Can We Appoint A B.Tech Engineer Trainee @ 2000/-PM Stipend.

Can we appoint a B.Tech Engineer Trainee @ 2000/-PM stipend. I understand this kind of person will not covered under apprenticeship act.

According to our knowledge the apprentice act says the minimum stipend to be paid is Rs.3500 for Graduate engineers. If the company wants to pay more it is their wish. If you appoint a Graduate Engineer Trainee for less than Rs.3500 you will be doing it at your own risk.
Hope this helps.

If you are recruiting withnthe approval of the apprantic advisor, then you need to pay a minimum of what he says. However, if you are recruiting directly, then the stipend must be higher than minimum wages.
You can have stipend provided at a lower rate in the standing orders, and define them specifically as apprentices under standing orders. However, in case of a complain, you will have a tough and expensive fight on hand. Is it worth doing that for saving ₹1500-2000 per month ?
And yes, I hope you are within the limits of number of apprantice approved for your comoany by the apprantice advisor

New Apprenticeship (Second Amendment) Rules, 2014 have come into effect on 22-09-2014.The whole pay out is now Apprentice friendly.

(1) The minimum rate of stipend per month payable to trade apprentices shall be follows, namely:—

(a) During the first year of training : Seventy per cent. of minimum wage of semi-skilled workers notified by the respective State or Union territory (Note minimum wage of semi-skilled workers - Rs 7852/m)

(b) During the second year of training : Eighty per cent. of minimum wage of semi-skilled workers notified by the respective State or Union territory

(c) During the third and fourth year of training : Ninety per cent. of minimum wage of semi-skilled workers notified by the respective State or Union territory:

The old rates were like this:-

During the first year of training -Rs 2100/-per month
During the second year of training –Rs 2400/- per month
During the third year of training –Rs 2800/- per month
During the Fourth year of training –Rs 3100/- per month.

So you could plan accordingly

regards
S P Singh

Mr. S.P Singh has shared a very useful information. The Bill can be viewed at:
http://www.govtempdiary.com/2014/12/the-apprentices-amendment-bill-2014/
The Trainee can be recruited ;
----Either as Apprentice as per Apprenticeship Act, and stipend shall have to be as per applicable rules........It has already been pointed out that the person can be taken as
'Graduate Trainee'...
----Either as 'Trainee' as per Managements Standing Orders and you can't pay less than Min. Wages....
Employee personally can be held responsible for faithful observance of standing orders...

Hi Manoj,it is better to enroll your organization under Apprentices Act with Regional Apprentice Board of your area.The rates mentioned by DWITS are applicable to Apprentices.B.Tech can be engaged as graduate apprentice.
Important part of this statute is that 50% of stipend paid is reimbursed by the Apprentice Board which is under control of Central Govt.
Period of apprenticeship is 1 year.Further such engaged person will not be treated as employee & your company will be protected from liabilities under labour laws.
All the best.

as per the minimum wages notification (central sphere) a trainee has to be paid 75% of minimum wages applicable to the category of worker. A B Tech engineer has to paid minimum 75% wages payable to graduate and above /highly skilled category.
RL DHINGRA ADVOCATE,
LABOUR LAW CONSULTANT ,DELHI
09818309937
emai:rld_498@rediffmail.com

what make you to think a paltry Rs.2000/-? Do not insult the graduate engineers.
Pon