NEW DELHI: The Employment Linked Incentive (ELI) Scheme, which aims at providing inclusive and sustainable employment opportunities in the country, will come into effect from August 1. It will be renamed as `PM Viksit Bharat Rozgar Yojana (PM-VBRY)’.The scheme was cleared on July 1 by the Union Cabinet chaired by PM Narendra Modi. The benefits of it would be applicable to jobs created between August 1, 2025 and July 31, 2027.An official release from the Labour department said, “With an outlay of Rs 99,446 crore, the PM-VBRY aims to incentivise the creation of more than 3.5 crore jobs in the country, over a period of 2 years. Out of these, 1.92 crore beneficiaries will be first timers entering the workforce.”The scheme incentivises employers across different branches to create new jobs. “It forms a crucial part of India’s strategy to accelerate economic growth through employment-led development,” it added. The Scheme consists of two parts with Part A focused on first timers and Part B focused on employers:Part A: Incentive to first-timersTargeting first-time employees registered with Employees Provident Fund Organisation (EPFO), it will offer one-month Employees Provident Fund (EPF) wage up to Rs 15,000 in two instalments. Employees with salaries up to Rs 1 lakh will be eligible. The 1st instalment will be payable after 6 months of service and the 2nd instalment will be payable after 12 months of service and completion of a financial literacy programme by the employee.To encourage the habit of saving, a portion of the incentive will be kept in a savings instrument or deposit account for a fixed period and can be withdrawn by the employee at a later date, it added.
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