MSDE invites public comments on amendments in Apprentices Act, 1961 (amended upto 2014)


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. Ministry of Skill Development and Entrepreneurship (MSDE) is the administrative ministry responsible for implementation of the Act. The Apprentices Act, 1961 was amended in 2014.

Amendments to the Apprenticeship Act 1961: To view the details of the sections that were amended, refer to the document here.

With an aim to achieve the desired growth rate and to meet the skill manpower requirement as a result of dynamic expansion being witness in the current scenario, MSDE has taken various initiatives to sensitize the need and importance of engaging apprentices among all establishments. Further, to boost apprentices’ engagement across establishments’ series of reforms have been introduced facilitating the ease of doing business.

In view of the above, the Ministry of Skill Development and Entrepreneurship (MSDE) invites comments/inputs/suggestions in writing, on amendment in Apprentices Act, 1961 (amended upto 2014) with an objective to simplify the engagement of apprentices in establishments.

The suggestions should be addressed to the Joint Director, Ministry of Skill Development and Entrepreneurship, 2nd Floor, PTI Building, Sansad Marg, New Delhi, India (email: before 12th November 2020.

MSDE invites public comments on amendments in Apprentices Act, 1961 (amended upto 2014)

The need to review the Apprenticeship Act of 1961 assumes greater importance considering that fact that Indian industry is yet to adopt apprentices on a large scale.

The key amendments in Apprentices Act 1961 (amended in year 2014 & 2015) are as below: (source : Apprenticeships FAQs)

  • A band from 2.5% to 10% of total strength of establishment has been introduced as a responsibility of the employer to engage apprentices in his establishment instead of a fixed % earlier.
  • The employers have been given the liberty to run industry driven “Optional Trades” for apprentices instead of only the “Designated Trades” notified by the Govt of India under the Act
  • The scope has been extended to include non-engineering pass-outs. Outsourcing of basic training component of the Apprenticeship program (which can be about 20-25% of the entire duration of the program) has been permitted to an institute of the employer’s choice.
  • Penalty in the form of fine has been provided for noncompliance of provisions of the Act-the provision for imprisonment has been removed
  • The entire process of searching & contracting the apprenticeships and submission of returns & other information and reimbursement of GOIs contribution towards the stipend in a time bound manner has been online.
  • Duration of Apprenticeship (including basic training) is between 6-24 months for Optional Trade and 6-36 months for Designated Trade at the discretion of an establishment.

Also read:NSDC and Microsoft to empower 1 lakh underserved young women with digital skills

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