PM Internship Scheme: Big Overhaul on the Cards? Here’s How the Proposed Changes Could Impact Students
PM Internship Scheme: Big Overhaul on the Cards? Here’s How the Proposed Changes Could Impact Students
Fresh discussions within the government signal that the Prime Minister’s Internship Scheme may soon undergo significant restructuring. Designed to bridge the gap between young talent and India’s corporate sector, the programme is now under review after receiving a weaker-than-expected response during its pilot phases. With possible revisions to its duration and structure, students across the country could see notable changes in how the scheme operates.
What Changes Are Being Considered?
Feedback and data gathered from the first two pilot phases have prompted authorities to rethink certain aspects of the scheme. Despite its ambitious goal of connecting youth with leading businesses, participation levels did not meet expectations. As a result, the government has initiated steps to refine the overall framework.
Currently, the scheme aims to provide 12 months of hands-on internship opportunities in the top 500 companies across the country. Youth between 21 and 24 years of age are eligible to apply. Selected candidates receive a monthly stipend of ₹5,000, along with a one-time financial assistance of ₹6,000. Applications are accepted through the official online portal.
However, adjustments to the duration and specific structural elements are reportedly being considered to make the programme more attractive and practical for participants.
Why Is a Revamp Necessary?
Statistics from the pilot rounds reveal a concerning trend. A large number of selected candidates either declined their internship offers or chose to exit midway. Out of all offers extended, only around 33% were accepted, and the actual joining rate stood at merely 6%.
Experts suggest that uncertainty surrounding several aspects of the programme may have contributed to the low engagement. Questions about the stipend amount, the year-long commitment, workplace locations, and clarity regarding future employment prospects appear to have discouraged many applicants.
Taking these factors into account, the Ministry of Corporate Affairs has submitted a proposal outlining suggested modifications to the Expenditure Finance Committee. The government is now considering relaunching the revised structure in a fresh pilot phase involving approximately one lakh trainees to test its effectiveness before a broader rollout.
Budget Allocation and Financial Adjustments
For the financial year 2025–26, an allocation of ₹10,800 crore was approved for the scheme. However, a substantial portion of these funds remained unused due to limited participation. Consequently, the allocation for the upcoming financial year 2026–27 has been reduced to ₹4,788 crore.
The updated proposal incorporating the recommended changes is expected to be presented before the Cabinet soon for formal approval.
