National Apprenticeship Promotion Scheme (NAPS)

Overview:
• The Government of India launched the National Apprenticeship Promotion
Scheme (NAPS) in August 2016, aiming to enhance skill development and
increase employment opportunities. This initiative provides financial support
to establishments that implement apprenticeship programs, fostering a skilled
and employable workforce.
• Apprentice hiring under NAPS is a mandatory compliance requirement.
Key Highlights:
• Quota of Apprentices: Employers can engage apprentices within following
band width 2.5% to 15% of total manpower strength. Quota of additional 10%
allowed for Maharashtra region.
• Age: Age should be more than 14 years.
• Period: The period of apprenticeship training is 6 Months to 3 Years.
• Contract: Employers have to enter in to an Apprenticeship Contract with the
apprentice.
• Labour Laws: No labour laws are applicable to the apprentices. Employers
may opt to pay PF for apprentices, if desired. the apprentices can not be
covered for benefits under the ESIC Act. Therefore, an establishment needs to
explore other available govt/non govt. health insurance and pension schemes to
ensure the health cover for apprentices
• Reimbursement of Stipend: Central Government through National
Apprenticeship Promotion Scheme (NAPS) reimburses 25 % (limited to Rs.
1500 pm and basis apprentice attendance) of min prescribed stipend through
Direct Benefit Transfer (DBT).
• Examination: To qualify for government certification, apprentices must
undergo a mandatory assessment after completing their apprenticeship
program. Successful completion of this evaluation is essential for receiving
official certification.

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 • Apprentices are abiding by the all-other terms & conditions by the employer as
per the company policy.
• Leaves & Holidays: Apprentices are entitled to all leaves and holidays as
applicable to other employees.
• Liability in case of Accident: In case an apprentice meets with an accident
during apprenticeship training, an employer is liable to pay compensation
according to workmen's compensation act.
• Employment after Training: It is not obligatory to employer to provide any
employment to apprentice after completion of apprenticeship training.
Process: The following processes are involved in implementing apprenticeship
• Establishment Registration: Register your organisation on the government
portal (one-time process).
• Candidate Registration: Register apprentices upon joining the organisation
(ongoing process). A contract can be generated within one month of the date of
joining.
• Termination Process: Terminate the contract in case an employee leaves the
organisation (ongoing process). Timely termination is crucial to ensure that the
available quota is not exceeded.
• Monthly Training: Provide monthly training sessions to apprentices as part of
their skill development program.
Journey of an Apprentice Candidate:
Apprenticeship Contract:
• For new employees joining the apprenticeship program, the apprenticeship
contract starts from the date of joining.
• The apprenticeship contract between the apprentice employee and the company
is valid for 1 year.
• Upon successful completion of the initial 1-year term, the NAPS contract can
be extended for an additional 2 years. While the extension benefits from labor
law exemptions, Government financial support (DBT) will not be applicable
during the extended period.
• If an employee drops out anytime within the contract period, a termination
process is initiated by the agency.

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Joining and Completion:
Upon successful completion of the 1-year apprenticeship program, the company has
three options to continue with the apprentice.
Options for Apprentices upon Completion:
1. Absorption: The company can absorb the apprentice into a company role.
2. Contract Transfer: The company can transfer the apprentice to a contract role.
3. Relieve: The company can relieve the apprentice from their job.
Other Details:
• Candidate of any education (Uneducated to Graduate) can be enrolled under
NAPS.
• Certification Process after Apprenticeship Completion: After successfully
completing 1 year under apprenticeship, employees must undergo an
assessment conducted by the Ministry of Skill Development and
Entrepreneurship (MSDE) to receive a certification.
• Assessment Fee: The assessment fee, ranging from ₹800 to ₹1000, can be
borne by either the employee or the employer.
• Conduct & Discipline: The conduct and behaviour of apprentices can be
governed by applying rules and regulations used for regular employees.
Stipend of an apprentice can be stopped for unsatisfactory performance.
Apprenticeship training can be terminated in serious cases of misbehaviour,
habitual absenteeism etc. For effective control over behaviour and performance
of apprentices it is possible to amend contract of apprenticeship.
• Apprentices are abiding by the all-other terms & conditions by the employer as
per the company policy.
• Leaves & Holidays: Apprentices are entitled to all leaves and holidays as
applicable to other employees or as per company’s policy.
• For apprentice candidate Workman Compensation (WC) or Group Mediclaim
(GMC) policy is mandatory. In case an apprentice meets with an accident
during apprenticeship training, an employer is liable to pay compensation
according to workmen's compensation act or as per mediclaim/ accidental
policy.
Stipend Transfer and DBT Process:
• Stipend Payment through Portal: Stipend of apprentices must be process
through the Virtual Account (VAN Account) on apprenticeship portal.
• Company has to transfer total monthly stipend to VAN by NEFT mode.

