The NITI Aayog on Friday proposed a comprehensive overhaul of the country’s apprenticeship ecosystem, urging deeper industry participation, streamlined governance and stronger support for apprentices.
“Weak industry-academia linkages, inadequate institutional coordination, and fragmented regulatory frameworks continue to constrain the scalability and effectiveness of apprenticeship initiatives,” said a report by the thinktank titled ‘Revitalizing India’s Apprenticeship Ecosystem: Insights, Challenges, Recommendations and Best Practices’.
The National Apprenticeship Promotion Scheme (NAPS), launched in 2016 and administered by the Ministry of Skill Development and Entrepreneurship (MSDE), supports apprenticeship training across trades, by sharing part of the stipend paid by employers, covering candidates from school pass-outs to graduates. The National Apprenticeship Training Scheme (NATS), run by the Ministry of Education, provides structured on-the-job training for graduates and diploma holders, with the government reimbursing 50 per cent of the stipend cost to establishments.
The report called for a National Apprenticeship Mission (NAM) to serve as a common platform with information on various types of apprenticeship programmes accessible through a single gateway, the National Apprenticeship Portal (NAP). Currently, there are initiatives from different ministries and states, having diverse target groups, norms, modalities, and institutional arrangements, which leads to the creation of multiple brands, possibly causing confusion for both candidates and employers, the report explained.
For this purpose, NITI Aayog laid out a short-term and long-term plan for NAM, which includes the formation of a steering committee under MSDE, launching awareness campaigns and a full-scale integration of all central and state-run apprenticeship schemes, among others.
The Aayog has also batted for a seamless pathway between education and skilling. “In order to make apprenticeships more aspirational, emphasis needs to be given on its integration with education and facilitating pathways for mobility between skilling and education,” the report stated.
It also recommended an Apprenticeship Linked Incentive Scheme (ALIS) with financial incentives for both employers and apprentices to be designed for Aspirational Districts, North East States, and women apprentices.
The report highlighted a big gap between registered apprentices and actual engagement. In 2024-25, the latest year for which data is available, there were 1.31 million registrations for apprenticeships, but only 985,000 people engaged and 251,000 people actually completed their training.
The report also pointed out a marginal drop in registrations in recent years, and a need to continuously monitor drop-out rates between registration, engagement, and completion to ensure quality outcomes.
It noted a “stark asymmetry” between the size of establishments and their contribution to apprenticeship training. While medium and large enterprises account for less than 30 per cent of active establishments (AEs), they account for over 70 per cent of total apprenticeship engagement.
“To widen the net of industry participation and enhance apprenticeship coverage, it is proposed that the eligibility threshold for establishments be revised. All establishments with a workforce of 20 or more could be brought under the apprenticeship framework, expanding beyond the current requirement,” the report noted.
It also highlighted a gap in gender-wise participation, with male participants having a consistently higher share of both registrations and engagements over the years.
Pointing out regional disparities in the implementation of the scheme, it suggested an Apprenticeship Engagement Index (AEI) to drive data-informed policymaking and promote competition between states. “The AEI could serve as a real-time, publicly accessible dashboard that ranks States and UTs on indicators such as their performance in engaging apprentices relative to their youth population, industrial base, and skilling infrastructure,” it said.
It also proposed the formation of District Skill Committees (DSCs), which could support apprenticeship promotion and scheme implementation within District Skill Development Plans (DSDPs), and aligning annual targets with district-specific demographics and industry needs.
 "NITI Aayog seeks major overhaul of India's apprenticeship ecosystem")
