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New apprenticeship policy to link degrees, raise stipends
New apprenticeship policy to link degrees, raise stipends

Time of India

time3 days ago

  • Business
  • Time of India

New apprenticeship policy to link degrees, raise stipends

Representative image NEW DELHI: Centre has proposed comprehensive reforms to revitalise the apprenticeship ecosystem. Key measures include an inflation-linked hike in stipend rates, from the current Rs 5,000-9,000 to Rs 6,800-12,300, to reduce dropout rates and attract diverse talent. The reforms also formalise Apprenticeship Embedded Degree Programmes (AEDP), enabling apprentices to earn recognised degrees alongside practical training. Additionally, the policy aims to enable global deployment of apprentices at overseas client sites and expand training delivery through digital and virtual platforms. These proposals come amid persistent structural challenges within the apprenticeship framework. An official from ministry of skill development and entrepreneurship (MSDE) said, "The proposed stipend increase is essential to curb dropouts and make apprenticeships viable, especially in sectors like technology, manufacturing, and services where living and commuting costs can be prohibitive." A 2022 parliamentary standing committee report recommended convergence through a unified operational and digital infrastructure. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like No dark spots, 10 years younger! Just take this from Guardian URUHIME MOMOKO Learn More Undo Industry participation, particularly among small and medium enterprises (SMEs), remains limited due to administrative complexity, compliance burdens, and lack of awareness. Regional disparities persist, with only 1.2% of apprentices from the North-East despite targeted benefits. Female participation, while improving, continues to lag behind overall workforce levels. Fragmentation between ministry of education and MSDE - which run National Apprenticeship Training Scheme (NATS) and Pradhan Mantri National Apprenticeship Promotion Scheme (PM-NAPS), respectively - has caused duplication and inefficiencies. "We are developing a unified apprenticeship portal to integrate certification, data sharing, and employer outreach. This will simplify processes, reduce compliance friction, and improve access for both apprentices and employers," the official added. The 38th meeting of Central Apprenticeship Council, chaired by Jayant Chaudhary, minister of state (independent charge), MSDE, recently discussed these proposals and charted a forward-looking policy roadmap. The reforms include targeted inclusion measures for women, persons with disabilities (PwDs), and youth from the northeastern region (NER). The official noted: "Expanding participation from under-represented groups, particularly from the North-East and PwDs, is a key priority. The pilot project launched in Mizoram, providing an additional Rs 1,500 monthly stipend to over 26,000 apprentices, highlights our commitment." Formal regulation of AEDPs will allow apprentices to earn recognised degrees alongside hands-on training, strengthening the link between education and industry needs. "Only 0.27% of India's workforce are apprentices, compared to 3% in the UK and Germany. Attrition rates remain high. Inflation-linked stipends and degree-linked apprenticeships will help reduce attrition and sustain a steady talent supply," said Nipun Sharma, CEO, degree apprenticeship, Team Lease. He also pointed out the low female participation, despite sectors like electronics manufacturing and smartphone assembly preferring female workers. On global deployment plan, the official said, "Allowing apprentices to gain experience at overseas client sites will expose them to international standards and prepare them for a competitive global workforce."

Apprentices may get 30% higher stipend as central council proposes major hike
Apprentices may get 30% higher stipend as central council proposes major hike

India Today

time7 days ago

  • Business
  • India Today

Apprentices may get 30% higher stipend as central council proposes major hike

To support skill development and stop dropout among apprentices, the Central Apprenticeship Council (CAC) on Monday recommended increasing monthly stipends by 30% under the National Apprenticeship Promotion Scheme (NAPS) and National Apprenticeship Training Scheme (NATS).The proposal was made during the 38th CAC meeting, which was chaired by Jayant Chaudhary, Minister of State (Independent Charge) for the Ministry of Skill Development and Entrepreneurship (MSDE). The proposal is to enhance the attractiveness and economically feasible nature of the apprenticeship programme among students, especially considering rising living approval, the stipend range will rise from the current Rs 5,000 - Rs9,000 to Rs 6,800 - Rs 12,300. This move will be a relief for technical as well as non-technical apprentices, providing greater economic support and motivation for completing their training. Worth mentioning, the stipend will also be revised based on the Consumer Price Index (CPI), leading to automatic revision after each two years based on inflation and pay THE GLOBAL APPRENTICESHIP GAPThe minister noted that India's apprenticeship engagement percentage is a paltry 0.27%, far from 4% in developed nations. The hike in stipends is among the steps being taken to bridge this gap and promote industry PM-NAPS, over 43.47 lakh apprentices have been trained across 36 states and UTs with 20% participation by women. Likewise, the NATS scheme has onboarded 5.23 lakh graduate and diploma apprentices in 2024-25 CAC also thought of expanding Apprenticeship Embedded Degree Programmes (AEDPs), where classroom learning is combined with formal on-the-job training, making students more job-ready compared to regular reforms include merging the vocational training through the Craftsmen Training Scheme (CTS) with apprenticeship for improved academic and industrial transition for revision final approval is pending as of now.

