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National Apprenticeship Promotion Scheme

OBJECTIVE

The National Apprenticeship Promotion Scheme (NAPS) was launched by the Government of India in 2016 to boost apprenticeships. Businesses that participate in apprenticeships can get significant financial support from the government, which makes it very appealing for companies looking to grow their teams. NAPS is led by the Ministry of Skill Development and Entrepreneurship (MSDE) and is all about helping India’s workforce become more skilled. It’s like hands-on learning at work. The big goal of NAPS is to train over 50 lakh young people, and it wants to create a culture where apprenticeships are common, especially in smaller businesses (MSMEs), to make them more productive.

At Elementz, we’re big supporters of NAPS. We help people get ready for apprenticeships by providing them with training opportunities. Then, we connect them with businesses from different fields who need skilled apprentices to make their teams better. This way, we’re not only helping young people get valuable experience but also helping businesses perform at their best.

What are the benefits of NAPS?

The Government of India has introduced a program to incentivize employers who offer apprenticeships. Under this program:

  • Reimbursement Percentage: Employers can receive reimbursement equivalent to 25% of the prescribed stipend.
  • Maximum Monthly Reimbursement: The maximum monthly reimbursement per apprentice is set at INR 1,500.
  • Total Reimbursement Limit: Employers can claim up to INR 7,500 per apprentice, covering both the stipend and training expenses.
  • Stipend Rate: The stipend rate is determined at INR 15 per hour worked.
  • Maximum Work Duration: Employers can seek reimbursement for a maximum of 500 hours of apprenticeship or a period of 3 months, whichever occurs first.
  • Eligibility: This scheme is specifically designed for apprentices who are newcomers with no prior formal training.

This initiative aims to encourage employers to provide apprenticeship opportunities to individuals who are new to formal training, with the government providing financial support to help cover stipends and training costs. It’s important to stay updated with the latest information and eligibility criteria, as government programs and policies may change over time.

FRAMEWORK

NAPS (National Apprenticeship Promotion Scheme) operates within a well-structured framework designed to enhance the apprenticeship experience between apprentices and employers, supported by a robust legal framework. This framework prioritizes transparency, efficiency, and quality in India’s apprenticeship programs. It strikes a harmonious balance between industry demands and the workforce’s readiness for employment, all without incurring additional costs for trainers or establishments.

SCOPE

The scope of NAPS is comprehensive, encompassing all categories of apprentices, except those covered under the National Apprenticeship Training Scheme (NATS) administered by the Ministry of Human Resource Development.

ELIGIBILITY

To be eligible for the NAPS scheme, both employers and trainees must meet specific criteria and requirements outlined by the Government of India. For detailed information regarding eligibility criteria, guidelines, and more, refer to NAPS Eligibility Criteria and NAPS guidelines.

Rules to be followed for hired Apprentices:

  • Apprentices are not considered regular workers and are exempted from ESI (Employee State Insurance) and EPF (Employee Provident Fund) contributions.
  • Employers must pay a minimum stipend to apprentices.
  • The number of apprentices employed should range from 2.5% to 15% of the total organization headcount.
  • Apprenticeship programs should last between 6 to 36 months and offer comprehensive training.
  • Apprenticeships are open to both the manufacturing and service sectors.
  • Services Provided by ELEMENTZ as a TPA (Third Party Aggregator): 
  • ELEMENTZ, as an authorized Third Party Aggregator, assists clients, employers, and establishments in various aspects of apprenticeship management, including:
  • Submitting apprenticeship contracts on the apprenticeship portal on behalf of the employer.
  • Handling claims for basic training cost reimbursement if the employer is a Basic Training Provider (BTP) under NAPS.
  • Posting all necessary returns on the portal on behalf of the employer.
  • Managing and submitting reimbursement claims for stipends to the employer, including attendance records.
  • Ensuring compliance with formalities required for trade apprentices to appear in All India Trade Tests for Apprentices as needed.
  • This streamlined summary highlights the key rules and services related to apprenticeships, catering to both employers and apprentices while adhering to relevant government regulations

