Prime Minister Narendra Modi, while addressing the nation on Independence Day at the Red Fort, announced a major employment scheme. “From today, the Pradhan Mantri Viksit Bharat Rojgar Yojana is being implemented,” he said. Under this scheme, the government will give ₹15,000 to youth starting their first private-sector job. Moreover, it will reward companies that generate more employment.

Large-scale employment push

Consequently, the scheme is expected to benefit over 3.5 crore young people. It will operate from August 1, 2025, to July 31, 2027. The government has allocated ₹99,446 crore for its implementation. As a result, it aims to create 3.5 crore jobs in two years, with 1.92 crore going to first-time workers.

Direct support to employees

Under Part A, first-time employees registered with the EPFO will receive one month’s EPF wages, up to ₹15,000, in two instalments. The first instalment will arrive after six months of work, while the second will be given after 12 months and completion of a financial literacy programme. Furthermore, only those earning up to ₹1 lakh annually will be eligible.

Incentives for employers

In addition, employers will receive ₹3,000 per month for each new worker earning up to ₹1 lakh. This support will continue for two years. However, in the manufacturing sector, the incentive will extend to four years. To qualify, small firms must hire at least two extra workers, whereas large firms must hire at least five.

Smooth payment system

For transparency, employees will get money via Direct Benefit Transfer through the Aadhaar Bridge Payment System. Similarly, employers will receive funds directly in their PAN-linked bank accounts.

Focus on manufacturing

Ultimately, the scheme aligns with the Viksit Bharat vision. It focuses on generating sustainable jobs and placing special emphasis on manufacturing growth.