential to change the face of technical education in India by generating a workforce with both subject-specific expertise and hands-on skills, thus working toward sustainable economic development and global competitiveness.