(1) The employer shall pay to every apprentice during the period of apprenticeship training such stipend at a rate not less than the ¹[prescribed minimum rate, or the rate which was being paid by the employer on 1st January, 1970 to the category of apprentices under which such apprentice falls, whichever is higher,] as may be specified in the contract of apprenticeship and the stipend so specified shall be paid at such intervals and subject to such conditions as may be prescribed.
²[(2) An apprentice shall not be paid by his employer on the basis of piece work nor shall he be required to take part in any output bonus or other incentive scheme.]
STATE AMENDMENT
Maharashtra.

In section 13 of the principal Act, after the existing sub-section (1), the following sub-sections shall be inserted, namely:—
(1A) The minimum rate of stipend per month payable to trade apprentices who do training for eight hours per day shall be as follows, namely:—
(a) During the first year of training . . Seventy per cent. of minimum wages of semi-skilled workers notified by the State.
(b) During the second year of training . .Eighty per cent. of minimum wages of semi-skilled workers notified by the State.
(c) During the third year of training . .Ninety per cent. of minimum wages of semi-skilled workers notified by the State.
(1B) The trade apprentices who do training for minimum four hours per day, the rate of stipend per month shall be fifty per cent. of the rates mentioned in clauses (a), (b) and (c) of sub-section (1A), respectively:
Provided that, in the case where the minimum rate of wage for a trade is not notified by the State, then the maximum of minimum wages of the Scheduled Employment notified by the State for semi-skilled workers shall be taken into account for paying the stipend in respect of that trade:
Provided further that, in the case of trade apprentices referred to in clause (a) of section 6 of the Act, the period of training already undergone by them in a school or other institution recognized by the State Council, shall be taken into account for the purpose of determining the rate of stipend payable.
[Vide Maharashtra Act 17 of 2018, s. 5].

Rajasthan Amendment of section 13, Central Act No. 52 of 1961.— For the existing section 13 of the principal Act, the following shall be substituted, namely:-
“13. Payment to apprentices.- The employer shall pay to every apprentice during the period of apprenticeship training such stipend at a rate not less than the minimum wages notified by State Government under the Minimum Wages Act, 1948 (Central Act No. 11 of 1948) for unskilled worker category, as may be specified in the contract of apprenticeship and the stipend so specified shall be paid at such intervals and subject to such conditions as may be prescribed.”.
[Vide Rajasthan Act 2 of 2015, s. 6]

1. Subs. by Act 27 of 1973, s. 14, for prescribed minimum rate (w.e.f. 1-12-1974).
2. Subs. by s. 14, ibid., for sub-section (2) (w.e.f. 1-12-1974).