PM Internship Scheme: A Groundbreaking Initiative To Connect Education & Employment In India

The PM Internship Scheme aims to skill 10 million youth in five years, offering 12-month internships with top companies to bridge the gap between education and industry.

The Prime Minister's Internship Scheme is a breakthrough effort in giving the early employment sector a push. By providing structured internships that help to tie in academic learning with industry needs, the programme will help to bridge the gap between educational institutions and workplaces. Finance Minister Nirmala Sitharaman announced the scheme in her Budget speech on July 23, 2024. PMIS is being rolled out in two phases, aiming to train 10 million youth over a five-year period. The internships will last for 12 months, with at least half of the programme focusing on hands-on work experience.

Educational institutes and skill development providers have strongly supported this initiative, as they look at it as an effective way to prepare students for full-time jobs by offering them practical experience and skill set through this internship. Industry leaders believe the programme will improve graduate employability and help businesses secure a skilled, job-ready and adaptable workforce.

Speaking on the takeaways from this internship, Anish Srikrishna, CEO TimesPro said "As the Prime Minister's Internship Scheme sets an ambitious target of reaching 10 million youth over the next five years, it stands as a pioneering move to create unparalleled internship opportunities within the top 500 organisations spanning over 20 sectors. Incentivised by the Government, this opportunity provides students and graduates with access to enriching experiences with top organisations, cultivating a workforce equipped with industry-relevant and employable skills”

Srikrishna adds “Not only does this address the requirements of a burgeoning workforce, but it also positions India on the path to becoming the ‘Skill Capital of the World’. By fostering innovation, mentorship and entrepreneurship, this initiative is poised to develop a skilled, agile workforce and play an integral role in generating job opportunities across diverse sectors."

Preparing Interns For Professional Roles

One of the major goals of the PM Internship Scheme is to make sure that the interns are ready to shift to full-time jobs. The scheme will offer 125,000 internships across 24 sectors in 2024-25, with a budget of Rs800 crore.

While sharing his perspective, Mr. Sachin Jain, Country Manager at ETS India and South Asia, highlighted the importance of this initiative: "The PM Internship Scheme is a major step towards empowering young Indians by providing practical experience in various industries such as oil, hospitality, and banking. This exposure is invaluable for their career development." He adds, "Aiming to skill 10 million young Indians in five years, the programme addresses the critical need for job training and will have a long-lasting impact on the country's economy and society. The inclusion of financial support, including a Rs5,000 stipend and a Rs6,000 joining grant, enhances the programme's accessibility and ensures all interns are supported”

PMIS aims to close the skills gap for young Indians aged 21-24 by providing hands-on work experience in collaboration with 193 companies, including major industry players like Jubilant Foodworks, Maruti Suzuki, and Reliance Industries. Backed by CSR funding from leading Indian corporations, the programme ensures financial and insurance benefits for all participants, with the ambitious goal of skilling 10 million youth over five years.

Impact On India's Workforce

According to a research gate 2022 study - Impact of Internship on the Employability Skills of Students at University Level, there is a direct relationship between interning and developing employable skill set. 

Mr. Krishan Mishra, CEO, FPSB India stated that “The PM's Internship Scheme will empower young professionals from diverse backgrounds to translate their academic learnings into real-world skills, particularly within industries like personal finance that demand both technical knowledge and interpersonal competencies. By working alongside seasoned professionals, interns will gain hands-on experience in critical areas such as financial planning, client relationship management, and ethical practices—skills essential for a successful career in personal finance.”

Mishra further added that “this exposure not only enhances their employability but also instils confidence and professionalism, which are vital in fostering client trust and building a sustainable financial advisory practice. FPSB India is optimistic about this initiative’s potential to cultivate a workforce ready to address India’s growing need for informed financial guidance, ensuring a future generation of advisors who are both skilled and dedicated to helping individuals achieve financial well-being."

Echoing a similar sentiment Sachin Jain from ETS further added “this initiative is a remarkable effort to bridge the gap between education and industry. By emphasizing practical skills and reaching a broad base, it promises to create a skilled workforce that drives India's economic growth and resilience across sectors. ETS is committed to supporting the successful implementation of this initiative."

As many as 6.5 lakh youth had applied for internships under the PM Internship Scheme in Top Companies (Scheme) pilot project as of last week, when the window closed for the 1.27 lakh opportunities initially being offered by Corporate India under the scheme.

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