Pradhan Mantri Viksit Bharat Rojgar Yojana (PM-VBRY)

Key Highlights:

• The Pradhan Mantri Viksit Bharat Rojgar Yojana (PM-VBRY) aims to encourage first-time employment and formalize the workforce.
• The scheme has an outlay of ₹99,446 crore and is implemented for two years, from August 1, 2025, to July 31, 2027.
• It targets generating employment for over 3.5 crore people, including 1.92 crore first-time employees.
• Implemented through an EPFO-linked, technology-driven framework, it expands social security coverage.
• Incentives are provided to first-time employees and employers, with extended benefits for the manufacturing sector.
• In its first year, over 72 lakh first-time employees joined the formal workforce, with nearly 30% being women.

Detailed Insights:

• PM-VBRY reinforces the national priority of leveraging India's demographic dividend for sustained and inclusive development.
• It complements the National Manufacturing Mission by promoting employment in new and expanding industries.
• First-time employees earning up to ₹1,00,000 per month receive a one-time incentive equivalent to one month's EPF wage, capped at ₹15,000.
• This employee incentive is paid in two installments after six and twelve months of continuous service, following a financial literacy program.
• Employers receive up to ₹3,000 per month for two years for every eligible additional employee retained for at least six months.
• For the manufacturing sector, employer incentives are extended to the third and fourth years due to its high employment generation potential.
• The scheme leverages digital technologies like Aadhaar-based authentication, Universal Account Numbers (UANs), and Direct Benefit Transfer (DBT) for transparent implementation.
• A dedicated PM-VBRY portal facilitates end-to-end scheme implementation and real-time monitoring of progress.
• Cross-Functional Teams from EPFO, ESIC, and CLC support outreach efforts to increase grassroots participation.

Key Concepts Involved:

• EPFO (Employees' Provident Fund Organisation): A statutory body under the Ministry of Labour & Employment, providing social security benefits like provident fund, pension, and insurance.
• Direct Benefit Transfer (DBT): A system where subsidies and benefits are transferred directly to beneficiaries' bank accounts, enhancing transparency and reducing leakage.
• Aadhaar-based authentication: A process of verifying the identity of an individual using their Aadhaar number and biometric or demographic data.
• Universal Account Number (UAN): A 12-digit number allotted to every employee contributing to EPF, which remains constant throughout their career.
• Viksit Bharat 2047: India's vision to become a developed nation by 2047, the centenary of its independence.