Archive · 2 Dec 2025
PM Internship Scheme Sees 20% Dropout Rate
The PM Internship Scheme, which aims to provide internship opportunities to 10 million people in top 500 companies over five years, is facing a 20% dropout rate.
In the pilot phase, 6,618 interns out of 33,300 left their internships before completion.
The main reasons for this high dropout rate include location constraints, as many interns prefer to travel only 5-10 km, and the longer duration of 12 months, which is longer than typical skilling programs.
Additionally, the low stipend of Rs 5,000 per month plus a one-time allowance of Rs 6,000 is also a significant factor.
The government has made adjustments, such as providing exact internship locations and company profiles, but the acceptance rate remains low at 20%.
The scheme has a budget of Rs 2,000 crore for FY25 and Rs 10,831 crore for FY26, with Rs 73.72 crore utilized as of September.
PM Internship Scheme (PMIS) has a 20% dropout rate in its pilot phase.
6,618 interns out of 33,300 left their internships before completion.
Main reasons for dropouts include location constraints and longer internship duration.
Low stipend of Rs 5,000 per month plus a one-time allowance of Rs 6,000 is a key issue.
Government has made adjustments, but the acceptance rate remains low at 20%.
- Who
- Minister of State for Corporate Affairs Harsh Malhotra
- What
- PM Internship Scheme (PMIS) dropout rate
- When
- Pilot phase, with feedback and adjustments made in the second round starting January 2024
- Where
- India, with location constraints being a major issue
- Why
- Due to location constraints, longer duration of internships, and low stipend
- Dropout Rate
- 20%
- Total Interns
- 33,300
- Dropouts
- 6,618
- Stipend
- Rs 5,000/month + Rs 6,000 one-time allowance
- Budget Allocation (FY25)
- Rs 2,000 crore
- Budget Allocation (FY26)
- Rs 10,831 crore
- Pilot Project Budget
- Rs 840 crore
- Funds Utilized (as of September)
- Rs 73.72 crore