09/15/2026

The Apprenticeship Imperative : What CHROs in Indian Manufacturing Must Do Before the AI Wave Erases a 64-Year-Old Bargain

The Apprenticeship Imperative
Apprentices are paid a percentage of minimum wage, which sounds fair until you realise the actual amounts are so low that in many states, an apprentice barely covers commute costs.

Let me start with an honest admission. When I first read the Apprenticeship Act, 1961, my first thought was: this is a law that belongs to a different era. And then I came across research from Kellogg School of Management asking whether apprentices are an ‘endangered species’ – and suddenly the two clicked together in a way I couldn’t ignore.
Because here’s the thing. India passed this law sixty-four years ago to solve a very specific problem: how do you get industry to train young workers? The answer the law landed on was essentially a deal. The apprentice gives you cheap, obedient labour. You give them skills. Simple exchange. Centuries old. And now, AI is walking into that room and saying – I’ll do the cheap labour part. For free.

The currency that apprentices use to buy knowledge from their masters is vanishing – and the Apprenticeship Act 1961 has no answer for that.

The Act’s Cracks – Before We Even Get to AI

The Apprenticeship Act mandates that establishments...

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Naveen Kumar

is an HR thought leader with over 30 years of experience across large MNCs and Indian enterprises. A post graduate of XLRI and a PCC (ICF), he has recently pivoted toward AI-led Transformation and Change Management, helping business owners and start-up founders scale their Organisational Capabilities. Naveen is the founder of Beacon Advisory - a niche consulting firm that assesses clients on their AI readiness and supports them through change management.

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Author

Naveen Kumar

is an HR thought leader with over 30 years of experience across large MNCs and Indian enterprises. A post graduate of XLRI and a PCC (ICF), he has recently pivoted toward AI-led Transformation and Change Management, helping business owners and start-up founders scale their Organisational Capabilities. Naveen is the founder of Beacon Advisory - a niche consulting firm that assesses clients on their AI readiness and supports them through change management.

September 2026

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