Govt asks firms to pay full stipends to youngsters under Apprenticeship Scheme

The government has asked all companies to pay full stipend to youngsters engaged with them under the National Apprenticeship Promotion Scheme (NAPS) assuring that it would pay its share of the amount for the lockdown period.

In a statement, the Skill Development ministry said that the Apprenticeship Rules stated that if a trade apprentice is unable to complete the period of apprenticeship training due to strike or lockout or layoff in an establishment, the period of his apprenticeship training shall be extended for an equal period.

The apprentice shall be paid stipend during the period of such strike or lockout or layoff or for a maximum period of six months, whichever is less, it added.

“We have decided that we will not let the morale of the country’s productive youth to be let down and will support them in every way possible. In view of this, we will ensure that apprentices continue to get their stipend during COVID-19 lockdown. I would also like to state that all the establishments have shown full commitment in this regard and are cooperating with the Government for the smooth delivery of services in a critical time like this,” Skill Development minister Mahendra Nath Pandey said.

The reimbursement of stipend to establishments under National Apprenticeship Promotion Scheme (NAPS) shall be paid by the Government for the lockdown period as per the NAPS guidelines.

Currently there are 24,884 establishment engaging 2.42 lakh apprentices in both designated and optional trade. As per the provision under NAPS, the government reimburses 25% of the stipend amount to be paid to apprentices per month subject to a maximum of Rs 1500 per month. During the lockdown period due to COVID 19 pandemic the Centre will be paying approx. Rs 36.3 crore to the establishments who would be claiming reimbursement for engaging apprentices under NAPS during this period, said an official.

Apprenticeship has been recognized as an effective way to empower young people to smoothly shift from school and college to work whilst at the same time improving links between industry and training institutions. The National Apprenticeship Programme plays a large part in the task of upskilling India’s workforce, offering the opportunity to share costs among different parties (employers, individuals and the government) and to involve governments, employers and workers in partnership. Apprenticeship is a win-win situation both for industry and youth in coming together to help make the vision of ‘Skilled India’ a reality in future.

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