Synopsis
India's apprenticeship landscape is experiencing significant growth, achieving a record-high Net Apprenticeship Outlook of 76% in Q1 2024-25. This highlights a shift in employer attitudes, recognizing the strategic benefits of apprenticeships in workforce transformation and skills development, according to a recent report.Key Takeaways
- India's NAO reaches 76% in Q1 2024-25.
- 8% increase from the previous quarter.
- Large enterprises lead apprenticeship growth.
- Government initiatives support apprenticeship programs.
- 75% of organizations hire apprentices permanently.
New Delhi, Feb 11 (NationPress) With skilling becoming a national imperative, India’s apprenticeship landscape is experiencing remarkable growth, reaffirming its significance as a crucial element in workforce transformation, as detailed in a report released on Tuesday.
India recorded an all-time high Net Apprenticeship Outlook (NAO) of 76 percent during Q1 2024-25 (Jan-Mar), representing an 8 percent increase from the prior Oct-Dec 2023-24 period, according to the report by TeamLease Degree Apprenticeship, a firm dedicated to developing a skilled entry-level workforce.
This extraordinary growth in NAO indicates a pivotal change in employer attitudes, with companies increasingly viewing apprenticeships as a strategic approach for talent acquisition, cost-effective hiring, and promoting industry sustainability.
“The surge in apprenticeships is fueled by strategic workforce planning, cost-efficient hiring, and an emphasis on increasing gender diversity,” stated Sumit Kumar, Chief Strategy Officer at TeamLease Degree Apprenticeship.
The movement is primarily driven by large companies (85 percent, up from 77 percent) and medium enterprises (77 percent, up from 71 percent), with all business categories witnessing growth in apprenticeship uptake.
Moreover, “government initiatives like Make in India, the Production Linked Incentive (PLI) schemes, and enhanced collaboration between academia and industry have catalyzed this growth, allowing employers to realize the business advantages of apprenticeships in addressing skill shortages, enhancing productivity, and optimizing long-term workforce expenses,” Kumar added.
The report highlighted that this record growth is attributed to the increasing importance of sunrise industries, which are leading a new phase of workforce development.
The drone sector is at the forefront with an astounding 86 percent NAO, followed closely by the EV and mobility sector with a strong 75 percent NAO.
Additionally, Global Capability Centers (GCCs), with a 79 percent NAO, are also utilizing apprenticeships to strengthen their talent pools and enhance operational efficiency in the global business arena.
The report indicates that cities like Hyderabad, Nagpur, Chennai, Indore, Pune, and Bengaluru are emerging as leaders, establishing new standards for apprenticeship engagement.
About 75 percent of organizations are now consistently transitioning apprentices into permanent positions after training, recognizing the success of structured skilling programs in developing a workforce ready for employment.
Furthermore, “the growing emphasis on women's involvement in industries such as solar and semiconductors signifies a positive shift towards a more inclusive workforce,” Kumar noted.
