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Home Perspectives Government Initiatives

MSDE chairs 38th CAC meeting on apprenticeship reforms and recommends stipend hike

S. Divya Sree by S. Divya Sree
May 27, 2025
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In a landmark step to strengthen India’s apprenticeship ecosystem, the 38th Meeting of the Central Apprenticeship Council (CAC) was held. It was chaired by Shri Jayant Chaudhary, Minister of State (Independent Charge),Ministry of Skill Development and Entrepreneurship (MSDE). The council recommended a 36% increase in stipends under the National Apprenticeship Promotion Scheme (NAPS) and National Apprenticeship Training Scheme (NATS).

This recommendation proposes revising the current stipend range from ₹5,000–₹9,000 to ₹6,800–₹12,300. It is designed to make apprenticeship more aspirational for the youth, reduce dropouts, and attract talent across sectors. The proposed stipend will be linked to the Consumer Price Index (CPI). It will be automatically revised every two years to keep up with cost-of-living changes.

Apprenticeship: Bridging education, industry, and employment

At the meeting held at Vigyan Bhawan, New Delhi, Shri Jayant Chaudhary spoke about the important role of apprenticeships in India’s skill development. He said, “Apprenticeship is not just a skilling mechanism. It is a bridge that connects education, industry, and employment, especially for our rural youth.” He added that reforms under NAPS and NATS include micro-apprenticeships and greater autonomy for higher education institutions. These changes aim to make the system more inclusive and impactful.

MSDE chairs 38th CAC meeting on apprenticeship reforms and recommends stipend hike

Major apprenticeship recommendations and reforms

The Council put forward several critical recommendations to enhance policy frameworks and operational efficiency:

  • Apprenticeship Embedded Education Programmes (AEDP): Proposals include the introduction of new definitions such as “Degree Apprenticeship” and recognition of “Contractual Staff,” along with enabling online, virtual, and blended training delivery modes.
  • Inclusivity in Apprenticeship: The CAC proposed integrating definitions and provisions aligned with the Rights of Persons with Disabilities (RPwD) Act to ensure accessibility. It recommended reserving training slots for persons with benchmark disabilities based on job role suitability.
  • Rationalization of Stipends: Apart from the overall hike, the Council suggested location-based variations to reflect regional cost differences.
  • Industry Alignment and Expansion: Updating the current list of industries to align with NIC Code 2008 will bring new-age sectors such as IT, software services, biotechnology, and renewable energy under the apprenticeship framework.
  • Administrative Strengthening: New Regional Boards will be established to enhance outreach and administration of NATS. The Council also proposed notifying Craftsmen Training Scheme (CTS) courses alongside apprenticeships to improve alignment and delivery.
  • Safety and Security: The inclusion of insurance coverage for apprentices during their contract tenure was also discussed as a priority measure.

Also read – MSDE launches apprenticeship scheme for the North East youth with financial support

The Road Ahead

The meeting also featured the release of a detailed report by KPMG. The report is titled “Data Analysis Report: National Apprenticeship Promotion Scheme (Feb 2018 – April 2025).” It offers valuable insights into the growth and trends in apprenticeship engagement.

Since the last CAC meeting in 2021, India has made significant progress. Under PM-NAPS, over 43.47 lakh apprentices have been engaged across 36 States and Union Territories, with more than 51,000 establishments participating. Female participation has reached 20%, and efforts are ongoing to further improve gender balance. The NATS programme, which caters to graduates and diploma holders, recorded 5.23 lakh enrolments in FY 2024-25 alone.

The CAC includes representatives from central and state governments, and industry leaders such as Tata Group, Maruti Suzuki, Indian Oil, and Reliance. Academic bodies like UGC and AICTE, along with domain experts, are also part of the council. Their collective insights and recommendations from the 38th meeting will shape the future of apprenticeship in India. This aligns with the broader vision of ‘Kushal Bharat, Viksit Bharat’.

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Tags: 38th Central Apprenticeship Council meeting 2025Apprenticeship reforms IndiaApprenticeship stipend 36% increaseApprenticeship stipend hike IndiaNational Apprenticeship Promotion Scheme (NAPS)Skill development apprenticeship India
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S. Divya Sree

S. Divya Sree

S. Divya Sree is a Content Developer at National Skills Network (NSN), covering topics related to education, technology, work-integrated learning, and skill development. She is passionate about creating digital content, fond of research and analysis, and believes in the role of education and skilling in shaping the future of work.

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