New Delhi [India], February 4 : Finance Minister Nirmala Sitharaman on Tuesday said that the Prime Minister Internship Scheme announced last year was not meant to provide jobs, instead it was to provide exposure and skill to the youth to make them job ready.
"The intent of the program itself is not to provide job, but to provide an exposure, and through the internship, and kind of awareness of what is there in the market for which they have to be trained," the finance minister told Rajya Sabha, responding to a question during the Question Hour.
She clarified and said that internship is different from employment, and explained the details of PM internship scheme.
She asserted that the government wanted to allow youth to get an internship or exposure in the top 500 companies.
"With the exposure and the internship having been completed, they would be better placed to seek jobs," she added.
In the budget of July 2024, the BJP-led NDA government has announced five different kinds of approaches for a Viksit Bharat. Among those was measures for promotion of manufacturing and services through internship.
The government announced launching a comprehensive scheme for providing internship opportunities in 500 top companies to 1 crore youth over 5 years.
They will gain exposure for 12 months to real-life business environments, varied professions and employment opportunities.
An internship allowance of Rs 5,000 per month along with a one-time assistance of Rs 6,000 are being provided. Companies will be expected to bear the training cost and 10 per cent of the internship cost from their CSR funds.
The internship programme was meant for people who, till then, couldn't find an opportunity because either they were not skilled enough, or they were not trained enough.
Asked by another member why the targeted number of internships were not provided in certain regions and what has the government planned to fix this, she said it is up to the interns where they wish to opt for an internship.
"People, candidates, potential candidates, were asked to apply, and from then on, they are provided the opportunity to choose where within that district...if the opportunity is available within the district, and if they prefer to be there, they take it, or else they move to some other district where they want to go," she explained.
Sitharaman said some companies are also giving more than the internship allowance
"Some are providing them accommodation if they come from a different district, although that is not part of the tailored scheme. Companies themselves have come forward. So when the candidates get to know they also want to change or move to a company which is giving them (more)," she said.
The first internship pilot started last year itself. The second pilot commenced from January this year.
"Nearly 80 more companies have come with more offers...So it's an evolving situation, and I'm glad, within the four months, first four months of after announcing the July budget, we have this kind of response," she said.