In May 2025, the 38th Meeting of the Central Apprenticeship Council (CAC) has recommended a 36% hike in stipend provided under the two existing national schemes namely, National Apprenticeship Promotion Scheme (NAPS) and the National Apprenticeship Training Scheme (NATS). The meeting was held under the chairmanship of Union Minister of State (MoS) (Independent Charge, IC) Jayant Chaudhary, Ministry of Skill Development and Entrepreneurship (MSDE) at Vigyan Bhawan in New Delhi, Delhi,
- Once this recommendation is officially notified by MSDE, the monthly stipend range under NAPS and NATS will increase from the existing Rs 5,000-Rs 9,000 across five bands to Rs 6,800- Rs 12,300.
- The proposal for stipend hike will come into force only after receiving the final approval from Union Cabinet chaired by Prime Minister (PM) Narendra Modi.
- This decision of CAC aims to reduce dropout rates and attract more candidates across various sectors.
Note:
i.NAPS is a government initiative implemented by the MSDE to promote apprenticeship training across various sectors in India.Under the scheme, the government provides a stipend subsidy of Rs.1,500 per month or 25% of the stipend, whichever is lower, to the employers.
ii.NATS is a flagship program administered by the Ministry of Education(MoE). Under NATS, the government reimburses 50% of the prescribed stipend to employers to encourage industry participation.
Other Key Decisions at 38th Meeting of CAC:
i.The CAC also recommends that stipends be automatically revised every two years based on changes in the Consumer Price Index (CPI), aligning with the salary increment cycle in July.
ii.The council underscored about major reforms to bolster apprenticeship integrated education and streamline policy frameworks under the Apprenticeship Rules, 1992.
- The main agenda of the meeting was the promotion of apprenticeship embedded education programmes like: the introduction of new definitions such as ‘Degree Apprenticeship’, ‘Institution’, among others, to make them in alignment with educational curricula with on-the-job training programmes.
iii.The council also highlighted inclusivity by recommending the insertion of a definition for ‘Person with Benchmark Disability’ in line with the Rights of Persons with Disabilities (RPwD) Act, 2016.
- It further recommended that trades or subject fields specify their suitability for persons with benchmark disabilities and reserve training places in accordance with them.
- It also proposed allowing employers to provide basic and practical training through online, virtual or hybrid modes , which will ensure flexibility in learning without compromising the quality or compliance with centrally approved curriculum.
iv.The meeting also discussed about the formation of Regional Boards at new locations to enhance the administration and outreach of the NATS and regulate the Apprenticeship Embedded Degree Programme (AEDP), necessitating the insertion of a new clause in the Apprenticeship Rules.
v.The council has also proposed to replace the existing list of industries (1987 code) with one aligned to National Industrial Classification (NIC) Code 2008, which will result in expanding the scope of Apprenticeship Training to cover emerging sectors such as: Information Technology (IT), software services, telecommunications, biotechnology, and Renewable Energy (RE).
About Central Apprenticeship Council (CAC):
i.It is a statutory body established under the Apprenticeship Act, 1961. It is tripartite by constitution with members from both central and state governments/Union Territories (UTs), and Employers, among others.
ii.The last CAC meeting was held in June 2021.
Composition:
i.In October 2024, the Government of India (GoI) had reconstituted CAC, with a tenure of 3 years and comprises total 54 members, including representatives from various central ministries, state governments, industry (public and private), academia, labour bodies, and technical experts.
- It has replaced the erstwhile CAC formed in March 2019, which had 46 members.
ii.Union MoS Jayant Chaudhary is currently serving as chairman of the reconstituted CAC.
- While, Vikramjit Singh Sahney, Member of Parliament (MP) of Rajya Sabha (the Upper House of Parliament) is serving as its Vice-chairman.
iii.At present, the council has representatives from 6 Public Sector Undertakings (PSUs) i.e. Bharat Heavy Electricals Limited (BHEL), Indian Oil Corporation Limited (IOC), South Eastern Coalfields Limited, Bharat Electronics Limited (BEL), Neyveli Lignite Corporation India Limited and Hindustan Aeronautics Limited (HAL).
- It also comprises representatives from private sectors such as: Chairman of the Tata Group, Maruti Suzuki India, Reliance Industries, Toyota India, Larsen & Toubro (L&T) and Indian Banks’ Association (IBA), among others.
About Ministry of Skill Development and Entrepreneurship (MSDE):
Union Minister of State (MoS) (Independent Charge, IC) – Jayant Chaudhary (Rajya Sabha member- Uttar Pradesh, UP)
