Based on the learning from the two pilot projects, the ministry of corporate affairs (MCA) will soon move a Cabinet note for a broader PM Internship Scheme (PMIS), government sources said on Friday. “The second pilot has made good progress. After factoring in the recent experiences, a Cabinet note will be prepared to implement the scheme over the next four years,” a source said.
In the second pilot, over 500 top companies and their vendors have hired interns with many of the participating companies adding extra incentives from their own pockets to attract more number of interns, the sources said. Under PMIS, an intern is provided with Rs 5,000 per month of stipend over a 12-month period in addition to a one-time allowance of Rs 6,000.
Earlier, the ministry of corporate affairs (MCA) had identified the unwillingness of candidates to relocate to other regions due to the “low stipend”. But with companies providing a “top-up” to the Rs 5,000 monthly stipend, the participation has gone up in the second pilot.
The Confederation of Indian Industry (CII) and the Federation of Indian Chambers of Commerce and Industry (FICCI) have expressed strong support for the scheme in their recent meetings with the finance minister Nirmala Sitharaman, the source said.
Last week, FE had reported that the government is making its best efforts to salvage the scheme which had received a weaker-than-expected response in the first pilot. The MCA has set a target of providing internships to 700,000 in the current financial year which is almost six times the goal for FY25, when the two pilots for the flagship scheme was launched.
To achieve the FY26 target, the MCA is evaluating various proposals, including giving an option to companies to hire candidates throughout the year, and expanding the scope to beyond top 500 companies. At the moment, the participating companies are hiring interns in phases staggered over a year. Through its dedicated portal, the ministry has built a database of over 600,000 candidates, and a modification could enable companies to hire these candidates as and when there’s a requirement.
MCA has already made some changes in the scheme to increase the uptake, including geo-tagging opportunities and streamlining eligibility norms. The geo-tagging allows candidates to opt for companies and units closer to their domiciles.
In the first round of the pilot project, about 8,000 candidates have joined companies for internships out of the total target of 125,000 for FY25. The PMIS aims to equip the country’s youth with modern-day skills and real-world work experience. The ambitious initiative is aimed at “providing 10 million young individuals with valuable internship opportunities over the next five years, allowing them to immerse themselves in diverse business environments and explore a variety of professions.”