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Change in apprenticeship rules notified – (Amending Apprenticeship Rules)

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In News: (Amending Apprenticeship Rules)

  • The government has notified Apprenticeship (Amendment) Rules, 2019 in order to increase skilled man power in the country.
  • The Centre also announced package of Rs. 560 crore to promote demand-driven, industry-linked skill development for the state Governments.
  • It also raises the monetary compensation of apprentices.

News Summary: (Amending Apprenticeship Rules)

  • Highlights of the Amended Apprenticeship Rules:
    • The amendment increases hiring limit of apprentices to 15% of total strength of an establishment.
    • It doubles the minimum stipend:
      1. The stipend for graduates has been increased to Rs. 9,000 per month.
      2. The stipend for school pass outs has been increased to Rs. 5,000 per month.
    • The establishments with 30 employees have to mandatorily engage apprentices. Earlier the limit was 40.

About: Apprenticeship and its significance for India

  • Definition: As per National Skill Development Council (NSDC), Apprenticeship is a skill training program wherein a person is engaged by a company as an apprentice and gains classroom (theory) learning for a short period, followed by on-the-job (practical) training.

Apprenticeship system in India:

  • It is supported by legislative and administrative arrangements like Apprenticeship Act, 1961, Apprenticeship (Amendment) Act, 2014 and Apprenticeship Rules, 1992.
  • Significance: Apprenticeship has high significance for India due to several reasons:
    1. Increasing the employability of youth with a target of skilling 500 million people by 2022.
    2. Provide the youth with the opportunities for self-growth and contribution to the economy.
    3. Effective transition from school to work life combining formal education with hands-on experience.
    4. Improve the links between industry and training institutions.
    5. Facilitate ‘learning by earning’ and ‘learning by doing’.

Way Forward:

  • Skill development is a demand-driven subject with need for balance between the traditional and new age skills.
  • The states must be given more powers and autonomy to ensure quality of skills.
  • Recognition of Prior Learning (RPL) will help in shift from unorganized to the organized market.
  • States should facilitate integration of skills right at the school level so that the youth can decide which skills they want to develop from a very early age.
  • There should be common standardized assessment system at both the central and state levels.

Apprentices (Amendment) Act, 2014: (Amending Apprenticeship Rules)

  • It amends the provisions of Apprentices Act, 1961.
  • The Act specifies that the establishment operating in 4 or more states will be regulated by the central government.
  • It amends the definitions of:
    1. Designated trade: means any trade or occupation or any subject field in engineering or non-engineering or technology or any vocational course which the Central Government, after consultation with the Central Apprenticeship Council, may, by notification in the Official Gazette, specify as a designated.
    2. Graduate or technician apprentice: means an apprentice who holds, or is undergoing training in order that he/she may hold a degree or diploma in engineering or non-engineering or technology or equivalent qualification granted by any institution recognized by the Government and undergoes apprenticeship training in any designated trade.
    3. Trade apprentice: means an apprentice who undergoes apprenticeship.
    4. Industry: means any industry or business in which any trade, occupation or subject field in engineering or non-engineering or technology or any vocational course may be specified as a designated trade or optional trade or both
    5. Worker: means any person working in the premises of the employer, who is employed for wages in any kind of work either directly or through any agency including a contractor and who gets his wages directly or indirectly from the employer but shall not include an apprentice
  • It also adds two new definitions: optional trade and portal-site.
    • optional trade: means any trade or occupation or any subject field in engineering or non-engineering or technology or any vocational course as may be determined by the employer for the purposes of this Act;
    • portal-site: means a website of the Central Government for exchange of information under this Act
  • It increased the minimum age for apprenticeship in hazardous industries to 18 years from 14 years.
  • It permits multiple employers to come together to provide apprenticeship training.
  • It specifies the facilities required in any institute that provides basic training to apprentices.
  • It specifies the maximum amount of the fine for violation of the Act.

Also Read: School Education Quality Index 2019: (SEQI 2019)

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