Good morning to all,

I am Subodh Mudgal, working as an HR Executive in a manufacturing company in Manesar, Gurgaon. We have to engage a trade apprentice (Welder) under the Apprentice Act 1961. I do not have any idea how much stipend should be given to an apprentice. Can anyone tell me how much stipend will be given to an apprentice? Please tell me in detail how many years he should be engaged for and the monthly stipend. Also, please inform me if there is any role of minimum wages in the payment of stipend.

From India, Delhi
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Hi there,

As far as giving a stipend is concerned, it completely depends on the company's policy and differs from company to company. In your case, if you want to align it with valid laws and acts, then you have to see the minimum limit for the same.

Goodbye,
Shivani

From India, New Delhi
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Dear Subodh,

Greetings!

I too agree with Shivani. It depends on the company policy, and the stipend will vary. In our organization, we are offering 4,800 for an Apprentice, and the employment period is one year.

Regards,
John N

From India, Madras
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Dear Subodh,

As far as salary or wage is concerned, it is purely at the discretion of the company policy. If it is not included in your scales, then we should refer to the Minimum Wages Act to determine and fix the salary/stipend.

Regards,
Sirisha

From India, Hyderabad
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Hi,

The stipend differs from company to company, and the training period is one year. You can determine the appropriate stipend by comparing it with the industry standard of your company or by referencing the Minimum Wages Act. However, the amount specified by the Minimum Wages Act is significantly low.

Regards,
Karuuna

From India, Mumbai
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Dear Subodh,

My advice to you is:

1. Read the Apprenticeship Act. You will learn many more aspects of engaging apprentices and compliances since it is a statutory obligation.

2. Meet the Apprenticeship Advisor of your region/area. In this manner, you will acquire all the knowledge in this regard.

Mohan.

From India
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Dear Subodh,

Regarding payment to apprentices under the Apprentice Act, 1961, Section 13 states that the employer must provide every apprentice with a stipend during the apprenticeship training. This stipend should be at a rate not lower than the prescribed minimum rate or the rate paid by the employer to the category of apprentices on January 1, 1970, whichever is higher. The specific stipend amount should be outlined in the apprenticeship contract and paid at the intervals and conditions specified by regulations.

Furthermore, it is emphasized that apprentices should not receive payment based on piecework or be compelled to participate in any output bonus or incentive schemes.

Thank you.

S. K. Moudgal
Email: sudhirkrmoudgal@yahoo.com
Phone: 9891992792

From India, Delhi
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Dear All,
Hope the following policy may guide you to take decision regardinhg 'Apprentice'.

XXXX PVT. LTD.
POLICY NO. : HR /
SUBJECT : POLICY ON APPRENTICE
APPLICABLE TO : ALL COMPANIES IN INDIA
COPY TO : CEO/FUNCTIONAL HEADS/REGIONAL VPs

GUIDELINES For APPRENTICESHIP CONTRACT

The policies below are guiding in nature. If there is a clash with statutory requirements, the statutory requirements shall take precedence.

A.1 Appointment
Appointment would be decided in consultation with Apprentice Adviser located under respective states/regions.

B.1 Duration
It is decided in consultation with Apprentice Advisor and ascertained by the Syllabus under which he has come for Training.

C.1 Remuneration
Not less than the amount that Circulated by the Region wise, concerned department.

D.1 Increment
As per the Circulation by the region wise respective department and in consultation with Apprentice advisor.

E.1 Duty Hours/Leave/Holidays
An apprentice shall be entitled to such leave/Holidays those are observed in our establishment in which he is undergoing training. Like, as he/she comes from ITI and works with Operator, will be eligible to get CL-7 & PL-20 as follows.
Casual Leave (CL)
1.1.1 Apprentices are eligible for 7 days of casual leave in a year.
1.1.2 Whenever an Apprentice needs Casual Leave for attending any personal work, prior approval need to be obtained from his Supervisor in the leave application form. In case of an emergency, telephonic approval may also be obtained and leave application can be submitted later.
1.1.3 Casual Leave cannot be clubbed with any other type of leave.
1.1.4 Intervening holidays or Sundays will not be counted while availing Casual Leave. However, total absence from work should not exceed 5 days while availing the casual leave including intervening or suffixed/prefixed holidays like Sunday or festival holidays.
1.1.5 Casual leave cannot be accumulated and carried forward to the next year.
1.1.6 Leave taken in excess of 7 Casual Leaves per year will be adjusted against the Privileged Leave due to the Apprentice.


