This skill grants you the ability to pick up items from a distance and/or move objects in the game world (barrels/boxes/etc.)
Every level increases the maximum distance by 2 meters, starting from 0.
Every level increases the weight of items able to be picked up/moved. Not affected by strength.
Telekinesis can be used Offensively in combat. Just drag a heavy (a crate filled with barrels kept in inventory for example) item onto an enemy. Costs 2 AP.
In game you can spot items (keys etc.) which would otherwise be out of reach, or trapped (behind lava etc.). This ability can help you to collect them.
Since some gear can increase this ability, you don't necessarily need to fully invest into it to reach max ability level.
Telekinesis Skill & Gear Edit
You can find Rings and Bracers that increase Telekinesis skill.