PM Viksit Bharat Rozgar Yojana: First-Time Employees to Get Rs 15,000 Incentive from August 1

The PM Viksit Bharat Rozgar Yojana (PM-VBRY), a major job creation scheme approved by the Union Cabinet, will officially start from August 1, 2025, the Ministry of Labour and Employment announced today on Friday, July 25. The scheme, earlier known as the Employment-Linked Incentive (ELI) Scheme, aims to create over 3.5 crore jobs across India in the next two years.

With a budget of Rs 99,446 crore, the scheme targets first-time employees and job-creating employers, especially in the manufacturing sector.

"The PM-VBRY aims to incentivize the creation of more than 3.5 Crore jobs in the country, over a period of 2 years. Out of these, 1.92 crores of beneficiaries will be first timers, entering the workforce. The benefits of the Scheme would be applicable to jobs created between 01st August 2025 and 31st July 2027," said the PIB release.

What First-Time Employees Will Get?

"Targeting first-time employees registered with EPFO, the scheme will offer one-month EPF wage up to Rs 15,000 in two instalments," the Ministry said.

Employees earning up to Rs 1 lakh per month will be eligible for the benefit under the scheme. The incentive will be given in two parts, the first installment will be provided after six months of continuous employment, and the second installment will be paid after completing 12 months of service along with a financial literacy program.

"A portion of the incentive will be kept in a savings instrument or deposit account for a fixed period and can be withdrawn by the employee at a later date," added the ministry.

Incentives for Employers Creating New Jobs

The scheme also supports employers who hire new workers. "The employers will get incentives in respect of employees with salaries up to Rs 1 lakh. The Government will incentivise employers, up to Rs 3,000 per month, for two years, for each additional employee with sustained employment for at least six months," the Ministry said.

Employers must be registered with the EPFO to benefit from the scheme. Companies with fewer than 50 employees need to hire at least 2 new workers, while those with 50 or more employees must hire at least 5 new workers. These newly hired employees must stay on the job for at least six months to qualify. For companies in the manufacturing sector, the government will continue giving incentives for up to four years.

Incentive Structure

The amount of incentive given to employers will depend on the salary of the new employee. For each additional employee earning up to Rs 10,000 per month, the employer will get up to Rs 1,000. If the employee earns between Rs 10,001 and Rs 20,000, the employer will receive Rs 2,000.

For employees earning more than Rs 20,000, up to a maximum of Rs 1 lakh per month, the employer will get Rs 3,000. Employees with EPF wages below Rs 10,000 will receive a proportional incentive.

How the Payments Will Be Made?

First-time employees will receive their benefits via Direct Benefit Transfer (DBT) through the Aadhaar Bridge Payment System (ABPS). While employers will get their incentives directly into their PAN-linked bank accounts.

The report said that the scheme is aligned with the government's Viksit Bharat mission and reflects a strong push toward inclusive and sustainable job growth.