Privilege Leave (PL):
1.2.1 Privilege Leave is the leave, which is earned by the Apprentice while being trained with the company. In case any Apprentice is away from the work for a continuous period of 3 months (except for approved leave) due to whatever reasons, his entitlement for Privilege Leave (proportionately) would be decided in discussion with Apprentice Advisor.
1.2.2 Eligibility of Privilege Leave is 20 days in a year.
1.2.3 Privilege Leaves will be credited to the account of an Apprentice on 1st January for the Previous year worked. Apprentices joining in between the year the no of PL (days) will be calculated proportionately.
1.2.4 Privilege Leave can be availed by taking prior approval from Supervisor in the leave application form.
1.2.5 All intervening holidays including Sundays and National Holidays will be counted in Privilege Leave.
1.2.6 Sundays and Holidays prefixed or suffixed with Privilege Leave will not be counted.No Privilege Leave will be allowed to be carried forward to the next year in case same has not been availed by the Apprentice during the year.
1.2.7 In case of separation of Apprentice from the organization, effect on Privilege Leave will be decided in consultation with Apprentice Supervisor.
1.2.8 In case the Apprentice has exhausted all his Privilege Leave during the year, any further leave will be on in discussion with Apprentice Advisor & subject to prior approval.

And If an Apprentice comes from CTI/Graduate Institute and works with ‘Grade 3’ employees, will be eligible to get CL-7 & PL-24 where provision for granting leave is as per above.

E.2.1 The weekly and daily hours of work of an apprentice while undergoing practical training in a plant/workshop shall be such as may be prescribed by the Apprentice Advisor.

F.1 Uniform/Shoes/Rain Wear
No such facilities shall be granted under this arrangement.

G.1 Local Conveyance
No mode of transport will be provided to Apprentices for local conveyance from residence to plant/ office/depots etc. They need to make their own arrangement for coming and going from the plants/office/depots etc. However, if they make travel for the job advised by the SHVs’ and approval of Apprentice advisor, then reimbursement would be made after submission of tickets of bus/ trains etc. approved by Dept. Head. No Taxi/Auto fare would be considered until the Dept/Region Head approves the same.

H.1 Lunch
No such facilities will be provided.

I.1 Health & Safety
Plant In-charge/Depot In-charge/ Office In-charge will look after their safeness on Health at work place as per business concerned. No medical allowance would be considered. However, anything happen during working hours due to working circumstance, compensation would be provided as per Workmen Compensation Act.

J.1 Overtime / Compensatory Off
No apprentice shall be required or allowed to work overtime except with the approval of the Apprenticeship Adviser who shall not grant such approval unless he is satisfied that such overtime is in the interest of the training of the apprentice orpublic interest.If arise, that will be calculated as Twice rate of his regular compensation and proper reason should sent to HR by the respective Dept. Head under the approval of Region Head.

K.1 Business Travel
Shall try to avoid such circumstance where BT comes, i.e. required to stay in Hotels on Company work outside their work locations. If arise, with the approval of Apprentice advisor, maximum of Rs.450/- per night towards hotel charges

L.1 Bonus
No bonus will be provided.
M.1 Social Status
Every apprentice undergoing apprenticeship training in a designated trade in an establishment shall be a trainee and not a worker; and the provisions of any law with respect to labor shall not apply to or in relation to such apprentice.

N.1 Termination
Any termination of contract of Apprenticeship should be forwarded/ approved by the Apprentice Advisor.






ISSUED ON :
EFFECTIVE FROM :
REVISED NO : NIL
REVISION DATE : 2YEARS
ISSUED BY : HR
APPROVED BY :


Thanks.......

From Netherlands, Amsterdam
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