The Ministry of Labour and Employment has announced that the PM Viksit Bharat Rozgar Yojana (PM-VBRY) will come into force from August 1, 2025. The scheme, formerly known as the Employment Linked Incentive (ELI) Scheme, is part of the government’s commitment under the Viksit Bharat initiative to generate inclusive and sustainable employment.
Approved by the Union Cabinet, the scheme has a massive outlay of ₹99,446 crore and aims to create over 3.5 crore jobs in two years — from August 1, 2025 to July 31, 2027. Of these, 1.92 crore jobs are expected to benefit first-time employees entering the workforce.
🔹 Key Objectives:
- Stimulate employment-led economic growth
- Incentivize employers across sectors, especially manufacturing
- Promote financial inclusion and EPFO registration
🔧 Scheme Structure: Two-Part Incentive System
Part A – Incentives for First-Time Employees
This part targets individuals registering with EPFO for the first time.
- Eligibility: Employees earning up to ₹1 lakh/month
- Incentive: One month’s EPF wage (up to ₹15,000), paid in two installments
- 1st installment: After 6 months of service
- 2nd installment: After 12 months & completion of financial literacy training
- A portion of the incentive will be locked in a savings instrument to encourage long-term saving.
Part B – Incentives for Employers
This part supports employers in generating additional employment, with a special focus on manufacturing.
- Eligibility: Employees earning up to ₹1 lakh/month
- Incentive: Up to ₹3,000/month per new employee for 2 years
- In manufacturing, incentives extend to the 3rd and 4th years
- Hiring Requirements:
- Employers with <50 employees: Must hire at least 2 additional workers
- Employers with ≥50 employees: Must hire at least 5 additional workers
- Employment must be sustained for at least 6 months
💳 Incentive Payment Mechanism
- Employees (Part A): Payment via Direct Benefit Transfer (DBT) using Aadhaar-based ABPS
- Employers (Part B): Incentives will be credited directly to PAN-linked bank accounts
📌 Why This Matters
The PM-VBRY represents a landmark employment-generation policy, aimed at boosting India’s job market at scale — especially in the aftermath of economic disruption and amidst a growing young workforce.
With its clear structure, digital disbursement process, and emphasis on long-term employment, the scheme is expected to play a key role in realizing the government’s Viksit Bharat 2047 vision.