The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has approved the Pradhan Mantri Kaushal Vikas Yojana (PMKVY) with an outlay of Rs.12000 crore to impart skilling to one crore people over the next four years (2016-2020). PMKVY will impart fresh training to 60 lakh youths and certify skills of 40 lakh persons acquired non-formally under the Recognition of Prior Learning (RPL). The target allocation between fresh trainings and RPL will be flexible and interchangeable depending on functional and operational requirements.
The Scheme, completely aligned to the Common Norms as notified earlier, would move to a grant based model where the training and assessment cost would be directly reimbursed to training providers and assessment bodies in accordance with the Common Norms.
In view of the recommendations of the sub group of Chief Ministers on Skill Development regarding the need to address the unique skill requirements of different States, State Governments would be involved through a project based approach under the PMKVY 2016-20 with 25% of the total training targets, both financial and physical, being allocated under this stream of the Scheme. The financial amount/budget for achieving 25% of the total training targets of next phase of PMKVY would be directly allocated to the States.
A project based approach for Non formal training for traditional jobs is also proposed. PMKVY will, in addition to catering to domestic skill needs, also focus on skill training aligned to international standards for overseas employment in Gulf countries, Europe and other overseas destinations. There will be scholarship for student undergoing training in high end job roles under the Scheme.