Central Apprenticeship Council proposes 36% stipend hike for youth: what it means for students
Central Apprenticeship Council proposes 36% stipend hike for youth: what it means for students

Indian Express

time27-05-2025

  • Business
  • Indian Express

Central Apprenticeship Council proposes 36% stipend hike for youth: what it means for students

The Central Apprenticeship Council (CAC), on Monday recommended a 36% increase in apprentice stipends under the National Apprenticeship Promotion Scheme (NAPS) and National Apprenticeship Training Scheme (NATS). Announced during the 38th CAC meeting chaired by Jayant Chaudhary, Minister of State (Independent Charge), Ministry of Skill Development and Entrepreneurship (MSDE), the proposal aims to bridge the gap between education and employment while lowering dropout rates and expanding industry participation. Once approved, the stipend would increase from the current Rs 5,000 – Rs 9,000 range to Rs 6,800 – Rs 12,300. This hike is aimed not only at reducing dropout rates, but also improving program attractiveness, and address the financial limitations that prevent many from continuing their apprenticeships. This upward revision would also be automatically adjusted every two years, based on the Consumer Price Index (CPI), aligning with national salary cycles and ensuring that stipends remain relevant in the face of inflation, according to the statement released. 'The Central Apprenticeship Council's stipend increase is a welcome move and a strategic investment in India's human capital, directly addressing key challenges in apprenticeship uptake and retention. This enhanced financial support empowers more youth, particularly those from non-metro cities, to fully commit to rigorous training, reducing financial barriers that often lead to dropouts,' said Abhimanyu Saxena, Co-Founder of Scaler, an online upskilling platform for working tech professionals, focusing on software engineering. The government's proposal comes amid persistent concerns over dropout rates and poor apprenticeship penetration. With India's apprenticeship engagement at just 0.27% of the workforce, compared to 3-4% in developed nations, financial support is seen as a key lever for improving retention and encouraging participation. 'Despite notable progress, India's apprenticeship engagement remains significantly below global benchmarks. The stipend hike is a vital incentive to attract and retain talent in skilling programs,' noted Dr. Nipun Sharma, CEO of TeamLease Degree Apprenticeship, a public-private partnership program that blends academic study with work experience. According to the statement, dropout prevention was central to the CAC's agenda. By making apprenticeships financially viable, especially for students from rural and economically weaker backgrounds, the stipend revision is expected to encourage sustained participation across diverse sectors. Students in both technical and non-technical streams stand to gain. Under schemes like PM-NAPS, over 43.47 lakh apprentices have been engaged across 36 States and UTs, and female participation has touched 20%. The NATS scheme, targeting graduates and diploma holders, enrolled 5.23 lakh apprentices in the year 2024-25 alone. This stipend hike provides greater financial security to continue apprenticeships without interruption, improved job-readiness through exposure to real-world work environments and an overall increased higher appeal of vocational education, especially with rising cost-of-living in cities. 'Efficiency of production in India holds the key to how quickly we surpass global competitors. The skill level in many trades is still below global standards, and this increase is small but a welcome step,' said Dr VP Singh, Program Director at Great Lakes Institute of Management, Gurgaon. A major thrust of the CAC's discussion also focused on enhancing Apprenticeship Embedded Degree Programmes (AEDPs). These integrate classroom learning with structured on-the-job training, offering a credible alternative to purely academic degrees. Reforms also include simultaneous notification of Craftsmen Training Scheme (CTS) and apprenticeship programs, ensuring better curricular alignment and smoother transitions for vocational learners. 'Our vision is to ensure every young person, regardless of background, gets a fair shot at a meaningful career through hands-on learning and industry exposure,' emphasised Minister Jayant Chaudhary, according to the statement.

Skill ministry proposes 36% hike in stipend for apprentices under NAPS
Skill ministry proposes 36% hike in stipend for apprentices under NAPS

