Central Apprenticeship Council (CAC)

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.

• 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.

• 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.