Budget Bonanza: Jobs, Jobs, Jobs! FM Declares 3 Schemes For Employment Linked Incentives; Who Will Benefit?

Union Budget FY25: Jobs for all, emerged as a big motto of the Union Budget for FY25. On July 23, during her speech Budget speech, Finance Minister Nirmala Sitharaman announced the Prime Minister's Package for Employment Linked Incentive. Under this package, the schemes will be based on enrolment on EPFO.

FM said, "Our govt will implement three schemes for employment-linked incentives as part of the Prime Minister's package. These will be based on enrollment in the EPFO and focus on recognition of the first-time employees and support to employees and employers."

Here are the benefits of this package:

Scheme A: First Times!

Under this scheme, first-time employees, registered in EPFO will get a direct benefit transfer of 1-month salary. This benefit will be given in three instalments up to Rs 15,000.

Scheme B: Job Creation In Manufacturing:

Here, FM announced that the government will provide incentives directly to both employees and employers as per the EPFO contribution. The benefits will be given in the first four years of employment.

Scheme C: Support To Employers:

FM announced that reimbursement of Rs 3,000 per month will be given to employers for 2 years, towards their EPFO contribution for each additional employee.

In her speech on July 23, she said, the people of India have reposed their faith in the govt led by PM Modi and re-elected it for the historic third term.

She added that employment, skilling and MSMEs will remain the main focus of the Budget. She also announced that the Union Budget 2024-25 envisages sustained efforts on 9 priorities for generating ample opportunities for all. These are productivity and resilience in agriculture; manufacturing & services; infrastructure, employment & skilling; urban development; innovation, research & development; inclusive human resources development and social justice; energy security, and next-generation reforms.