The purpose of this study is to give a critical account of use and effectiveness of the collaborative method: Group Discussion as a teaching-learning method for enhancing the basic interpersonal skills of students at graduate level. The graduate students require the basic interpersonal skills to be successful in their personal life and be employable in the global market of employment. The present paper attempts to give a panoramic view of a paradigm shift in the pedagogical approach of imparting skill-based education from the teacher-centric approach to the participative student-centric approach of teaching in today’s modern education. It has been found that the collaborative methods improve the level of students’ participation in the learning process. Group Discussion is one of the most effective collaborative methods which allows students to learn the basic interpersonal skills in a real set up. Keywords: Collaborative Method, Interpersonal Skills, and Group Discussion.