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Guidelines

Guidelines for Pradhan Mantri Koushal Vikas Yojana Scheme

The changing demographic profile of the country, with 54% of its population under 25 years of age, rising aspirations of the youth seeking better jobs, and growing expectations of employers for an efficient, well trained workforce have contributed to a focus on skill development in India. Recognising the urgency to reap the benefits of the demographic dividend and the need for coordinating skill development efforts in the country, Government of India notified the formation of Department of Skill Development and Entrepreneurship on 31st July, 2014 that became a full-fledged Ministry of Skill Development and Entrepreneurship (MSDE) on 9th Nov, 2014. MSDE is responsible for coordination with all concerned for developing an appropriate skill development framework, removal of disconnect between demand and supply of skilled manpower, mapping of existing skills, doing market research, devising training curriculum, industry-institute linkage, bringing PPP element in skilling, making broad policies for all other Ministries/Departments, framing policies for soft skills, computer education, academic equivalence of skill sets, work relating to Industrial Training Institutes (ITIs) and expansion of youth entrepreneurship education. The Ministry aims to Skill on a large Scale with Speed and high Standards in order to achieve the overarching vision of a 'Skilled India'. About NSDC


About NSDC

The National Skill Development Corporation India, (NSDC) is a one of its kind, Public Private Partnership in India. It aims to promote skill development by catalyzing creation of large, quality, for-profit vocational institutions. NSDC provides funding to build scalable, for-profit vocational training initiatives. Its mandate is also to enable support systems such as quality assurance, information systems and train the trainer academies either directly or through partnerships.

The objective of this Scheme is to encourage skill development for youth by providing monetary rewards for successful completion of approved training programs. Specifically, the Scheme aims to:

  • Encourage standardization in the certification process and initiate a process of creating a registry of skills.
  • Enable and mobilize a large number of Indian youth to take up skill training and become employable and earn their livelihood. Increase productivity of the existing workforce and align the training and certification to the needs of the country.
  • Provide Monetary Awards for Skill Certification to boost employability and productivity of youth by incentivizing them for skill trainings.
  • Reward candidates undergoing skill training by authorized institutions at an average monetary reward of Rs. 8,000 (Rupees Eight Thousand) per candidate.
  • Benefit 24 lakh youth at an approximate total cost of Rs. 1,500 Crores.

Currently, only a very small proportion of India’s workforce has any formal skill training. Not surprisingly therefore several sectors of the country’s economy face shortage of skilled people and are mired with low productivity levels due to poor quality of workforce. At the same time, large sections of the country’s youth are looking for economic and livelihood opportunities. In this context, skill development has become a key priority area for the country. This is not only essential for economic development, but would help to fulfil youth aspirations for good quality, better paid jobs and self-employment opportunities. This would also enable the country to take advantage of its favourable demographic profile. With a large pool of skilled people, India has an opportunity to become a skill provider for the world, particularly the ageing developed world.

Pradhan Mantri Kaushal Vikas Yojana (PMKVY) is the flagship outcome-based skill training scheme of the new Ministry of Skill Development & Entrepreneurship (MSDE). This skill certification and reward scheme aims to enable and mobilize a large number of Indian youth to take up skill training and become employable and earn their livelihood. Under the scheme, monetary reward would be provided to trainees who are successfully trained, assessed and certified in skill courses run by affiliated training providers. This will boost the productivity of the country’s workforce by enabling them to acquire high quality skill training across a range of sectors. It will also bring about a paradigm shift from input-based to outcome-based skill training in the country. It also seeks to significantly scale up skill training activities in the country and enable skill training to happen at a fast pace without compromising quality. Institutional arrangements comprising of the National Skill Development Corporation (NSDC), Sector Skill Councils (SSCs), Assessing agencies and Training Partners are already in place for implementation of the scheme.

Eligible Sectors, Job Roles and target allocation

Standards

Training will be done against standards (National Occupational Standards - NOS and Qualification Packs - QPs for specific job roles) formulated by industry-driven bodies, namely the Sector Skills Councils (SSCs).

Demand-driven targets

Based on assessment of skill demand and the ‘Skill Gap Studies’, target for skill training would be allocated to sector skill councils by NSDC in consultation with the SSCs, States/UTs and the Central Ministries/Departments under the oversight of the Steering Committee of PMKVY.

