MSDE made significant reforms to the Apprentices Act 1961, making it easier for the industry to hire apprentices.

Apprenticeship Training is a course of training in any industry or establishment, undergone in pursuance of a contract of apprenticeship between employer and apprentices and under prescribed terms and conditions.

All establishments having workforce (regular and contract employees) of 30 or more are mandated to undertake Apprenticeship Programs in a range from 2.5% -15% of its workforce (including contractual employees) every year. For establishments having a workforce between 4-29 this is optional whereas establishments have a workforce of 3 or less are not permitted to engage apprentices.

Ministry of Skill Development and Entrepreneurship(MSDE), launched National Apprenticeship Promotion scheme (NAPS) on 19th August 2016 with the objective of:

• To promote apprenticeship training in the country.
• To provide financial support to establishments to undertake apprenticeship programs in the following ways:-
• i) To support establishments, (especially MSMEs) to engage apprentices under the Apprentices Act and pay stipend to them as per prescribed rates wherein under NAPS 25% of prescribed stipend subject to a maximum of Rs. 1500/- per month per apprentice is reimbursed to such establishments by the Government of India to engage apprentices.
• ii) To support the establishments, (especially MSMEs) per apprentice for a maximum of 500 hours is reimbursed to them (to be calculated @ Rs. 15/hour) /or to the Basic Training Provider engaged by them under NAPS by the Government of India.