The National Education Policy (NEP) 2020 positions skill development as a foundational objective of higher education in India. While policy provisions emphasize vocational integration, multidisciplinary learning, and industry collaboration, empirical evidence on institutional implementation remains limited. This study investigates the effectiveness of skill development initiatives in Higher Education Institutions (HEIs) under NEP 2020 through a questionnaire-based survey of students and faculty members. Using descriptive statistics and factor analysis, the study identifies key skill outcomes, institutional practices, and implementation challenges. The findings reveal moderate progress in curriculum flexibility and vocational exposure, alongside persistent gaps in industry engagement and faculty preparedness. The study contributes empirical insights for policymakers and HEIs seeking to strengthen employability-oriented reforms.