NEW DELHI — With
skilling emerging as a national priority, India’s apprenticeship ecosystem is
witnessing unprecedented momentum, solidifying its role as a key driver of
workforce transformation, according to a report on Tuesday.
India achieved a record-high Net Apprenticeship Outlook
(NAO) of 76 per cent during Q1 2024-25 (Jan-Mar) -- an 8 per cent surge from
the previous Oct-Dec 2023-24 period, revealed the report by TeamLease Degree
Apprenticeship, a supply chain organisation that facilitates the creation of a
skilled entry-level workforce.
This historic rise in NAO signals a fundamental shift in
employer sentiment, with businesses increasingly recognising apprenticeships as
a strategic lever for talent acquisition, cost-effective hiring, and industry
sustainability.
“The rise in apprenticeships is driven by strategic
workforce planning, cost-efficient hiring, and a focus on enhancing gender
diversity,” said Sumit Kumar, Chief Strategy Officer at TeamLease Degree
Apprenticeship.
The trend is being led by large enterprises (85 per cent, up
from 77 per cent) and medium-sized businesses (77 per cent, up from 71 per
cent), and all categories of businesses are seeing a boost in apprenticeship
adoption.
Further, “government initiatives such as Make in India, the
Production Linked Incentive (PLI) schemes, and the rise in academia-industry
collaboration have accelerated this growth, enabling employers to recognise the
business benefits of apprenticeships in closing skill gaps, boosting productivity,
and optimizing long-term workforce costs,” Kumar said.
The report noted that the record-breaking growth is due to
the rising prominence of sunrise industries, which are spearheading a new era
of workforce development.
The drone industry leads the charge with an unparalleled 86
per cent NAO, closely followed by the EV and mobility sector with a robust 75
per cent NAO.
Meanwhile, Global Capability Centers (GCCs), with a 79 per
cent NAO, are also leveraging apprenticeships to fortify their talent pipelines
and drive operational excellence in the global business landscape.
The report noted that Hyderabad, Nagpur, Chennai, Indore,
Pune, and Bengaluru have emerged as frontrunners, setting new benchmarks for
apprenticeship engagement.
About 75 per cent of organisations are now consistently
absorbing apprentices into permanent roles post-training, acknowledging the
effectiveness of structured skilling programmes in building a job-ready
workforce.
In addition, “the increasing focus on women's participation
in sectors like solar and semiconductors signals positive change toward a more
inclusive workforce,” Kumar said.