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 • From VAN, stipend is transferred to each apprentice. The moment employer
shared is transferred through VAN, the DBT is triggered automatically.
Employers have two options for releasing stipend amounts to employees:
Option 1: Full Stipend Release
• Employer releases the full stipend amount to the employee.
• The government's share is received by the employee as an additional amount.
• The additional amount is deducted from the employee's salary in the next
payroll cycle.
• Agency maintains all stipend details on monthly basis and will be shared to
company on time-to-time basis.
This option ensures higher employee satisfaction, as they receive the full payment
upfront.
Option 2: Partial Stipend Release
• Employer releases a partial stipend amount, deducting the government's share.
• The government's share is received by the employee within 7-10 days of
completing the DBT process.
Apprenticeship Training Program Details:
Basic Training (BT):
• Basic Training: The trainings conducted by our agency are referred to as Basic
Training.
• Training Topics: Basic trainings focus on soft skills topics, which are chosen
based on industry requirements (across various sectors). A detailed list of
training topics is attached as an annexure.
• Training Frequency and Duration: Our agency will conduct one training
session per week, lasting two hours. These sessions are typically held online
during off-hours to minimize work disruptions. However, if preferred by the
employer, trainings can be conducted during work hours. Government has not
specified any topics/ duration/ frequency of basic training.
• Customized Training: We also offer customized training tailored to the
employer's specific needs. In such cases, the employer is required to provide
the training content. If a domain expert is necessary to conduct the customized
training, additional costs (at actuals) will apply.
• Training Records and Attendance: Post-training, our agency will share:
• Training records (date and time-stamped video clips and images)

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 • Training attendance reports
• Training Attendance Policy: While conducting training is mandatory,
employee attendance is not. Any actions to be taken against employees who do
not attend training will be at the sole discretion of the employer.
• The primary objective of our Basic Training program is to foster the
development of employees who exhibit good conduct and possess strong moral
character. By focusing on essential life skills, our training aims to empower
individuals to become well-rounded and responsible members of workplace
and society.
On Job Training (OJT):
• Also known as Related Instructions (RI), these are instructions/training
imparted on a day-to-day basis to candidates about their core job by respective
department heads/team leads.
• The primary objective of OJT is to impart the necessary skills and knowledge
required for a candidate to effectively execute their job role. This hands-on
training enables candidates to develop the competencies and expertise needed
to perform their duties efficiently and effectively.
• Time-stamped and location-stamped photographs of RI sessions are required to
be recorded.
Record-Keeping Requirements for Apprenticeship Training:
To ensure compliance and transparency, it is mandatory to maintain records of
training imparted to apprentices. The records should be in the form of:
• Videos/ Clips
• Images
These records must be date and time-stamped and to be retained for future reference.
Although not typically required for submission, these training records (either Basic
Training (BT) or On-the-Job Training (OJT)) may be requested by the government as
proof of training imparted.
Supporting Organizations through Apprenticeship Implementation:
At Geega Corpsol, we aim to support companies in growing through employee
development. Our solution focuses on resolving issues related to productivity,
attrition, wellbeing and skilling through apprenticeship training, ultimately
contributing to overall company growth.
We take full responsibility for handling all aspects of apprenticeship management,
including:

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 • Compliance
• Training
• End-to-end administration
Our streamlined process minimizes the employer's workload, limiting their
involvement to sharing monthly attendance records only. We take care of the rest,
ensuring a hassle-free experience for our employer partners.

[email protected] 9820793948/ 9408764363 www.geegacorpsol.com