Apprenticeship demand anticipates 70-80% surge within Auto-Sector, says TeamLease Degree Apprenticeship
India’s automobile sector is poised for substantial growth in apprentice recruitment, with expectations of an impressive surge ranging from 70% to 80%, according to TeamLease Degree Apprenticeship, the country’s premier privately-owned Degree Apprenticeship program. TeamLease has gathered this data through a careful assessment of industry relations and an in-depth understanding of the apprenticeship market’s demand dynamics. The anticipated boom in apprentice recruitment can be largely attributed to the sector’s robust performance, which is influenced by macroeconomic factors and positive industry sentiments across all its segments.
One significant factor contributing to this anticipated growth is the extension of the Production-Linked Incentive (PLI) scheme for the automotive sector. Originally scheduled to run from 2022-23 to 2027-28, this scheme’s extension promises to usher in a new era of growth and increased employment opportunities within the sector.
This encouraging trend is evident in various regions, including the states of Gujarat, Uttarakhand, Madhya Pradesh, and metropolitan cities like Pune, Chennai, and Bengaluru. To meet the evolving demands of this dynamic industry, there is a pressing need for comprehensive skilling and re-skilling initiatives, particularly to align with technological transformations such as EVs and connected-car technologies. In response to these challenges, degree-linked apprenticeships in the automotive sector are emerging as a solution, offering access to sought-after roles such as Automotive Service Technicians, Assembly Line Operators, and Shopfloor Engineers. These programs also provide competitive stipends ranging from INR 12,500 to INR 13,300 per month.
Sharing his views on this remarkable surge, Mr. Sumit Kumar, Chief Business Officer, TeamLease Degree Apprenticeship, said, “We believe that apprenticeship programs are the foundation of skilled talent development in the automotive industry. The extension of the PLI scheme, with its ₹25,938 crore investment, is a testament to the sector’s immense growth potential. The government’s expectation of creating 1.48 lakh fresh jobs is proof of the scheme’s potential impact. As of now, approximately 21,123 workers have already been employed, showcasing the industry’s rapid growth. However, this accelerated pace has also shed light on the skills gap within the sector.”
The extension reinforces India’s standing as a global manufacturing hub, especially in the field of electric vehicles (EVs). Notably, the ‘Component Champion Incentive Scheme,’ a part of the broader PLI scheme for the automobile sector, has attracted approximately 75 new entrants, including industry giants such as Maruti Suzuki, Hero MotoCorp, Bosch, Hero Cycles, Minda Corporation, and Toyota Kirloskar Auto Parts.
He further added, “Through degree apprenticeship program, young talents will be empowered with specialized knowledge in cutting-edge areas such as Electric Powertrain Technology, Battery Technology, and Electric Vehicle Charging Infrastructure. This hands-on experience equips them to excel in roles that are not only pivotal for the future of automotive manufacturing but also address the current industry demand. Thus, we are not only bridging the talent gap but also ensuring a brighter and more technologically advanced future for both the industry and its workforce.”
In addition, the shift towards alternate fuels within the automobile sector, including EVs and other sustainable technologies, is driving the need for talent with expertise in these areas. This further underscores the importance of apprenticeships in preparing the workforce for the future.
The industry’s increasing adoption of women apprenticeships signifies a strong commitment to fostering an inclusive workplace environment and advancing gender equality
Talent creation is one of the significant outcomes of degree-linked apprenticeships. By providing a structured pathway for skill development, these programs nurture a pipeline of talented individuals who are well-equipped to meet the demands of the industry. Employers benefit from a pool of skilled and trained workers who are ready to contribute effectively to the workforce.
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About TeamLease Degree Apprenticeship: TeamLease Degree Apprenticeship is India’s first- and largest-Degree Apprenticeship Programme offered through a public-private partnership with the TeamLease Skills University (TLSU), Ministry of Education, Ministry of Skill Development and Entrepreneurship, CII and NSDC. The company has hired about 600,000 apprentices with more than 1000 employers. About 98% of these apprentices have transitioned into formal employment and almost 40% have been employed in the same organization. Through its Degree Apprenticeship Program, TeamLease focuses on enhancing the employability quotient of the youth of our country and bridging the skill deficit. TeamLease Skills University (TLSU) is India’s first vocational skills university as well as India’s first NAAC-certified University that offers employment-oriented multi-level programs.
About TeamLease Services Pvt. Ltd. : TeamLease Services is one of India’s leading people supply chain companies offering a range of solutions to 3500+ employers for their hiring, productivity and scale challenges. A Fortune India 500 company listed on the NSE & BSE, TeamLease has hired 20 lakhs+ people over the last 20 years. One of India’s fastest growing employers, TeamLease also operates India’s first NAAC Accredited Skill University and India’s fastest growing PPP Degree Apprenticeship Program. The Company offers solutions to large, medium and small clients across the 3Es of Employment (over 2.9 lakhs associates/trainees), Employability (over 5 lakhs students) and Ease-of-doing Business (over 1000 employers). In FY2015, TeamLease rolled out DA (Degree Apprenticeship) to provide on-the-job training to apprentices.
