Dear Seniors,
We are a civil engineering company. We would like to take apprentices in survey and Lab operator trades. We had made an inquiry with the Apprentice office and were told that once we take up apprentices in a particular trade, then every year we have to compulsorily keep on filling up the vacancy.
Suppose I take 2 apprentices under the survey trade this year, and suppose my company closes down its survey wing and instead plans to take apprentices, say 2 in IT trade. In this case, we were advised by the Apprentice office that even if our survey requirement is no longer there as per the Act, we still have to take 2 apprentices from the survey trade and can assign them other work, in addition to the number of apprentices required in other trades.
We were also informed that we can only stop taking apprentices under this trade when the company shuts down its business. We had many debates on this aspect. We specifically asked them that if our company closes one operation and continues taking apprentices in other areas, where does the problem arise? However, the apprentice officer was quite adamant and advised us against pursuing apprenticeships.
One more thing I wanted to know was - are apprentices to be covered under PF and ESIC, and once we take on apprentices but in the future do not need them, can we stop taking them, or does it have to be continued?
To the best of my knowledge, only individuals from various ITI trades are considered apprentices, but I have come across a few appointment letters where diploma engineers are taken onboard as apprentices and provided a stipend. Is this practice possible?
From India, Bharuch
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18We are a civil engineering company. We would like to take apprentices in survey and Lab operator trades. We had made an inquiry with the Apprentice office and were told that once we take up apprentices in a particular trade, then every year we have to compulsorily keep on filling up the vacancy.
Suppose I take 2 apprentices under the survey trade this year, and suppose my company closes down its survey wing and instead plans to take apprentices, say 2 in IT trade. In this case, we were advised by the Apprentice office that even if our survey requirement is no longer there as per the Act, we still have to take 2 apprentices from the survey trade and can assign them other work, in addition to the number of apprentices required in other trades.
We were also informed that we can only stop taking apprentices under this trade when the company shuts down its business. We had many debates on this aspect. We specifically asked them that if our company closes one operation and continues taking apprentices in other areas, where does the problem arise? However, the apprentice officer was quite adamant and advised us against pursuing apprenticeships.
One more thing I wanted to know was - are apprentices to be covered under PF and ESIC, and once we take on apprentices but in the future do not need them, can we stop taking them, or does it have to be continued?
To the best of my knowledge, only individuals from various ITI trades are considered apprentices, but I have come across a few appointment letters where diploma engineers are taken onboard as apprentices and provided a stipend. Is this practice possible?
From India, Bharuch
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Engagement of an apprentice in any trade or business is governed by two statutes, namely the Apprentice Act and the IESO Act. Any person appointed as an apprentice through an Apprentice Agreement with an apprentice advisor, whether at the state or center (depending on the appropriate government), can be classified as an apprentice trainee under the Model Standing Order of any industrial establishment approved by the concerned authority.
Regarding the abolition of apprenticeship, based on my limited knowledge, the apprentice advisor is correct in stating that once an apprentice is hired in any trade, they should be hired every year. However, the claim of the apprentice advisor regarding continuity even for a trade that has been closed down appears to be incorrect. If a particular trade/business vertical has been closed down, how can the apprenticeship continue in that trade?
Regarding the applicability of the PF and ESI Act, it should be noted that PF is not applicable to apprentices/trainees hired under either the Apprentice Act or the Model Standing Order of that Establishment. In any other case, if the designation given is apprentice/trainee, the PF Act is applicable.
ESI is not applicable only to those apprentices/trainees hired under the Apprentice Act through an apprentice advisor. For apprentices/trainees hired under Model Standing Orders, the ESI Act shall be applicable (following an amendment in 2010 in the definition of an Employee).
Regarding the last question, yes, apprentices/trainees such as Graduate Engineer Trainees (GET) or Diploma Engineer Trainees (DET) are recognized by the central apprentice board/state apprentice board constituted under the Apprentice Act. A simple registration is required to engage GET/DET. These trainees should have qualifications as Graduate Engineers/Diploma Engineers, and the training period shall be one year (depending on successful training). All formalities under the Apprentice Act (apprentice agreement/record of training, etc.) need to be complied with. Such trainees shall be entitled to a stipend as notified by the government from time to time (even 50% of the stipend shall be reimbursable from the government). There is no ESI/PF applicability.
From India, Delhi
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Regarding the abolition of apprenticeship, based on my limited knowledge, the apprentice advisor is correct in stating that once an apprentice is hired in any trade, they should be hired every year. However, the claim of the apprentice advisor regarding continuity even for a trade that has been closed down appears to be incorrect. If a particular trade/business vertical has been closed down, how can the apprenticeship continue in that trade?
Regarding the applicability of the PF and ESI Act, it should be noted that PF is not applicable to apprentices/trainees hired under either the Apprentice Act or the Model Standing Order of that Establishment. In any other case, if the designation given is apprentice/trainee, the PF Act is applicable.
ESI is not applicable only to those apprentices/trainees hired under the Apprentice Act through an apprentice advisor. For apprentices/trainees hired under Model Standing Orders, the ESI Act shall be applicable (following an amendment in 2010 in the definition of an Employee).
Regarding the last question, yes, apprentices/trainees such as Graduate Engineer Trainees (GET) or Diploma Engineer Trainees (DET) are recognized by the central apprentice board/state apprentice board constituted under the Apprentice Act. A simple registration is required to engage GET/DET. These trainees should have qualifications as Graduate Engineers/Diploma Engineers, and the training period shall be one year (depending on successful training). All formalities under the Apprentice Act (apprentice agreement/record of training, etc.) need to be complied with. Such trainees shall be entitled to a stipend as notified by the government from time to time (even 50% of the stipend shall be reimbursable from the government). There is no ESI/PF applicability.
From India, Delhi
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