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PRADHAN MANTRI VIKSIT BHARAT ROZGAR YOJANA (PM-VBRY) (UPSC-RAS)

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PRADHAN MANTRI VIKSIT BHARAT ROZGAR YOJANA (PM-VBRY)
Employment Linked Incentive (ELI) Scheme 

  • A flagship Employment Linked Incentive (ELI) scheme of the Government of India to boost formal job creation, employability, and social security coverage.
  • Nodal Ministry - Ministry of Labour & Employment.
  • Implementing agency - Employees’ Provident Fund Organisation (EPFO).

Objectives-

  • Generate large-scale employment, especially for first-time job seekers.
  • Enhance employability of the workforce.
  • Promote formalisation of employment (bringing workers into the EPFO/social security net).
  • Expand social security coverage across sectors.
  • Special focus on the manufacturing sector as a job-creation driver.
  • PM-VBRY is structured in two complementary parts  one for employees, one for employers functioning as a dual-incentive model.

Part A -Incentive to First-Time Employees

  1. Target group: Youth/individuals entering the formal workforce for the first time.
  2. Incentive amount: Up to ₹15,000, paid in two instalments.
  3. Key eligibility conditions: -
    ♦ Must never have been a member of EPFO or any exempted provident fund trust before 01.08.2025.
    ♦ Gross wages at the time of joining must be less than ₹1,00,000 per month.
  • Disbursal structure: 1st instalment after initial contribution period; 2nd instalment (balance amount) after 12 months, subject to completion of a mandatory Financial Literacy Course and continuous EPFO contributions.

Part B -Incentive to Employers

  1. Target group - Employers/establishments generating additional (incremental) employment over their baseline workforce.
  2. Incentive amount - Up to ₹3,000 per month per additional employee.

Part C -Wage-slab based incentive structure (illustrative):

  1. Employees earning ≤ ₹10,000/month: incentive up to ₹1,000/month.
  2. Employees earning ₹10,001–₹20,000/month: incentive up to ₹2,000/month.

Part D -Duration of incentive:

  1. Manufacturing sector employers: incentive for 4 years (recognising the strategic role of manufacturing in driving growth).
  2. All other sectors: incentive for 2 years.