Prime Minister Narendra Modi, in his address to the nation on the 79th Independence Day, announced the launch of the Pradhan Mantri Viksit Bharat Rozgar Yojana, outlining a roadmap to achieve a developed India by 2047. The initiative focuses on self-reliance, innovation, and citizen empowerment, aiming to create over 3.5 crore jobs in the next two years.
Under the scheme, newly employed youth will receive an incentive of up to Rs 15,000 in two instalments, while employers will be eligible for up to Rs 3,000 per month per new employee for creating job opportunities.
Part A - Support to First-Time Employees
This component targets first-time employees registered with the Employees' Provident Fund Organisation (EPFO) and earning up to Rs 1 lakh annually. Beneficiaries will receive one month's EPF wage, up to Rs 15,000, in two instalments - the first after six months of service and the second after 12 months, subject to completing a financial literacy programme. Part of the incentive will be placed in a fixed deposit or savings instrument. Around 1.92 crore first-time employees are expected to benefit.
Part B - Incentives for Employers
Employers across sectors, with a focus on manufacturing, will receive up to Rs 3,000 per month for two years for each additional employee earning up to Rs 1 lakh annually, provided the job is retained for at least six months. In manufacturing, the incentive will extend to the third and fourth years. This component is projected to support the creation of 2.60 crore additional jobs.
Payment Mechanism
Payments to employees under Part A will be made through the Direct Benefit Transfer (DBT) mode using the Aadhaar Bridge Payment System, while payments to employers under Part B will be credited to PAN-linked accounts.
The government said the scheme will not only promote employment generation but also increase workforce formalisation by extending social security benefits to millions.
Additional Announcements
The Prime Minister also announced that next-generation GST reforms will be unveiled on Diwali, lowering taxes on essential goods and providing relief to MSMEs, local vendors, and consumers. Compliance costs for startups and entrepreneurs will be reduced, and outdated legal provisions will be removed to create a more business-friendly environment.
In the technology sector, the Prime Minister urged youth to develop indigenous social media platforms and digital infrastructure to strengthen India's digital autonomy. On sports, he highlighted the National Sports Policy and the Khelo India initiative to promote sporting talent nationwide.