Context: The Central Apprenticeship Council (CAC), in its 38th meeting, recommended a 36% hike in stipend for apprentices under NAPS and NATS.
About Central Apprenticeship Council (CAC):
- Statutory Body under the Apprentices Act, 1961, advising the Government on apprenticeship policies and implementation.
- Chaired by the Union Minister of Skill Development and Entrepreneurship.
- Includes members from Central Ministries, industries, UGC, AICTE, NSDC, and state apprenticeship advisors.
Key Recommendations by CAC:
- Stipend Hike: ₹5,000–₹9,000 revised to ₹6,800–₹12,300 (36% rise), linked to CPI and adjusted biennially.
- Micro-Apprenticeships & AEDP: Promotion of apprenticeship-embedded degree programs with new definitions like “Degree Apprenticeship” and “Contractual Staff”.
- Inclusivity: Definition of “Person with Benchmark Disability” included, with reserved training places.
- Digital Flexibility: Allows online/blended mode for basic and practical training.
- Regional Boards: Proposed to improve NATS administration and outreach.
- New Industrial Coverage: Shift from 1987 to NIC 2008 classification, covering emerging sectors (IT, biotech, renewable energy).
- Stipend Rationalisation: Variable based on local cost of living.
- Insurance Cover: Proposal for insurance for apprentices during contract period.
Relevance to UPSC Syllabus:
- GS Paper 2: Governance, Welfare Schemes
- Skilling & Employment: Role of apprenticeship in enhancing employability and bridging industry-academia gaps.
- Inclusive Policy Design: Empowerment through reforms for youth, women, and persons with disabilities.
- GS Paper 3: Economic Development
- Human Capital Formation: Apprenticeship as a tool for capacity building and demographic dividend utilization.
- Industry-Skill Alignment: Boost to MSMEs, IT, green jobs, and digital skilling.
