SF Prep Notes

ELI scheme to start on 1 August 2025 as PM Viksit Bharat Rozgar Yojana

On 25 July 2025, the Labour Ministry announced that the Cabinet-cleared Employment Linked Incentive scheme will take effect from 1 August 2025 as the PM Viksit Bharat Rozgar Yojana (PM-VBRY).

Summary

The Ministry of Labour and Employment announced on 25 July 2025 that the Employment Linked Incentive (ELI) Scheme, already approved by the Union Cabinet, will come into effect from 1 August 2025 as the 'PM Viksit Bharat Rozgar Yojana (PM-VBRY)'. With an outlay of ₹99,446 crore, the scheme aims to incentivise the creation of more than 3.5 crore jobs over two years, of which 1.92 crore beneficiaries will be first-timers; benefits apply to jobs created between 1 August 2025 and 31 July 2027. Part A gives first-time EPFO-registered employees with salaries up to ₹1 lakh one month's EPF wage, up to ₹15,000, in two instalments. Part B gives employers up to ₹3,000 a month for two years for each additional employee kept for at least six months, with a special focus on manufacturing.

Key facts

Announced
25 July 2025
Effective
1 August 2025
Earlier name
Employment Linked Incentive (ELI) Scheme
Outlay
₹99,446 crore
Target
3.5 crore+ jobs in 2 years; 1.92 crore first-timers
Eligible jobs
Created 1 Aug 2025 - 31 Jul 2027
Part A
First-timers: one month EPF wage up to ₹15,000 in 2 instalments
Part B
Employers: up to ₹3,000/month per additional employee for 2 years

Practice MCQs 3 questions

Q1

Under what name did the Employment Linked Incentive (ELI) Scheme come into effect from 1 August 2025?

Show answer

Correct answer: B — PM Viksit Bharat Rozgar Yojana

PIB (25 July 2025): the ELI Scheme will come into effect from 1 August 2025 as the 'PM Viksit Bharat Rozgar Yojana (PM-VBRY)'.

Q2 Advanced

What is the outlay of the PM Viksit Bharat Rozgar Yojana?

Show answer

Correct answer: C — ₹99,446 crore

PIB: with an outlay of ₹99,446 crore, PM-VBRY aims to incentivise the creation of more than 3.5 crore jobs over 2 years.

Q3 Advanced

Consider the following statements about PM-VBRY: 1. Part A offers first-time EPFO-registered employees one month's EPF wage up to ₹15,000 in two instalments. 2. Part B gives employers up to ₹3,000 per month for two years for each additional employee with sustained employment of at least six months. 3. Benefits apply to jobs created between 1 August 2025 and 31 July 2027. Which of the statements given above is/are correct?

Show answer

Correct answer: D — 1, 2 and 3

PIB (25 July 2025): Part A gives one month EPF wage up to ₹15,000 in two instalments; Part B gives employers up to ₹3,000/month for two years per additional employee sustained for six months; benefits apply to jobs created between 1 Aug 2025 and 31 Jul 2027. All correct.

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