Guidelines for Third Party Agencies Ref. section 8(2) of the Act} At present 3.92 lakh seats are located tor trade apprentices in 28,500 establishments covered under the Act and out of which only 2.12 lakh seats are utilized in a year. Though large numbers of establishments in MSMEs sector are available their participation in implementation of apprenticeship training is not encouraging. The reasons behind are: non availability of all the training facilities as per prescribed curriculum with them, inability to hire instructional staff because of financial constraints, inadequacy of supporting staff to support activities involved with apprenticeship training such as maintaining contract of apprenticeship, sending various reports in regular interval etc. to apprenticeship advisers Keeping the above in view, it is proposed to support MSMEs and other establishments by providing the facility of Third Party Agency (TPA) and encourage MSMEs and other establishments engage —_ large number of youth under ATS. in for TPA * TPA shall have basic training facilities with minimum facility for practical training (shop floor training) for the trade and also shall have trained instructional staff. = TPA shall be an entity and in existence for 2 years * TPA may be of the following type: - Statutory university or private university as per the provision of the law made by Parliament/State Legislature. o Technical Institute affiliated with All India Council for Technical Education/ Board or State Council of Technical Education o Vocational Training Institute affiliated with National Council for Vocational Training/State Council for Vocational Training© Institutions affiliated with Medical Council of India/ Pharmacy Council of India/Nursing Council of India/Bar Council of India © Training providers accredited by NSDA and NSDC © Registered Industry Associations o Any other educational/technical institution notified by the Central/State Government. * TPA shall be able to aggregate at least 200 apprentices per year and shall have tie-up with organizations where apprentices shall be deputed for practical training Functions of TPAs. > TPA will select not more than 3 establishments for an apprentice by studying the infrastructure facilities available for practical training with individual employer such that combined facilities available with above establishments meets the requirement of prescribed curriculum of the trade. Principal employer Is an employer under whorn an apprentice shall undergo his maximum period of apprenticeship training v TPA will provide basic training and ensure practical training to the apprentices as prescribed for the trade. v > TPA will organize practical training for apprentices in the selected establishments in coordination with both the employer. Period of training shall be based on prescribed curriculum > TPA will ensure payment of the prescribed stipend to the apprentices by the principal employer through bank account of apprentices. TPA will furnish all the returns on the portal-site on the behalf of the principal employer.Vv TPA having tie up with at least 10 establishments each in four and more States and having ability to aggregate 1000 apprentices can apply to the RDAT closest to TPA base location & take a single permission renewable every 3 years. TPA will also comply with formalities required for trade apprentices for appearing All India Trade Tests for Apprentices as and when required. Tripartite contract will be signed between the Principal employer, apprentice and TPA