Synopsis
India's apprenticeship landscape is experiencing a remarkable surge, achieving a record 76 percent Net Apprenticeship Outlook in early 2024. This growth is driven by strategic workforce planning, and government initiatives, and is paving the way for a more inclusive workforce, particularly in emerging industries.Key Takeaways
- India's NAO reached 76 percent in Q1 2024-25.
- Significant growth observed among large enterprises and medium-sized businesses.
- Government initiatives are accelerating apprenticeship adoption.
- Sunrise industries are key players in this growth.
- Around 75 percent of apprentices are offered permanent roles.
New Delhi, Feb 11 (NationPress) With skilling becoming a national priority, India's apprenticeship framework is experiencing remarkable growth, cementing its position as a significant catalyst for workforce change, as highlighted in a report released on Tuesday.
India has recorded a historic Net Apprenticeship Outlook (NAO) of 76 percent during Q1 2024-25 (Jan-Mar), marking an 8 percent increase from the previous Oct-Dec 2023-24 period, according to the report by TeamLease Degree Apprenticeship, a supply chain organization dedicated to developing a skilled entry-level workforce.
This notable elevation in NAO indicates a pivotal transformation in employer attitudes, with companies increasingly viewing apprenticeships as a strategic tool for talent acquisition, cost-effective hiring, and industry sustainability.
“The growth in apprenticeships is propelled by strategic workforce planning, cost-efficient hiring, and a commitment to enhancing gender diversity,” stated Sumit Kumar, Chief Strategy Officer at TeamLease Degree Apprenticeship.
The trend is primarily driven by large enterprises (85 percent, an increase from 77 percent) and medium-sized businesses (77 percent, up from 71 percent), with all business categories experiencing a rise in apprenticeship adoption.
Moreover, “government initiatives such as Make in India, the Production Linked Incentive (PLI) programs, and the growth in academia-industry collaboration have fueled this expansion, prompting employers to acknowledge the business advantages of apprenticeships in bridging skill shortages, enhancing productivity, and optimizing long-term workforce expenses,” Kumar added.
The report emphasized that this record-setting growth is attributed to the increasing prominence of sunrise industries, which are leading a new phase of workforce advancement.
The drone sector is at the forefront with an exceptional NAO of 86 percent, closely trailed by the EV and mobility industries, boasting a strong NAO of 75 percent.
Simultaneously, Global Capability Centers (GCCs) with a 79 percent NAO are also harnessing apprenticeships to strengthen their talent pipelines and enhance operational excellence within the global business realm.
The report identified Hyderabad, Nagpur, Chennai, Indore, Pune, and Bengaluru as leaders, establishing new standards for apprenticeship engagement.
Around 75 percent of organizations are now consistently integrating apprentices into permanent positions following their training, recognizing the effectiveness of structured skilling initiatives in cultivating a job-ready workforce.
Additionally, “the growing emphasis on women's involvement in fields such as solar and semiconductors signifies a positive shift toward a more inclusive workforce,” Kumar remarked.