Financial Direct Assistance to Apprentices Through DBT
- 04 Jul 2022
- 5 min read
Why in News?
Recently, the Ministry of Skill Development and Entrepreneurship (MSDE) announced that the National Apprenticeship Promotion Plan (NAPS) would be a component of the Direct Benefit Transfer (DBT) scheme, providing all apprentices with direct government benefits.
What is National Apprenticeship Promotion Plan (NAPS)?
- NAPS was introduced in 2016, to promote apprenticeship training nationwide and provide financial support to organisations that offer apprenticeships.
- This helps apprenticeship programmes and brings Skill India's promise closer to realisation.
- The programme aims to encourage employers to take on apprentices and assist them in finding the proper work responsibilities while maximising their potential through in-depth skill development.
- Over 12 lakh apprentices are working in various industries as of right now.
- In the past, employers would pay apprentices the whole fee before requesting reimbursement from the government.
- With the introduction of the DBT programme, the government would immediately deposit its contribution—25 percent of the stipend payable up to Rs. 1500 per month—to apprentices' bank accounts through the National Skill Development Corporation (NSDC).
What are the Initiatives to Promote Apprenticeships?
What is Direct Benefit Transfer?
- DBT was introduced on 1st January 2013 with the main aim of improving the Government’s delivery system and redesigning the current procedure in welfare schemes by making the flow of funds and information faster, secure, and reduce the number of frauds.
- It's the process of directly transferring the subsidy amount and making other transfers directly into the account of beneficiaries rather than providing it to government offices.
- JAM i.e. Jan Dhan, Aadhaar and Mobile are DBT enablers and as on date more than 22 crore Jan Dhan Account, more than 100 crore Aadhaar and about 100 crore Mobile connections provide a unique opportunity to implement DBT in all welfare schemes across country including States & UTs.
- DBT will bring efficiency, effectiveness, transparency and accountability in the Government system and infuse confidence of citizen in the governance.
- Use of modern technology and IT tools will realize the dream of Maximum Governance Minimum Government.