Srinagar, Jun 18: The Government of India has launched the Pradhan Mantri Viksit Bharat Rojgar Yojana (PMVBRY), formerly known as the Employment Linked Incentive (ELI) Scheme to promote employment generation, enhancing employability, and expanding social security coverage across all sectors of the economy, with a special emphasis on the manufacturing sector.
Under the Scheme, while the first-time employees will get one month’s wage (up to Rs 15,000/-), the employers will be given incentives for a period to two years for generating additional employment, with extended benefits for another two years for the manufacturing sector.
With a total outlay of ₹99,446 crore, PMVBRY aims to facilitate the creation of over 3.5 crore jobs across the country over a period of two years. Out of these, approximately 1.92 crore beneficiaries are expected to be first-time entrants into the formal workforce. The benefits under the Scheme are applicable to jobs created between 1 August 2025 and 31 July 2027.
The Scheme comprises two components:
Part A – Incentive to First-Time Employees:
Under this component, first-time employees registered with EPFO and earning wages up to ₹1 lakh per month are eligible to receive an incentive equivalent to one month’s wage, up to a maximum of ₹15,000, in two instalments.
The first instalment is payable after completion of six months of continuous service, while the second instalment is payable after twelve months of service and completion of a financial literacy programme. A portion of the incentive is retained in a savings instrument/deposit account for a fixed period to encourage long-term savings habits among young workers.
Part B – Support to Employers:
This component incentivizes employers for generating additional employment across all sectors. Employers will receive incentives of up to ₹3,000 per month per additional employee for a period of two years, provided the employee remains in sustained employment for at least six months.
For the manufacturing sector, these incentives are extended for an additional two years, covering the third and fourth years as well. To qualify, EPFO-registered establishments must recruit at least two additional employees (for establishments with fewer than 50 employees) or five additional employees (for establishments with 50 or more employees).
All payments to first-time employees under Part A are made through Direct Benefit Transfer (DBT) using the Aadhaar Bridge Payment System (ABPS), while incentives to employers under Part B are credited directly to their PAN-linked bank accounts.
The PMVBRY Scheme is expected to catalyse job creation, particularly in the manufacturing sector, while encouraging youth participation in the formal workforce. The Scheme will also contribute substantially towards the formalization of employment and the expansion of social security coverage among millions of workers across the country.
To mark the successful implementation of the Scheme, a National-Level PMVBRY Event will be held under the gracious presence of the Hon’ble Prime Minister of India on 19 June 2026 at Vigyan Bhawan, New Delhi.
During the event, benefits amounting to approximately ₹2400 crore corresponding to additional employment of more than 15 lakhs will be disbursed to eligible beneficiaries under the Scheme.
The PMVBRY Scheme has already demonstrated significant early success in promoting formal employment and supporting both workers and employers. In March 2026, benefits amounting to ₹247 crore were disbursed under Part A of the Scheme to 4.41 lakh first-time employees, providing direct financial support to young workers entering the formal workforce.
Under Part B, incentives worth ₹214 crore were released to 17,551 establishments that generated additional employment of approximately 6.46 lakh workers. Under Part A, nearly 65% of beneficiaries belong to the 20–35 years age group, with 51.18% in the 18–25 years bracket, highlighting the scheme’s success in supporting first-time job seekers and young workers entering the formal workforce.
Women account for 35.33% of beneficiaries under Part A and over 24% under Part B, reflecting the scheme’s contribution to strengthening female workforce participation. Employment generation has been broad-based, spanning sectors such as expert services, manufacturing, engineering, trading and technology, while Maharashtra, Karnataka, Tamil Nadu, Telangana and Delhi/Gujarat have emerged among the leading beneficiary States.
Importantly, more than 80% of incentivised beneficiaries under Part B are employed in establishments with fewer than 25 workers, underscoring the scheme’s role in supporting small enterprises and fostering inclusive job creation across the country.
Simultaneously, regional-level events at around 200 locations across India, particularly in major industrial and employment clusters, will be organized. These events will witness the participation of employers, employees, industry representatives, and other stakeholders.