Target aligned to national flagship programmes and regions

Target for skill training would be aligned to the demand from the Central Government’s flagship programmes, such as - ‘Swachh Bharat’, ‘Make in India’, ‘Digital India’, ‘National Solar Mission’ and so on.

Eligible Providers

NSDC training partners undergo due diligence before being registered with NSDC. Government affiliated training centres and other training partners will be approved by the SSCs on the basis of guidelines issued by NSDC. Under PMKVY, even the government affiliated training providers will undergo due diligence as per the process manual. Each training partner would be responsible for its entire franchisee network and the infrastructure of training centers. The same will be part of the monitoring process. Only first level of franchising would be allowed but the same should be declared in advance.

Training Content (Improved curricula, better pedagogy and trained instructors)

While, the thrust would be on outcomes in terms of third party assessment/certification, training providers to focus on improved curricula, better technology enabled pedagogy and upgrading the capacity of instructors to enable the overall ecosystem for high quality skill training in the country. All skill training would include soft skill training, personal grooming, behavioural change for cleanliness, and good work ethics as a part of the training curricula.

Recognition of Prior Learning (RPL)

Under PMKVY, trainees with prior experience or skills and competencies will be assessed and they will also be given monetary rewards for undergoing assessments. This will be an important step towards recognising the skills possessed by workers working in the informal sector and their inclusion. This will also facilitate the process of skill upgradation and re-skilling of the existing workforce. The focus of RPL would be on those job-roles/sectors in which it is most desired and it will be accompanied with a strong advocacy campaign to promote a paradigm shift in the labour market to make skill training to standards aspirational.

Assessment and Certification

Third party assessments for skill training will be done based on national (and often) global standards. Under PMKVY, trainees with prior experience or skills and competencies will be assessed and they will also be given monetary rewards for undergoing assessments. This will be an important step towards recognising the skills possessed by workers working in the informal sector and their inclusion. This will also facilitate the process of skill upgradation and re-skilling of the existing workforce. The focus of RPL would be on those job-roles/sectors in which it is most desired.

Eligible Beneficiaries

In line with the objectives stated above, this Scheme is applicable to any candidate of Indian nationality who:

  • Undergoes a skill development training in an eligible sector by an eligible training provider as defined above.
  • Is certified during the span of one year from the date of launch of the scheme by approved assessment agencies as defined above.
  • Is availing of this monetary award for the first and only time during the operation of this Scheme.
  • Any other criteria as defined by the Sector Skill Councils for respective job roles
  • Monetary Reward

Reward Amount

Monetary reward for various job roles within a sector varies for different as per job role levels. This amount would be arrived at after taking various factors like cost of training, willingness of trainees for pay and other relevant factors into consideration. Higher incentives will be given to training in manufacturing, construction and plumbing sectors.

For Skills Training
NSQF Levels Manufac., Plumbing & Cons. Sectors Other sectors
Level 1 & 2 7500 5000
Level 3 & 4 10000 7500
Level 5 & 6 12500 10000
For Recognition of Prior Learning (RPL)
Manufac.,Plumbing & Cons. Sectors Other sectors
2500 2000



Direct Fund Transfer

PMKVY will follow complete transparent funding of skill training without any intermediaries with monetary rewards directly transferred to the trainee’s bank account. Aadhaar number will be used for unique identification of each candidate.

Evaluation and Monitoring

Skill Development Management System (SDMS) will be used as a central repository of all the data which can be utilized by the various stakeholders to monitor this scheme. SSCs will be tasked to ascertain the quality of training locations and courses through certified assessors. In addition, SSCs will be tasked with certifying all trainers for the Scheme. Audit checks and surprise visits to training centres will also be conducted to ensure enhanced monitoring.

Consequence Management System

To address the grievance of aggrieved stakeholders and mitigate the impeding factors of the scheme, PMKVY will have a ladder based Consequence Management System (CMS) in place. This will provide a speedy redressal to the problems faced by different stakeholders in a more structured manner. The approach, CMS for PMKVY will follow, is as given below:

  • Sector Skill Councils will form the first level of the system, who will establish a grievance committee to address complaints against their affiliated Training Partners and Assessment Agencies.
  • NSDC along with the PMKVY PMU will form the second level of the system, who will initiate action against cases of violation of Scheme guidelines, which remain unresolved and/or escalated by the first level.
  • Ministry of Skill Development and Entrepreneurship will form the preceding level of the system, who will provide resolution to highly critical issues and the ones that remain unresolved and/or escalated by the first two levels.