Pradhan Mantri Viksit Bharat Rozgar Yojana

Why in News?

Recently, the Prime Minister announced a scheme with a financial outlay of nearly Rs. 1 lakh crore to boost youth employment.

• Aim – To support the job creation of 3.5 crore jobs in two years.
• Incentive – The scheme will provide Rs. 15,000 in two instalments to newly employed youth.
• Rs. 3,000 per month will be provided to employers for each new job created through the hiring of a new employee.
• Key Features
• Part A – Support to First-Time Employees
  • It will provide newly registered EPFO members with one month’s EPF wage.
  •  Employees with salaries up to Rs 1 lakh will be eligible.
  • The 1^st instalment will be payable after 6 months of service, and the 2nd instalment will be payable after 12 months of service.
  • To encourage the habit of saving, a part of the incentive will be kept in a savings account for a fixed period and can be withdrawn by the employee later.
• Part B – Incentives for Employers
  • It will encourage the generation of employment in all sectors and provide incentives in respect of new employees with salaries up to 1 lakh.
  • The Government gives employers up to Rs 3000 per month for each new job that lasts at least 6 months, for two years and for the manufacturing sector.
  • This support will continue for the 3^rd and 4^th years.
• Payment mechanism – All payments to the Part A of the Scheme will be made through DBT (Direct Benefit Transfer) mode using Aadhar Bridge Payment System (ABPS).
• Payments to the Employers under Part B will be made directly into their PAN-linked Accounts.
• Swatantra Bharat to Samriddha Bharat – It is an initiative towards Independent India to Prosperous India.
• Significance – This scheme will fulfil the vision of a developed and self-reliant India by promoting large scale employment, formalization of workforce and financial inclusion of the youth.
• It supports youth entering the workforce and enhances social security by increasing EPFO coverage.

Reference

PIB| PM Viksit Bharat Rozgar Yojana