Authorised TPA
for NAPS

The Apprentices Act, 1961 was enacted with the objective of regulating the program of training of apprentices in the industry by utilizing the facilities available therein for imparting on-the-job training. Govt of India focuses on apprenticeship as one of the key program for creating skilled manpower. The government has brought comprehensive amendments in the Act in December 2014 to make it more industry friendly.
With the size and rate of growth of economy of India, there is high demand for Industry Ready skilled manpower. Whereas youth is educated, yet not industry ready. So there is huge potential available for apprentice training.
In an endeavour to promote apprenticeship in India, a new scheme, National Apprentice Promotion Scheme(NAPS) has been launched by Government in August 2016 by providing financial incentives, technology and advocacy support.

Some Highlights of NAPS

Removed stringent clauses from the Apprentice Act of 1961.
Involvement of NSDC along with SSCs will also remove the perception of heavy government regulation
Replaced the old system of trade-wise and unit-wise regulation of apprentices with a band of 2.5% to 15% of the total workforce
Deployment of apprentices in service sector has also been made compulsory now
Introduction of optional trades – QP Based or based on newer technologies and emergent business landscape (Establishment can create own trades/courses with qualification parameters and curriculum for trades currently not listed.)
Using Online portal for administering the implementation of the Apprenticeship Training.

Program Structure of NAPS –
Basic Training
On-the-Job-Training (Practical Training) at workplace in the industry.

  Financial Incentives Under NAPS

Reimbursement of 25% of prescribed stipend, subject to a maximum of INR 1,500 per month per apprentice to the employers
Reimbursement for cost of basic training, up to INR 7,500 per apprentice for a maximum period of 36 months/500 hours to the BTP (Basic Training Provider)

Benefits to establishment

Retention of Culture and Knowledge
Create a talent pool relevant to the industry needs
Incentive for the industry of up to Rs.1500 per month per apprentice
Partnering with Third Party Agency (TPA) for Basic Training
As Apprentices are not workers, the provision of any law with respect to labour (Such as EPF/ESI) shall not apply to or in relation to such apprentices.
Can undertake ‘skill training’ from their CSR funds over and above the requirement under the Apprentices Act.
Reduces long-term costs and eases statutory and regulatory requirements

Amigo As A TPA (Third Party Aggregator) can undertake the following obligations on behalf of employer

To mobilise and counsel candidates
Maintenance of records – Registration, Contract, Attendance
Stipend administration
Filing of returns, Claims
Arrange basic training for apprentices
Design Customized Optional trade
Comply with formalities required for Assessment and Certification

Any company or establishment with headcount >6 is eligible but it is Mandatory as per law for any company or establishment with headcount >=30 to engage apprentices, start engaging apprentices, explore to reach 15% of your head count as apprentices and participate in nation building through skilling.

Connect with Amigo (TPA) for end to end support!

Apprenticeship FAQ’s