PM Internship Scheme (PMIS) is undergoing a review by the Union Cabinet, with proposed tweaks aimed at improving its effectiveness and expanding participation.
The scheme, which was announced in the Union Budget 2024-25, aims to provide one crore internships over five years, bridging the gap between education and employment.
The government is preparing a Cabinet note to formalize the PM Internship Scheme as a long-term skilling initiative.
This follows two pilot phases, which provided key insights for refining the program.
The move comes as more companies beyond the top 500 express interest in joining the program, alongside industry chambers like CII and FICCI.
PM Internship Scheme: Pilot Phase Insights and Proposed Changes
The first pilot phase, conducted between October and December 2024, saw 1.27 lakh internship opportunities posted, with 82,000 offers made.
However, only 8,000 candidates accepted offers, prompting the government to adjust the scheme to improve participation.
The second pilot phase, launched in January 2025, expanded to 735 districts, with 327 companies posting internship opportunities.
To enhance accessibility, the government introduced geo-tagging, allowing candidates to see company locations upfront before applying.
Based on these experiences, the Cabinet is expected to approve several modifications, including:
- Expanding eligibility beyond the top 500 companies to include vendors and mid-sized firms.
- Providing clearer internship details, including stipend, location, and company profile.
- Allowing companies to hire interns throughout the year, rather than in staggered phases.
Financial Support and Industry Participation
Interns under the scheme receive a monthly stipend of ₹5,000, ensuring financial support during their internship.
The government funds ₹4,500, while companies contribute ₹500 through CSR funds to enhance industry participation.
Additionally, a one-time grant of ₹6,000 is provided for incidental expenses, and interns are covered under central insurance schemes.
The budget allocation for FY26 has been significantly increased to ₹10,831 crore, with a target of 15 lakh internships for the year.
Industry associations, including CII and FICCI, have expressed strong support for the PM Internship Scheme, emphasizing its potential for workforce development.
Delegations from these organizations met Finance Minister Nirmala Sitharaman to discuss scaling up industry participation and expanding the program’s reach.
Note: We are also on WhatsApp, LinkedIn, Google News, and YouTube, to get the latest news updates. Subscribe to our Channels. WhatsApp– Click Here, Google News– Click Here, YouTube – Click Here, and LinkedIn– Click Here.
