The Government of India has significantly raised the bar for the Prime Minister Internship Scheme (PMIS), targeting 700,000 internships for FY26—a nearly sixfold increase over the previous year’s goal of 125,000.
Despite the lukewarm response to the pilot phase, Ministry of Corporate Affairs (MCA) is confident that policy changes and strategic tweaks will help meet the target.
Pilot Phase Highlights Gaps
Launched in December 2024, the pilot round of PMIS saw over 127,000 internship opportunities offered by partner companies.
However, actual participation remained low, with only 28,141 candidates accepting offers from the 82,077 made.
The response prompted the MCA to extend registration deadlines and rework its strategy to address issues like location constraints and low stipends.
Tweaks to Improve Uptake
To boost the scheme’s attractiveness, the government is implementing several reforms. These include:
- Year-round hiring flexibility for companies.
- Geo-tagged opportunities to enable interns to work closer to home.
- Streamlined eligibility norms to expand the candidate pool.
A key barrier identified was the reluctance to relocate for low-paying internships. The scheme currently offers Rs 5,000 per month as a stipend, with a one-time allowance of Rs 6,000.
Second Round and FY26 Plans
The second round of internships for FY25 is ongoing, with 118,000 opportunities offered. Officials expect around 50% final intake, which still falls short of the FY25 goal.
Nevertheless, the government remains optimistic, citing a registered base of over 600,000 candidates on the PMIS portal.
With an allocated budget of Rs 10,831 crore for FY26, the MCA is looking to create a more robust framework to support its ambitious targets.
A proposal is under consideration to allow companies to hire interns based on real-time needs, rather than following a pre-set schedule.
Experts Recommend Structural Changes
According to Nipun Sharma, CEO of TeamLease Degree Apprenticeship, issues such as role mismatch and limited corporate participation need urgent attention.
He recommends integrating internships into undergraduate education via the National Education Policy (NEP) and expanding the scope to include companies under CSR obligations, not just the top 500.
Conclusion
The PM Internship Scheme holds promise for skilling India’s youth, but its success will depend on effective implementation, corporate collaboration, and policy alignment with student expectations and regional realities.
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