The government on Friday launched is ambitious scheme to train about a million youth every year under the National Skill Certification and Monetary Reward Scheme.
A youth who has been trained by an accredited institution will be required to appear for a national skill test before getting a certificate and reward of Rs 10,000 from the government for getting skilled.
“It is a sort of subsidy for people who are able to get proper skills,” Planning Commission deputy chairperson Montek Singh Ahluwalia said at the launch of the scheme, called student training and assessment award (Star).
The government estimates to skill a million youth with an annual cost of Rs 1,000 crore. “I want to assure there will be no shortage of funds if more youth gets skills for employment in the industry,” Finance Minister P Chidambaram added.
The scheme will work under age aegis of the National Skill Development Council and 21 sector skill councils. The council has developed national occupational standards for certification of the skills to be provided by training institutes.
All institutions providing training for the state or the Central government will be part of the scheme. The new institutes will have to get themselves accredited with sector skill councils to avail the benefits. The training programmes would be at least 30 days and will include social skills like hygiene, health and communication.
The trained youth will have to appear for skill certification after pay a few of up to Rs 1,000 and Rs 1,500 for shop floor jobs. Once they clear the test they would be eligible for direct transfer of the reward money into their bank accounts. The reward for manufacturing courses is Rs 10,000 and Rs 15,000 and for other courses Rs 7,500 and Rs 10,000.
Rural Development minister Jairam Ramesh announced that an individual of a household which has completed 100 days of work under rural employment guarantee scheme will be sponsored for skill training. Around 8-10% of 4.5 crore households who got job under NREGA would be eligible for the skill training.
The UPA government has launched the national skill development mission in 2008. The scheme was slow to start because of wrangling between the HRD and Labour ministries. Things are set to change with Finance Ministry now in-charge to ensure that target to provide skills are met.