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Pradhan Mantri Kaushal Vikas Yojana (PMKVY) 2.0 (2016 – 2020) new guidelines:

1. Background
1.1 Currently, only a very small proportion of India’s workforce has any formal skill training. Not surprisingly therefore several sectors of the country’s economy face shortage of skilled people and are mired with low productivity levels due to poor quality of workforce. At the same time, large sections of the country’s youth are looking for economic and livelihood opportunities. In this context, skill development has become a key priority area for the country. This is not only essential for economic development, but would help to fulfil youth aspirations for good quality, better paid jobs and self-employment opportunities. This would also enable the country to take advantage of its favorable demographic profile. With a large pool of skilled people, India has an opportunity to become a skill provider for the world, particularly the ageing developed world.
1.2 Pradhan Mantri Kaushal Vikas Yojana (2016 – 2020) is a modified and an improved version of “PMKVY 2015 – 2016”. It is the flagship outcome-based Skill Training Scheme of the Ministry of Skill Development & Entrepreneurship (MSDE). This Skill Certification Scheme aims to enable and mobilize a large number of Indian youth to take up skill training and become employable and earn their livelihood.
1.3 The Scheme shall be aligned to the “Common Norms” approved by the Common Norm Committee and notified by MSDE. It will ensure an equitable spread of opportunities in Skill Training so that the youth in all parts of the country can be benefitted. This will boost the productivity of the country’s workforce by enabling them to acquire high quality skill training across a range of sectors. It also seeks to significantly scale up skill training activities at a faster pace without compromising on quality.
1.4 Institutions comprising of the National Skill Development Corporation (NSDC), Sector Skill Councils (SSCs), Assessment Agencies (AAs) and Training Partners (TPs) are already in place for implementation of the Scheme and more may be added during the course of the Scheme.
2. Objectives
The objective of this Scheme is to encourage and promote Skill Development for the youth throughout the country by aligning itself with the “Common Norms” guidelines. The scheme also needs to be aligned to complement all other Missions of the Government like Make in India, Digital India, Swachh Bharat, and Smart Cities. Specifically, the Scheme aims to:
· Enable and mobilize a large number youth to take up industry designed quality skill training, become employable and earn their livelihood
· Increase productivity of the existing workforce, and align skill training with the actual needs of the country
· Encourage standardization of the Certification process and put in place the foundation for creating a registry of skills
· Benefit 10 million youth over the period of 4 years (2016 – 2020)
3. Strategy and Approach
i. The Scheme will provide payouts to the Training Partners (TPs) in alignment with the Common Norms for successful completion of skill training and certification to approximately 10 million youth in a span of four years from the date of implementation of the Scheme
ii. This Scheme shall be implemented through Public-Private and Public-Public partnerships
iii. NSDC will be the implementing agency for this Scheme. It is proposed to also involve the State Governments through a project based approach under PMKVY 2.0. The same will have separate guideline document
iv. Assessment Agencies and Training Partners for all purposes of the Scheme will be separate and no overlap of roles will be permitted to maintain transparency and objectivity
v. Trainings shall be provided only at the approved Centres as defined in clause 4.3 with exception for Special areas
vi. Centres will ensure standardized and approved branding norms as defined in the Branding Guidelines of the scheme
vii. Biometric Devices for capturing student and trainers’ attendance (Aadhaar enabled) shall be mandatory at the PMKVY Centres
viii. The payouts will be affected through bank transfer to the Beneficiaries’ and Training Partners’ accounts as applicable under the Common Norms
ix. Definitions of terms and expansions of acronyms used in this document are listed in Annexure 1
4. Key features
4.1 Common Norms
The Scheme will align with the Common Norms as notified and amended from time to time.
Exceptions (if any) shall be as per the Common Norms. Amendments in the Common Norms would be effective from the approval of subsequent Steering Committee meeting.
4.2 Payout Mechanism
The training cost for the candidates will be directly transferred to Training Partners (TPs) as defined in clause 7.2. Assessment fee shall be provided to the Sector Skill Councils (SSCs) in accordance with the Common Norms. However, the disbursement of training cost to Training Partners will be linked to Aadhaar validation of candidates. Biometric devices at the Training Centre will be mandatory.
4.3 Centre Accreditation and Affiliation
All the centres will be required to undergo the centre accreditation and affiliation process as defined in SOP Document – Centre Accreditation and Affiliation Guidelines.
4.4 Target Allocation
The targets may be assigned to the Training Centres on a long term basis with a provision for periodic review. The target allocation would be based on the Grades assigned to the TC by the centre accreditation and affiliation committee. The grading is linked to quality of training, infrastructure availability, training capacity, past performance, geographical location and other relevant parameters as approved by the Steering Committee from time to time. However, there may be relaxations for special areas. The skill gap findings at the State and the District level shall be given due weightage while allocating the targets. The methodology for allocation may change depending upon Scheme requirements from time to time. Detailed guidelines can be referred from Annexure 2.
4.5 Mobilization
Training Centres shall conduct various out-reach campaigns across the districts in which they are located. The out-reach campaign may comprise of a combination of door to door visits, mobile vans and interaction with community based groups and local leadership. All out-reach efforts are to target school drop-outs and undergraduate college drop-outs. Mass enrollment of students shall not be allowed under the scheme. Kaushal Melas should be conducted in coordination with State/Local representatives at least once every 6 months in accordance to the Mobilization Guidelines. Training centres are to ensure that their mobilization efforts are visible on Print, Outdoor and Digital Media platforms in accordance to the Branding Guidelines.
4.6 Training and Curriculum
Training would be imparted as per National Skill Qualification Framework (NSQF). The model curriculum and content for the respective Qualification Packs (QPs) developed by SSCs and approved by NSDC shall be used. The training hours will be as per the Qualification File approved under NSQC. It is mandatory for the students to maintain 80% of attendance to be eligible to appear in the assessments. As per the approved model curriculum candidates would also undergo entrepreneurship, financial and digital literacy modules during their trainings.
SSCs are mandated to conduct Training of Trainers (TOT) for certification of trainers. System of recording the trainee and trainer’s attendance through ‘Biometric Attendance’ system would be made mandatory. All trainings shall be imparted by SSC approved Trainers who have completed the TOT Program. All the students have to be provided the course curriculum booklet along with the induction kit.
4.7 Assessments and Certifications
Assessment Agencies will be empaneled by the SSCs or the successor National Board for Skill Certification. Detailed assessment criteria will be finalized by the SSC and the same will include assessor profile, technology enabled assessments, past performance of the Assessment Agency and other suitable criteria. Aadhaar number is mandatory for all the Assessors and they will be required to present a suitable ID (preferably Aadhaar and an additional photo ID) at the time of assessments. Video recordings of assessments will also be promoted.
A central repository for all the certificates will be created. Every certified candidate will be mapped to Pradhan Mantri Suraksha Bima Yojana (PMSBY). Candidates will have the insurance clause mentioned on their respective PMKVY certificates. Training Partners would be responsible for paying the insurance fee for every enrolled candidate in their respective batch.
4.8 Branding and Communication
Training Centres should adhere to the Branding and Communication guidelines as mentioned in SOP Document – Branding Guidelines. Any deviation from the norms will be dealt with as per the monitoring framework of the scheme.
4.9 Re-Assessment of Candidates
A failed or an absent candidate may undergo re-assessments during the entire length of scheme. The training partner will pay the re-assessment fees upfront to the respective SSC. Training Partner can also encourage the failed candidates to go for certificate under Recognition of Prior Learning.
4.10 Mentorship and Placements
Training Centres will be required to have mentorship cum placement cells. There is also a provision to provide Post – Placement Support to candidates from Special Areas, Women and Persons with Disability. Training Partners are encouraged to organize ‘Placement/Job Melas’ with support from the SSCs. Outcome of skill trainings will be as defined in the common norms. Placement is a critical objective in PMKVY. SSCs should coordinate to develop better placement linkages, on board corporates and other local connects to facilitate placements.
4.11 Monitoring
Rigorous continuous Monitoring system linked to a Consequence Management Framework will be applicable to ensure adherence to quality standards and guidelines of the scheme. A third party agency would undertake continuous monitoring of all TCs. Training Centres, Assessments, and Assessors will be monitored throughout the Scheme’s tenure. Detailed Monitoring framework can be referred in SOP Document.

