Change in apprenticeship rules notified – (Amending Apprenticeship Rules)Approx Read Time: 3 minutes
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:
- The stipend for graduates has been increased to Rs. 9,000 per month.
- 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:
- Increasing the employability of youth with a target of skilling 500 million people by 2022.
- Provide the youth with the opportunities for self-growth and contribution to the economy.
- Effective transition from school to work life combining formal education with hands-on experience.
- Improve the links between industry and training institutions.
- Facilitate ‘learning by earning’ and ‘learning by doing’.
- 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:
- 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.
- 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.
- Trade apprentice: means an apprentice who undergoes apprenticeship.
- 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
- 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.