Services we provide as a NAPS Facilitator

  1. Decades of Expertise: We bring decades of experience in working with talent and resources to the table.
  2. Continuous Talent Pool: Our talent database is regularly updated and ever-expanding, ensuring a steady supply of trainable individuals.
  3. Job-Ready Workforce: Collaborate on Joint Training to cultivate a workforce that’s ready for the job from day one.
  4. Tailored Training: Address specific skill gaps by tailoring training programs to meet your organization’s needs.
  5. Cost Savings: Reduce recruitment costs associated with hiring fresh talent.
  6. Lower Attrition: Apprentices tend to stay loyal, leading to reduced attrition rates within your organization.
  7. Skill Gap Bridging: Effectively bridge skill gaps within your workforce.
  8. Mutual Benefits: NAPS benefits both employers and trainees. Employers gain loyal apprentices compensated by the government, while trainees gain valuable experience and a monthly stipend.
  9. Promoting Employment: Partnering with us contributes to tackling unemployment issues in India, as we help employers mobilize the workforce.
  10. Access to Talent: Gain access to our vast talent pool and receive continuous support throughout the NAPS journey.

Benefits of Partnering with ELEMENTZ for NAPS

  1. Decades of Expertise: We bring decades of experience in working with talent and resources to the table.
  2. Continuous Talent Pool: Our talent database is regularly updated and ever-expanding, ensuring a steady supply of trainable individuals.
  3. Job-Ready Workforce: Collaborate on Joint Training to cultivate a workforce that’s ready for the job from day one.
  4. Tailored Training: Address specific skill gaps by tailoring training programs to meet your organization’s needs.
  5. Cost Savings: Reduce recruitment costs associated with hiring fresh talent.
  6. Lower Attrition: Apprentices tend to stay loyal, leading to reduced attrition rates within your organization.
  7. Skill Gap Bridging: Effectively bridge skill gaps within your workforce.
  8. Mutual Benefits: NAPS benefits both employers and trainees. Employers gain loyal apprentices compensated by the government, while trainees gain valuable experience and a monthly stipend.
  9. Promoting Employment: Partnering with us contributes to tackling unemployment issues in India, as we help employers mobilize the workforce.
  10. Access to Talent: Gain access to our vast talent pool and receive continuous support throughout the NAPS journey.

FREQUENTLY ASKED QUESTIONS

  1. What is NAPS’s full form, and when was it launched?
  • NAPS stands for the National Apprentice Promotion Scheme. It was initiated by the Government of India in August 2016.
  1. What is the salary of a NAPS graduate?
  • On average, a NAPS graduate in India earns around INR 40,740 per year, based on data from Glassdoor.
  1. What is the NAPS scheme?
  • The NAPS scheme, launched in August 2016, aims to boost apprenticeship training in India by providing stipend support to apprentices and enhancing their engagement across various industries.
  1. What is the difference between NAPS and NATS?
  • NAPS (National Apprentice Promotion Scheme) is designed for non-technical trades, while NATS (National Apprentice Training Scheme) is intended for technical and engineering students working as apprentices in engineering or technical fields.
  1. What are the benefits of the NAPS scheme?
  • The NAPS scheme offers several advantages, including:
  • Reimbursement of up to 25% of the stipend (maximum INR 1500 per month) to employers offering apprenticeships.
  • A reimbursement of up to INR 7500 per apprentice, covering training costs, at INR 15 per hour for a maximum of 500 hours or up to 3 months for fresh apprentices.
  • Exemption from ESI and EPF contributions.
  • Creation of industry-ready and skilled candidates through short-term candidate training.
  • Enhancement of employer branding.
  1. How many years is apprenticeship training under NAPS?
  • The apprenticeship training period under NAPS ranges from 6 months to 36 months, offering flexibility for skill development.
  1. Why has the Government introduced schemes like NAPS?
  • The Government introduced NAPS to empower the youth of India by providing extensive employment opportunities and cultivating a skilled workforce through practical on-the-job training. This initiative aims to bridge the skills gap by delivering both theoretical knowledge and hands-on experience.