Many students do not know how long the articleship training lasts and why it is necessary. In this article, we will provide you all the information related to the articleship for Company Secretary (CS).

Articleship training is a practical training that is designed to provide hands-on experience in different aspects of legal compliance, corporate governance, and secretarial practices. By completing articleship training, candidates will become familiarized with the industry and get a clear understanding of the professional standards.

This training is the most important part of the journey of becoming a Company Secretary because this not only enhances technical skills but also helps to prepare the candidates to face the real-world challenges in their career as a Company Secretary.  

What is new in CS Articleship?

As per the Institute of Company Secretaries of India new training framework, it is necessary for the CS students to pass the following training program:

• Corporate Leadership Development Program (CLDP)

• Practical Training
• Executive Development Program (EDP)

CS Articleship Eligibility Criteria and Training Period

After Passing the CS Executive exam, the practical training must be finished in 21 months according to the ICSI regulations. 

However, students have a choice of doing articleship either they can take the training after CS Executive or after CS Professional exam. Moreover, it can only be started after completing a month-long EDP.

Note: After passing the CS executive exam, students must complete a month long Executive Development Programme (EDP) 

• Eligible Companies for CS Articleship Practical Training

Students who enrolled in the Practical Training Program must work full time during regular business hours. Candidates should follow the following Institute’s guidelines in order to complete the training:

1. In an organisation where a Company Secretary works full time. Or

2. Under Company Secretary Full time supervision; or
3. In any institute, corporate body, organization that satisfies the following institute’s requirement.

CS students can complete their practical training in the following organization.

• A professional Company Secretary who has an ICSI certificate of practices
• Companies whether they are private, public, or unlisted, should have paid up share capital of at least Rs. 50 lakhs
• As per the latest audited financial report, a company limited by guarantee with a gross annual receipt of at least Rs. 1 crore.
• MCA and its offices, such as the ROC, RD, and OL office
• At least five partners and five years of experience are required for General law companies.
• Limited Liability Partnership (LLP) have a minimum net worth, capital contribution, and turnover of Rs. 50 lakhs, and at least half of their partners are ICSI members.
• Every bank recognized by the RBI
• Financial Institutions who have ten years or more of experience and gross fixed assets of at least Rs. 10 lakh
• Universities that UGC has accredited.

Things learned from Practical Training

A CS trainee can learn the following things through practical training.

Corporate Governance: With the help of practical training, students can better understand the structure and functioning of corporate governance frameworks.

Legal Compliance:  In this, CS trainees gain hands-on experience in ensuring compliance with statutory requirements under various corporate laws.

Drafting: practical training helps to improve drafting skills which are essential for preparing legal documents such as resolutions, agreements, and notices.

Decision Making: with the help of practical training, CS trainees develop skills like ethical decision making and conflict resolution within the corporate context.

Training Areas

According to the ICSI, a Company Secretary is

• An internal legal specialist; a company compliance officer

• A specialist in capital markets, corporate governance, securities laws, and corporate law
• Chief counsel on corporate governance best practices to the board of directors
• In charge of all company regulatory compliances 

Hence, qualification for a corporate secretary could be considered a multidisciplinary professional qualification. As a result, during articleship training, candidates may face one or more of the following:

Compliance: 

• Electronic form certification
• Minutes of board meeting and annual general meetings
• Extra compliance to the Companies act, the SCRA Act, and SEBI.

Governance of companies and secretarial Services

• Services for Corporate Governance
• Compliance, Secretarial and Certification

Management Services:

• General and strategic management
• Corporate communication and Public relations
• Management of Human Resources

Service related to advisory and representation for corporate laws

• Consultancy service on corporate laws
• Services related to representation
• Service related to conciliation and arbitration

Market Services for Financial Assets

• Public offering, listing, securities management, insider training
• Takeover codes, amalgamation, and mergers.
• Services for Finance and Accounting
• Accounting services

Working hours, leave, and stipend

Candidates must work during regular business hours in order to be eligible for CS Practical Training that means they must work at least 8 hours a day, five days a week or 40 hours a week.

Leaves: During the 21 month training period, they are allowed to take 52 days of leave.

Stipend: 

Under PCS training, students must be paid a minimum rupees of 3000 per month.

Under a company or other entities, students must be paid a minimum rupees of 4000 per month.

Transfer rules:

If a trainee wants a transfer then they have to give written notice 45 working days in advance to their trainer. The resignation letter must be handed in person in exchange for a valid receipt acknowledgement. As per the ICSI regulation, there are only two transfers allowed in the training period.

Report on project for a Company Secretary

Students enrolling in the Corporate Leadership Development Program (CLDP) are required to prepare a project report based on their practical training under the supervision of their trainee.

By growing emphasis on corporate governance, on-going regulatory changes and other factors have increased the roles and responsibility of Company Secretary. Hence, CS is now regarded as the protector of the company’s adherence to legal obligations.

In such conditions, practical training is more important in preparing someone to be a professional who can adjust quickly to the changing conditions.

Conclusion: 

To become Company Secretary, training is necessary for practical experiences. This 21 month training will not only give you the experience but also give you the skills to handle any kind of issue easily in the corporate world. After completing training, start preparing for the CS Professional exam.

Why choose Bhagya Achievers?

In Bhagya Achievers platform, you will get different types of test series plans. You can buy according to your preparation.

Bhagya Achievers have a Mentorship plan in which you can ask any doubt related to your CS course and study, if you feel demotivated, have no idea where to start preparation, related to articleship, and so on with your mentors. They can help you by providing an instant solution.

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