Why in news?
The Skill Development Ministry reported the progress of apprenticeship training in Lok Sabha. National Apprenticeship Promotion Scheme-2 supports workplace learning through employers. The government pays part of each eligible apprentice’s prescribed stipend. More than 52.98 lakh apprentices had joined since 2018-19.
Background
An apprenticeship combines structured learning with practical work inside an establishment.
The apprentice learns under supervision and receives a monthly stipend, so this arrangement differs from ordinary classroom education.
It also differs from an assured permanent job.
Legal and policy history
| Year | Development |
|---|---|
| 1961 | The Apprentices Act created a national legal framework. |
| 1992 | The Apprenticeship Rules provided detailed operating requirements. |
| 2015 | National skill policy sought wider industry participation. |
| 2016 | The first National Apprenticeship Promotion Scheme began in August. |
| 2022-23 | The redesigned National Apprenticeship Promotion Scheme-2 began. |
| 2023 | Detailed guidelines formalised digital stipend support. |
The Ministry of Skill Development and Entrepreneurship implements the scheme, while the Directorate General of Training supports apprenticeship administration.
What is National Apprenticeship Promotion Scheme-2?
National Apprenticeship Promotion Scheme-2 (NAPS-2) encourages establishments to engage more apprentices by reducing part of the employer’s stipend burden.
It also brings applications, contracts and payments onto a national portal.
How does stipend support work?
The government pays 25 per cent of the prescribed minimum stipend.
Its contribution cannot exceed ₹1,500 monthly for one apprentice.
The employer pays the remaining required amount, while government support reaches the apprentice through Direct Benefit Transfer.
How were minimum stipends updated?
Minimum stipend rates come from the Apprenticeship Rules, rather than NAPS-2 alone.
The Central Apprenticeship Council (CAC) approved a Consumer Price Index (CPI)-linked revision on 26 May 2025.
The government notified those revised rates on 11 September 2025.
How does an apprenticeship proceed?
- An eligible candidate registers on the apprenticeship portal, and an establishment advertises an available apprenticeship position.
- The candidate and establishment enter an apprenticeship contract, and the apprentice receives basic and workplace training.
- Stipend payments follow verified attendance and portal records, and assessment and certification follow the relevant trade pathway.
Important features of NAPS-2
- Direct payment: The Union share goes directly to the apprentice.
- Industry-led learning: Training happens inside a real workplace.
- Digital system: The portal manages registration, contracts and claims.
- Third-party support: Approved agencies help smaller employers follow procedures.
- Apprenticeship melas: Regular events connect candidates and establishments.
What are Third Party Aggregators?
Third Party Aggregators (TPAs) help establishments manage apprenticeship processes, especially for Micro, Small and Medium Enterprises.
They may support registration, mobilisation and documentation, but the employer remains responsible for proper workplace training.
Designated trades and optional trades
| Type | Meaning |
|---|---|
| Designated trade | The Union Government officially notifies its trade and training standards. |
| Optional trade | An employer designs it for local or emerging skill needs. |
Optional trades allow faster responses to changing technologies, while designated trades provide nationally structured occupational pathways.
What do the reported numbers show?
The parliamentary data covered 2018-19 through 30 June 2026.
- 52,98,397 apprentices had engaged under the scheme, and 57,945 establishments had participated.
- Among them, 38,936 establishments were micro, small or medium enterprises.
- Direct Benefit Transfer began in July 2023, and government disbursement totalled ₹1,573.46 crore.
- Since June 2022, officials had organised 7,370 Pradhan Mantri National Apprenticeship Melas.
A third-party evaluation found employment offers for about 72 per cent.
This figure concerned surveyed completers, not every registered apprentice.
What is an Apprenticeship Embedded Degree Programme?
This model includes workplace apprenticeship within a recognised higher-education programme.
The University Grants Commission supports its academic framework, while the All India Council for Technical Education supports technical pathways.
How do the two national apprenticeship schemes differ?
| Scheme | Main administration | Broad focus |
|---|---|---|
| NAPS-2 | Skill Development Ministry | Wider apprenticeship trades and establishments |
| National Apprenticeship Training Scheme | Education Ministry | Graduate, diploma and vocational certificate holders |
Why does apprenticeship matter?
- Candidates gain practical experience beside formal skills, and employers train workers for actual production needs.
- Smaller firms can participate with procedural support, and industry feedback can improve training standards.
Remaining challenges
- Training quality can vary between establishments, and small stipends may discourage candidates in costly cities.
- Women need safer workplaces and suitable opportunities, and completion and long-term employment require separate tracking.
- Employers must never use apprentices as cheap permanent labour.
Conclusion
NAPS-2 can bridge education and employment when workplace training remains genuine and measurable.