The move follows a tepid response in the initial rounds, prompting a rethink on how to make the scheme more attractive for young job seekers.
Launched with much fanfare as a bridge between academia and industry, the scheme has so far failed to gain meaningful traction.
According to sources, only around 5,000 candidates joined the internship programme in the second round, while the first round saw just 6,000 joinings. This is significantly below the government’s stated target of 1.25 lakh internships for FY25.
Under the current structure, interns receive a monthly stipend of ₹5,000 — comprising ₹500 from a company’s CSR contribution and ₹4,500 transferred via Direct Benefit Transfer (DBT) by the government.
In addition, each selected intern is provided with a one-time joining grant of ₹6,000.
To enhance the scheme’s appeal without straining the exchequer, the government is likely to fund the proposed stipend hike entirely through corporate CSR budgets, sources said. There is also a proposal to introduce a graded stipend structure, where more qualified candidates receive higher payouts — an attempt to reward merit and attract skilled talent.
The Ministry of Corporate Affairs had earlier tweaked the scheme to improve transparency, including listing internship locations and available facilities such as food and accommodation on the PMIS portal. These changes aimed to help interns make more informed choices and address concerns raised after the low uptake in Round 1.
However, despite these efforts, the response has remained underwhelming — prompting a fresh reconsideration of financial incentives.