Business Standard

time26-05-2025

  • Business
  • Business Standard

Skill ministry proposes 36% hike in stipend for apprentices under NAPS

In a move to curb dropout rates among apprentices, the ministry of skills development and entrepreneurship (MSDE) has proposed a 36 per cent increase in stipend under the National Apprenticeship Promotion Scheme (NAPS) and the National Apprenticeship Training Scheme (NATS). Besides, it also recommended linking the stipend to the consumer price index, thus leading to bi-annual revision in stipend rates. The proposals were recommended at the 38th meeting of the Central Apprenticeship Council (CAC) under the aegis of Jayant Chaudhary, minister of state (independent charge), MSDE on Monday. The proposals will now be sent to the union cabinet for approval. The proposals, once approved by the cabinet, would increase the stipend in the range of Rs 6800-Rs 12,300 as against the existing Rs 5,000- Rs 9,000. "The aim is to reduce dropout rates and attract more candidates to undertake apprenticeship training,' MSDE said in a statement issued after the meeting. The CAC meeting also proposed replacing the existing list of industries (1987 code) with one aligned to national industrial classification (NIC) Code 2008 thereby expanding the scope of apprenticeship training to include emerging sectors like IT, software services, telecommunications, biotechnology, and renewable energy. 'Apprenticeship is not just a skilling mechanism, it is a bridge that connects education, industry, and employment, especially for our rural youth. With NAPS and NATS as pillars supported by a strong legal framework, we are actively reforming the system to make it more inclusive, responsive, and aspirational,' Jayant Chaudhary said. The council also deliberated on promotion of apprenticeship embedded education programmes, including the introduction of new definitions such as 'degree apprenticeship,' 'institution,' 'UGC,' and 'contractual staff,' to align educational curricula with on-the-job training requirements. Besides, it also proposed enabling employers to deliver basic and practical training through online, virtual, or blended modes, ensuring flexibility in learning without compromising the quality or compliance with centrally approved curriculum. Further, discussions were held on the creation of regional boards at new locations to improve the administration and outreach of the National Apprenticeship Training Scheme (NATS) and regulate the Apprenticeship Embedded Degree Programme (AEDP), necessitating the insertion of a new clause in the Apprenticeship Rules. Apprenticeship training in India is imparted under the National Apprenticeship Training Scheme (NATS), which is administered by the ministry of education and the Pradhan Mantri National Apprenticeship Promotion Scheme (PM-NAPS), run by MSDE. Under the PM-National Apprenticeship Promotion Scheme (PM-NAPS) the government's contribution is Rs 1,500 or 25% of the stipend amount whereas it is 50% of the stipend amount under National Apprenticeship Training Scheme (NATS) Latest data shows that since 2020-21, 3.55 million apprentices have been engaged under NAPS while 1.29 million have been engaged under NATS, taking the total number of apprentices engaged in the country to 4.84 million in five years till 2024-25.

Skill ministry proposes 30% hike in stipend for apprentices under NAPS
Skill ministry proposes 30% hike in stipend for apprentices under NAPS

Business Standard

time26-05-2025

  • Business
  • Business Standard

Skill ministry proposes 30% hike in stipend for apprentices under NAPS

In a move to curb dropout rates among apprentices, the Ministry of Skill Development and Entrepreneurship (MSDE) has proposed a 30 per cent increase in the stipend under the National Apprenticeship Promotion Scheme (NAPS) and the National Apprenticeship Training Scheme (NATS). It also recommended linking the stipend to the Consumer Price Index (CPI), which would lead to biannual revisions in stipend rates. The proposals were made at the 38th meeting of the Central Apprenticeship Council (CAC) under the aegis of Jayant Chaudhary, Minister of State (Independent Charge), MSDE. The proposals will now be sent to the Union Cabinet for approval. If approved, the stipend range would increase to Rs 6,800–Rs 12,300, up from the current Rs 5,000–Rs 9,000. The CAC also proposed replacing the existing list of industries (1987 Code) with one aligned to the National Industrial Classification (NIC) Code 2008, thereby expanding the scope of apprenticeship training to include emerging sectors such as IT, software services, telecommunications, biotechnology, and renewable energy. 'Apprenticeship is not just a skilling mechanism; it is a bridge that connects education, industry, and employment, especially for our rural youth. With NAPS and NATS as pillars supported by a strong legal framework, we are actively reforming the system to make it more inclusive, responsive, and aspirational,' Jayant Chaudhary said. The council also deliberated on promoting apprenticeship-embedded education programmes, including the introduction of new definitions such as 'degree apprenticeship', 'institution', 'UGC', and 'contractual staff', to align educational curricula with on-the-job training requirements. In addition, it proposed enabling employers to deliver basic and practical training through online, virtual, or blended modes, ensuring flexibility in learning without compromising on quality or compliance with centrally approved curricula. Further, discussions were held on the creation of regional boards at new locations to improve the administration and outreach of the National Apprenticeship Training Scheme (NATS) and to regulate the Apprenticeship Embedded Degree Programme (AEDP), necessitating the insertion of a new clause in the Apprenticeship Rules. Apprenticeship training in India is imparted under the National Apprenticeship Training Scheme (NATS), which is administered by the Ministry of Education, and the Pradhan Mantri National Apprenticeship Promotion Scheme (PM-NAPS), run by the MSDE. Under the PM-NAPS, the government's contribution is Rs 1,500 or 25 per cent of the stipend amount, whereas under the NATS, it is 50 per cent of the stipend amount.

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