In News:

NITI Aayog’s report “Revitalizing Apprenticeship Ecosystem” highlights low completion rates (only 2.51 lakh completed out of 13.1 lakh registrations in 2024–25) and calls for a National Apprenticeship Mission and targeted reforms to strengthen India’s skilling strategy.

Launch of Policy Report

• NITI Aayog launched a policy report titled “Revitalizing Apprenticeship Ecosystem: Insights, Challenges, Recommendations and Best Practices.”
• The report provides a comprehensive review of India’s apprenticeship system and suggests reforms to make it a cornerstone of India’s skilling and employment framework.

Apprenticeship: Concept and Importance

• Apprenticeship is a structured, work-based learning model that bridges the gap between formal education and employment.

Significance

• Provides industry-relevant skills to youth
• Enhances productivity and innovation for businesses
• Reduces skill mismatch in labour markets
• Facilitates smoother school-to-work transition

Demographic Imperative

• Youth (15–29 years) constituted 27.2% of India’s population in 2021
• India projected to have ~345 million youth by 2036 (largest globally)

To convert this demographic potential into a demographic dividend, strengthening the apprenticeship and skilling ecosystem is critical.

Current Landscape of Apprenticeship (2024–25 Data)

1. Gap in Registration and Completion

• Registrations: 13.1 lakh (1.31 million)
• Engaged: 9.85 lakh (985,000)
• Completed training: 2.51 lakh (251,000)

Significant drop between registration, engagement, and completion.

2. Enterprise Participation

• Medium & large enterprises:
  • <30% of active establishments
  • Account for >70% of apprenticeship engagement
• Low participation by:
  • MSMEs
  • Start-ups
  • Informal sector

3. Gender Gap

• Male participants dominate registrations and engagements
• Limited targeted support for women and marginalized groups

4. Regional Disparities

• Top 10 states contribute 79–84% of total engagement
• Low participation from:
  • North-East states
  • Union Territories
• Significant district-level variation within states

Key Recommendations by NITI Aayog

1. Policy Reforms

• Establish a National Apprenticeship Mission
• Develop a unified National Apprenticeship Portal
• Provide targeted incentives for:
  • Aspirational districts
  • North-East states
  • Women apprentices

2. Regulatory Measures

• Create an Apprenticeship Engagement Index for benchmarking States/UTs
• Conduct robust evaluation of apprentice competencies

3. State & District-Level Interventions

• Focus on “high-potential but low-performing” districts
• Recognition/reward initiative for Top 25 districts based on growth

4. Enhancing Enterprise Participation

• Cluster-based approach for MSMEs
• Integration with start-up ecosystem
• Alignment with gig and platform economy

5. Support for Women & Marginalized Sections

• Travel and accommodation assistance
• Expanded insurance coverage
• Structured career counselling
• International mobility pathways
• Targeted measures to enhance women’s inclusion

Key Government Initiatives

1. National Apprenticeship Promotion Scheme (NAPS), 2016

• Implemented by Ministry of Skill Development & Entrepreneurship
• Target group: 14–35 years
• Incentives:
  • Government shares 25% of stipend (up to ?1,500/month)
  • Reimbursement of basic training costs

2. National Apprenticeship Training Scheme (NATS)

• Administered by Ministry of Education
• For graduate and diploma holders
• Provides 6 months to 1 year structured on-the-job training