Apprenticeship Scheme : Details Tally

 

Context :

Apprenticeship stipend through DBT in works   /   Eco Times   /  03 Feb 2023     

Extract :

In a move aimed at encouraging individuals to undertake apprenticeship and do away with delays in release of stipends, the government will directly transfer 25% of the stipend payable up to ₹1,500 per apprentice per month under the new National Apprenticeship Scheme instead of routing it through establishments under the erstwhile National Apprenticeship Promotion Scheme (NAPS).

The stipend, however, will be paid after the establishment pays its share of 75% to the beneficiary. Under the new scheme, the ministry will also undertake capacity building of the apprenticeship ecosystem and provide advocacy assistance to support rapid growth of apprenticeship in India, a senior government official said.

According to the official, routing stipend payment through DBT will help identify leakages in financial disbursement under NAPS, formalise the offline modes of stipend payment system, which was resulting in delays in payment, and make apprenticeship aspirational among youth.

 

MY  TAKE :

Following is what I had suggested in my e-mail to the Ministry for Skills Development and Entrepreneurship :

Ø   Universal Basic Income …………………………[ 20 Jan 2017 ]

 Extract :

( A )

HOW SHALL WE MOTIVATE UNEMPLOYED YOUTH TO JOIN ITIs  ?

* Each trainee will receive Rs 1000 pm ( for course duration of 3 years )

  This amount will get deposited in Jan Dhan bank account of trainee ( DBT )

( B )

HOW CAN WE GET INDUSTRIAL AND COMMERCIAL ESTABLISHMENTS

TO PROVIDE EXPERIENCE TO  TRAINEES PASSING OUT OF ITIs ?

 *  Amend Apprenticeship Act

*  Allow all Industrial and Commercial Establishments to engage ANY

   NUMBER of apprentices ( without upper limit ) , for a period of 3 years

   

*  Starting stipend = Min of Semi-Skilled wages ( currently , approx Rs 6,000

    pm )

*  Annual Increment = 5 %

*  Establishment to pay 75 % of stipend

*  Government to pay 25 % of stipend ( DBT into Jan Dhan account of the

    Apprentice )

 

As far as  “ capacity building of the apprenticeship ecosystem “ is

concerned, I had suggested the following :

( C )

HOW CAN WE GET PRIVATE SECTOR PARTICIPATION IN THIS PHASE ?

*  If a Private firm or individual comes forward to set up such a Training

    Institute ,

   #  Treat it as an Infrastructure SPV

   #  No questions asked as to the source of funds for setting up such ITI

       { a kind of Amnesty Scheme to convert Black Money into White Money  }

   #  A government grant of Rs 1,000 pm per trainee to such SPV ( DBT in Bank

       A/C )

 

If this is done , expect 10,000 SPVs to come up within one year and 10 million

youth to get  trained each year !

As far as “ preventing of leakages “ was concerned, I had suggested the following :

( D )

HOW CAN WE ENSURE A " LEAKAGE PROOF " DISBURSEMENTS OF DBT AMOUNTS ?

*    Through implementation of Mobile based Attendance System , outlined in

      my blog,

      " From BAD to MAD "  ……………………. [ 01 June 2016 ]

 

With regards,

Hemen Parekh

hcp@RecruitGuru.com  /  03 Feb 2023