Context:
The PM Viksit Bharat Rozgar Yojana (PM-VBRY) is a new national employment-linked incentive program designed to encourage large-scale job creation, primarily in formal sectors such as manufacturing. It replaces the previous Employment Linked Incentive (ELI) Scheme and will be implemented starting 1st August 2025.

Key Details:

• What is PM-VBRY?
  A government scheme aimed at boosting employment by providing incentives linked to job creation, especially focusing on formal sector jobs in manufacturing, under the broader Viksit Bharat initiative.
• Launch Date: 1 August 2025
• Administering Body: Ministry of Labour and Employment
• Budget Allocation: ?99,446 crore
• Duration: 2025 to 2027
• Employment Target: Creation of over 3.5 crore new jobs, including about 1.92 crore first-time workers entering the formal workforce.

Objectives:

• Encourage inclusive and sustainable employment growth.
• Provide financial incentives to employers to hire more workers, with an emphasis on manufacturing.
• Support first-time employees joining the formal labor market.

Scheme Features:

Part A: Incentives for First-Time Employees

• Who qualifies?
  New employees registered with EPFO earning monthly wages up to ?1 lakh.
• Incentive details:
  Payment equivalent to one month’s EPF wages (capped at ?15,000), distributed in two instalments:
  • First instalment after 6 months of continuous employment
  • Second instalment after 12 months of employment and completion of financial literacy training
• Savings encouragement:
  A portion of the incentive will be locked in a deposit account to encourage future savings.

Part B: Incentives for Employers

• Applicable sectors: All sectors, with priority on manufacturing
• Eligibility for employers:
  • Hiring at least 2 additional employees if existing workforce is below 50
  • Hiring at least 5 additional employees if existing workforce is 50 or more
• Monthly wage-based incentives per new employee:
  • ?1,000 for wages up to ?10,000
  • ?2,000 for wages between ?10,001 and ?20,000
  • ?3,000 for wages between ?20,001 and ?1,00,000
• Duration of incentives:
  • 2 years for all sectors
  • Extended up to 4 years for manufacturing sector

Payment Process:

• For First-Time Employees:
  Incentives will be transferred directly through DBT using the Aadhaar Bridge Payment System (ABPS).
• For Employers:
  Payments will be credited directly into PAN-linked bank accounts.