NAPS stands for National Apprentice Promotion Scheme. It was instituted in August 2016 by the Government of India. The Government aims to provide financial incentives and technology to support the NAPS scheme and empower apprentices in India. The main objective of the scheme is to promote apprenticeship training and to increase the engagement of apprentices. In order to further facilitate the NAPS, the ministry of skill development and entrepreneurship validated the creation of third-party aggregators. A TPA, also called a NAPS agency undertakes apprenticeship activities like arrange basic training for new apprentices, maintaining of their records, ling of returns and stipend administration.

Benefits  of the organisation

1. Address skill gap for the Industries
2. Industry can design and run apprenticeships in customized courses
3. increases availability of industry ready skilled manpower well versed with culture of the company
4. Reducing Attrition
5. Reduces expenditure on recruitment process
6. Loyalty factor in apprentices is relatively higher
7. Financial support from the Government through NAPS.

Fund flow mechanism

Establishments pay at least 75% of the stipend to apprentices and GoI pays 25% of the stipend, up to a maximum of Rs 1,500 per month per apprentice. Partial stipend support by GoI will be transferred directly in the bank account of apprentice through DBT via PFMS.

Minimum Rate of Stipend Payable to Apprentices per Month

The minimum rate of stipend payable to apprentices per month as per Rule 11 of the Apprenticeship Rules, 1992 and Amendments (up to 2019) is as follows:

• School pass-outs (Class 5th – Class 9th) – Rs.5,000
• School pass-outs (class 10th) – Rs.6,000
• School pass-outs (class 12th) – Rs.7,000
• National or State Certificate holder – Rs.7,000
• Technician (vocational) apprentice or Vocational Certificate holder or Sandwich Course (Students from Diploma Institutions) – Rs.7,000
• Technician apprentices or Diploma holder in any stream or Sandwich Course (Students from Degree Institutions) – Rs.8,000
• Graduate apprentices or Degree apprentices or Degree in any stream – Rs.9,000