The government is likely to release detailed operational guidelines for the internship scheme by the first week of September, a senior government official said.
The scheme, announced in the July Union Budget, aims to provide skill development opportunities to one crore youth over the next five years, with a focus on low and medium-skilled individuals. “The government will launch a comprehensive scheme to provide internship opportunities in the top 500 companies to one crore youths over five years. An internship allowance of Rs 5,000 will be provided per month, whereas one-time assistance of Rs 6,000 will be given,” Finance Minister Nirmala Sitharaman said in her Budget speech.
"We will come out with guidelines in two weeks. The guidelines will address how applicants can apply, the timeframes, the necessary information they need to provide, and how companies will select candidates," said the official. "If there are too many applicants, the guidelines will also cover the selection process. These are more operational guidelines with a focus on starting the scheme."
The internship programme allows companies to hire interns at a stipend of Rs 5,000 per month for up to a year. They are expected to bear the training cost and use 10 percent of the internship cost from their corporate social responsibility (CSR) funds. The scheme aims to foster a structured approach to skill development, particularly among young people who may not have access to higher education or advanced training.
"We are thinking of having an application-based system where people can apply through a portal, and companies can post their internship opportunities. These would then be allocated through a matchmaking process," the official explained. However, the development of the portal may take additional time beyond the release of the initial guidelines.
The official also highlighted that while the immediate focus is on launching the scheme, there may be subsequent efforts to measure its quality and effectiveness. "Corporates were on board in the discussions held," the official noted, indicating strong support from the private sector for the initiative.
Under the scheme, the youth will gain exposure for 12 months to real-life business environments, varied professions and employment opportunities.
The scheme is only applicable to those who are not employed or engaged in full-time education and are aged between 21 and 24 years.
Companies providing internships will need to select from shortlisting based on objective criteria with emphasis on those with lower employability. The participation of the companies is voluntary.
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