Franchising arrangements:
Each training partner would be responsible for its entire franchisee network and the infrastructure of training centres. PMKVY aspires to build quality centres and thus discourage franchising arrangements.
Only first level of franchising is permitted under PMKVY however Franchisee centres are subject to approval from Centre Accreditation and Affiliation Committee. The first level of franchising is defined as an agreement between a Franchisee and a Franchisor where a Franchisee does not enter into an arrangement with another party to sublet its training targets. Suitable amount of due diligence must be done by Franchisee and Franchisor before entering into any arrangement. A legal agreement must govern Franchise and Franchisor arrangement. NSDC shall not interfere in operational or personal disputes arising as a result of conflict between the two parties however Training Partner is supposed to produce the legal agreement with relevant supporting to NSDC in the specified format as and when requested for.
5.2 Training Centres
To conduct trainings under PMKVY, centres have to be accredited and affiliated as per guidelines defined in SOP Document – Centre Accreditation and Affiliation Guidelines.
Training centre has to ensure the attendance records are maintained and are filed for review purposes at all times. Assessor will verify the attendance records before conducting the assessments for the batch.
Training Centre shall also have to facilitate opening of Jan Dhan Bank accounts for the candidates who do not have the bank accounts.
6. Target Beneficiaries
In line with the objectives stated above, this Scheme is applicable to any candidate of Indian nationality who:
a) Unemployed youth, school/college dropouts, and
b) Possesses an Aadhaar Card and a Bank account
c) Verifiable Alternate ID like PAN or Voter ID (applicable only for the states of North East Region and J&K – Additional IDs may be added from time to time)
d) Any other criteria as defined by the Sector Skill Councils for the respective job roles
e) In case of corporates or factory premises, candidates cannot be their own employees or daily wagers
7. Monetary Payouts
PMKVY will follow complete transparent funding of skill training without any intermediaries and payouts directly transferred to the stakeholders’ account.

Payouts will be directly transferred to the Training Partner’s bank account as per the below milestones:

1-On Commencement of Training Batch against validated candidates- 30%

2- On successful certification of the trainees- 50%

3- Outcome based on placements- 20%

7.1 Base Costs
The per candidate base costs for different Sectors will be either Rs. 28.9 or Rs. 34.7 or Rs. 40.4 as per the trainings in various job roles/sectors defined in 3 different categories. These 3 categories would be defined in the SOP Document – Per hour Base Costs for trades/sectors.
Costs will be updated as per the Common Norms in case of any changes.

 The amount disbursed to the Training Partner against a dropped or failed candidates in first tranche shall be adjusted in subsequent tranches. Candidates may enroll second time in the same/different course in the Scheme but the payout for such candidates shall only be given for a maximum of two courses provided that there is a six month gap between the certification date of the first course and batch start date of the subsequent course. Annual reconciliation of pay-outs disbursed against each candidate certified and placed by Training Partner shall be undertaken before disbursal of the final tranche. Any excessive payment shall be adjusted and released or recovered from the Training Partner.
Special provision for concession in the placement conditions under Agriculture sector, Handicraft sector and related job roles would be made under PMKVY.