Stipends paid to apprentices are higher than minimum wages doled out across many sectors, according to a report. The median stipend is around 41 per cent higher than the applicable minimum wages in the majority of the sectors and cities, as per TeamLease Skills University. Further, as per the study apprentices who are under the Other Employability Schemes (OEES) received a higher stipend (7.66 per cent higher) than the stipend paid under the Apprenticeship Act.
The findings are based on an analysis of data pertaining to more than two lakh apprentices. “With a stipend that is 159 per cent higher than the minimum wages, Maharashtra topped the list as the highest paying state. Amongst sectors Construction and Real Estate (125 per cent), IT & ITeS (122 per cent), FMCG (110 per cent) and Automotive (82 per cent) were the top paying sector for apprentices,” the report said.
Besides, stipends increase in proportion with the educational qualification. “Manufacturing and Services sectors both pay fairly high stipends in the average range of Rs 9,000 – 10,000 per month,” it noted.
The report highlighted large businesses paid significantly higher stipends — 12 to 34 per cent — than others, while the difference in stipends between medium and small businesses is not very significant.
It also mentioned the candidate’s expectations are significantly higher than stipends paid by employers. Comparing the top 5 metro cities, candidates from Delhi expect the most stipend (Rs 15,500) however, the market offers Rs 9,033 followed by Bangalore, Mumbai, Chennai and Hyderabad.
Kolkata and Delhi have the highest percentage of candidates (around 80 per cent or more) willing to relocate to any city – hub or otherwise