81 Per Cent Companies Back PM Internship Scheme, Finding Youths With Appropriate Skill Set Remains Challenge: Survey

With the Centre considering the expansion of the Prime Minister Internship Scheme, a recent survey by Teamlease Edtech has revealed that 81 per cent of companies back the initiative. However, only 70 per cent are willing to absorb up to 10 per cent of their interns as full-time employees.

The pilot project of the scheme was launched recently, with the government aiming to skill 1 crore youth in India’s top companies over five years.

The programme offers 12 months of exposure to real-world business environments, diverse professions, and employment opportunities.

The scheme, announced by Union Finance Minister Nirmala Sitharaman during her July 2023 budget speech, aims to provide 1.25 lakh internship opportunities by March 2025.

The Ministry of Corporate Affairs (MCA) is expected to finalise a list of 500 companies eligible to participate, based on their average Corporate Social Responsibility (CSR) expenditure over the last three years.

While the scheme has garnered widespread support, challenges remain. Around 38 per cent of surveyed companies flagged difficulties in finding interns with the appropriate skill sets to meet organisational needs.

The survey also highlighted that 76 per cent of companies prioritise tech roles within their internship programmes, reflecting the growing emphasis on digitally skilled talent.

Furthermore, 73 per cent of respondents considered one to six months as the optimal internship duration to balance meaningful skill development with efficiency.

Budgetary support from companies is also noteworthy, with over one-third willing to allocate up to 20 per cent of their CSR funds towards internship programmes. These funds would be reallocated from other sustainable development goals to support the scheme.

The government is evaluating tweaks to the scheme based on insights from the pilot programme, with plans to seek Cabinet approval for a full-scale rollout.

The survey noted that 81 per cent of companies support extending the PM Internship Scheme to all companies, "recognising it as a vital step to align CSR initiatives with enhancing employability and preparing a future-ready workforce.”