New Delhi – In his 79th Independence Day address from the Red Fort, Prime Minister Narendra Modi unveiled the Pradhan Mantri Viksit Bharat Rozgar Yojana (PM‑VBRY)—a massive ₹ 1 lakh crore (₹ 99,446 crore) initiative to support job creation among India’s youth. The scheme, he said, comes into effect immediately and aims to benefit over 3.5 crore people.
PM‑VBRY is designed as a two-component plan combining incentives for both job seekers and employers:
· Part A – For First-Time Employees
Individuals securing their first job in the formal sector and registered with EPFO (Employees’ Provident Fund Organisation) will receive one month’s EPF wage, up to ₹15,000, disbursed in two instalments—the first after 6 months of employment, and the second after 12 months, subject to completing a financial literacy course. A portion of the amount will be held in a savings instrument to encourage long-term financial discipline.
· Part B – For Employers
Employers registered with EPFO who hire additional staff (minimum of two if the company has under 50 employees, or five if it has 50 or more) and retain them for at least 6 months will receive monthly incentives of up to ₹3,000 per employee for up to two years. Companies in the manufacturing sector may receive incentives for up to four years.
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· Duration: The scheme will run from 1 August 2025 to 31 July 2027.
· Target: Create 3.5 crore jobs over two years, with approximately 1.92 crore first-time job seekers benefitting.
The launch of PM‑VBRY underscores the government’s commitment to inclusive growth, offering both financial support for new workers and incentives to businesses to strengthen formal sector employment. This bold move aligns with the broader Viksit Bharat vision, targeting a future where economic opportunities are accessible to millions entering the workforce and vital to driving national development.
By fostering job stability, financial literacy, and employer participation, the scheme aims to catalyse a positive transformation in India's employment landscape—short-term relief with the potential for long-term impact.