Bridging India's skills gap: National Apprenticeship Promotion Scheme faces low corporate participation

Many of the millions of young Indians entering the job market every year have degrees, but little work exposure. Soon enough, they discover a gap between classroom learning and employer expectations. National Apprenticeship Promotion Scheme (NAPS), launched in 2016, was meant to bridge this gap. But corporate participation remains a hurdle. Industry data shows only about 30% of India Inc participates in apprenticeship programmes, mostly from a few large companies.

NITI Aayog's 2026 report says India's 15-29 age group will remain the world's largest, at nearly 345 mn, by 2036. But the pipeline leaks. Of 1.31 mn registrations in 2024-25, only 9,85,000 candidates were engaged, and just 2,51,000 completed training.

NAPS should be seen as more than a welfare scheme. It can be an economic unlocking tool. But barriers include low participation by MSMEs, startups and the informal sector. Only 10 states account for as much as 84% of apprentice engagements. Women are less likely to stay in the programmes. Companies often see apprentices as a cost - stipends, administrative work - rather than talent investment. Other countries show what is possible. In Germany, more than half of school leavers enter apprenticeships designed with trade chambers and companies.


India needs to make NAPS easier, especially for MSMEs. Industry consortia can help smaller firms take on apprentices. Travel allowances, housing and mentoring could help candidates, especially women, from aspirational and deserving districts enter and remain in the workforce. NAPS can't remain a compliance exercise. It directly connects education with employment. It's time to make companies see apprentices not as a short-term cost but as a long-term investment in workforce India will need.