A recent study conducted by FindInBox Private Limited, in collaboration with Visvesvaraya Technological University, reveals alarming deficiencies in problem-solving abilities among engineering students in Kalyana Karnataka, India. The survey, which included 850 students from eight colleges across Bidar, Raichur, and Kalaburagi, indicated that students achieved an average proficiency of only 44.4% in problem-solving and 41.8% in applying their skills. Sanjeev Kubakaddi, co-founder of FindInBox, stressed the urgent need for educational reforms to prepare students for the demands of the AI-driven job market. Pooja Nagpal, a researcher at the University of Sydney, highlighted a significant disparity between students' theoretical knowledge and their practical skills, noting that students scoring as high as 68% in exams could only manage 12% in practical programming tasks. The study underscores the inadequacies of India's examination system, which favors rote memorization over productive skill application, leading to graduates ill-equipped for the evolving job landscape. The findings call for a reevaluation of educational practices to better align with industry requirements and enhance the skill sets of future engineers.