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Internship opportunities have turned out to be crucial for Indian students to bridge the gap between academic learning and practical skills.
Internships, among other forms of work-based learning, are increasingly being viewed as game-changers in higher education in the modern world. For a considerable time, internships have played a role in the development of students in most of the developed countries like France, Germany, and Australia. In the US, internships are termed "high-impact practices", and some go as far as to say it should be a requirement to graduate because it provides for developing key work-life skills. With the great effect of globalization on employment trends, this "internship culture" spread like wildfire to India, driven by demands from corporate firms for skilled graduates and students' desire for competitive careers.
The National Survey of College Internships (NSCI) 2023 Report sheds light on the trend that has been governing the internship scenario in India—from statistical growth and stipend data to challenges and inequalities. Here's a sneak peek into how internships evolved over time, borrowed influences from Western countries, and what the current trends look like in India, along with the future of the field.
Evolution of Internships: A Statistical Growth Story
A Decade Ago: Limited Internship Opportunities
Before 2010, internships in India were scanty and not encouraged as a part of college education. About 20% of students in India used to do internships at that time, mainly in metro cities like Delhi, Mumbai, and Bangalore. The concept of learning by doing was prevalent in countries like the USA but not in India. In America, internships formed a part of the academic curriculum in major universities like Stanford, Harvard, and MIT. Such universities even linked internship experiences to academic credits and considered them a criterion for graduation. In India, internships were an option. Limited institutions like IITs and IIMs motivated the students to get practical exposure by doing related internships.
The internship has been considered a modern-day apprenticeship where the student learns by practically working on real projects with professionals. The concept of the internship has gained popularity due to the emphasis on "employability". Students doing internships are 170% more likely to graduate, 14% more likely to get interview calls, and earn way higher salaries than their non-interning peers.
Growth in Internship Participation (2013-2023)
There was a sudden surge in internship opportunities in India due to the exposure to Western education models, and globalization that brought MNCs into India. Other companies started taking this route as an integral method for training employees, reducing the cost of onboarding, and early identification of skilled candidates.
- Growth Rate: From 2013 to 2023, the number of internships available in different businesses increased by 120% in India.
- Participation of Students: In 2013, only 30% of college students did internships. In 2023, almost 80% of students completed at least one internship before graduation.
- Sector-wise Growth: In India, the highest growth in internships took place in sectors such as finance, IT, marketing, and media. The number of internships in India has grown 150% over the last 10 years.
Key Statistics from National Survey of College Internships 2023 Report
The 2023 report covers various aspects pertaining to the current scenario and trends of internships, their challenges, and their importance as perceived by Indian college students.
1. Paid vs Unpaid Internships
31% of internships were reported unpaid for four-year institutions; for two-year institutions, 50% of the internships were unpaid. They justify this as a "learning experience".
69% of internships provided stipends for four-year institutions and 50% for two-year institutions, with sectors like IT, consulting, and marketing leading in paid opportunities.
Source: National Survey of College Internships 2023 Report
2. Purpose
In four-year institutions, 70% of students did an internship to get experience in a specific career, 26% to explore careers. While in two-year institutions, 73% of students did an internship to get career-specific experience, 21% to explore.
Source: National Survey of College Internships 2023 Report
3. Quality Outcomes
Because of internships, 80% of four-year students improved their communication skills, 79% improved their problem solving and 71% improved teamwork. Only 56% of interns reported leadership skill-building.
Source: National Survey of College Internships 2023 Report
Through internships, two-year students reported skill gains in the following areas: communication at 77%, problem-solving at 72%, and teamwork at 70%. Only 53% developed leadership skills.
Source: National Survey of College Internships 2023 Report
4. Internship expanded Professional Network
Internships helped to expand professional networks for four-year students by 87% and two-year students by 81%.
Source: National Survey of College Internships 2023 Report
Influence of the USA and Western Internship Models
Internships have been a part of the education system in the USA since long ago. Companies in Silicon Valley and Wall Street consider internships as a way to recruit and train future employees. Indian institutions have followed the same practices.
- Integration in Curriculum: IIM Ahmedabad and IIT Delhi have integrated internships into their curriculum, just like American universities where students can earn academic credits through internships.
- Corporate Influence: Major American companies with subsidiaries in India, such as Google, Microsoft, and Amazon, have encouraged internships as part of their recruitment policy. Similarly, Indian companies have adopted similar strategies in their recruitment process.
- Shifting Student Perception: Exposure to Western trends through Study Abroad programs and digital platforms like LinkedIn has provided students an opportunity to explore the benefits of internships. Most of the students have started pursuing such opportunities quite actively.
Challenges: The Reality of Inequality in Access
Many students who didn’t intern still wanted to: 63% of four-year and 49% of two-year students expressed interest. But barriers included: 33% needed to work their current job and 25% didn’t get paid enough. Other obstacles were heavy course loads, difficulty finding a position, and logistical issues like transportation or childcare.
Source: National Survey of College Internships 2023 Report
For two-year students, the top obstacles to internships were: not knowing how to find one (45%), heavy course load (40%), and needing to work (40%). Four-year students also had heavy coursework but only 28% said difficulty finding an internship. This gap means there needs to be more internship resources at two-year institutions to support student career transition.
Source: National Survey of College Internships 2023 Report
Future Trends: The Path Forward for Internships in India
The future of internships in India looks good, here are the trends:
- Growth of Virtual Internships: Virtual internships, which are expected to grow 30% by 2025, gained momentum and facilitated flexibility and remote learning.
- Skill-based Training: More companies are moving towards skill-based internships, and in-demand fields like artificial intelligence, data science, and software development.
- Paid Internships: With the topic of fair compensation gaining more attention, paid internships are bound to increase by 15% in 2026.
- Growth in Niche Segments: Other segments like the logistics and transport sectors, also facilitated by platforms like 91trucks, have also begun to provide internships, rendering more options for students to choose from.
Internship opportunities have turned out to be crucial for Indian students to bridge the gap between academic learning and practical skills. Despite the challenges of unpaid roles and access inequalities, the internship culture is growing and students have a path to become more professional. By using the available platforms and pushing for fair practices, students can benefit from internships and set themselves up for success.
Reference: National Survey of College Internships 2023 Report
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