With an aim to incentivize job creation for first-timers entering the job market, the government of India has launched the “PM Viksit Bharat Rozgar Yojana (PM-VBRY)”.

This Employment Linked Incentive (ELI) Scheme, which was earlier cleared by the Union Cabinet with an outlay of Rs 99,446 Crore, has now come into effect from 1 August 2025.

The scheme incentivizes employers to create new employment, aims to provide benefits for the generation of new jobs across various sectors, with special focus on the manufacturing sector.

It forms a crucial part of India’s strategy to accelerate economic growth through employment-led development.

“This is a truly beneficial scheme for both first-time employees entering the job market and employers.

Establishments should take advantage of this scheme and foster job creation,” said Mr Amardip Mishra, Regional Provident Fund Commissioner, Visakhapatnam region, speaking to Vizag Industrial Scan. PMVBRY aims to incentivize the creation of more than 3.5 Crore jobs in the country over 2 years.

Out of these, 1.92 Crore beneficiaries will be first timers, entering the workforce. “To avail this scheme first time, employees will need to have their UAN in place.

Simultaneously, this scheme also encourages establishments to increase their overall employment count while getting rewarded for the same,” noted the regional PF commissioner.

As per the details, the benefits of the Scheme would apply to jobs created between 1st August 2025 and 31 July 2027.

Establishments, which are registered with EPFO, will be required to hire at least two additional employees (for employers with less than 50 employees) or five additional employees (for employers with 50 or more employees), on a sustained basis for at least six months. 

All payments to the First Time Employees under Part A of the Scheme will be made through DBT (Direct Benefit Transfer) mode using the Aadhar Bridge Payment System (ABPS). Payments to the Employers under Part B will be made directly into their PAN-linked Accounts.