Employment-Linked Incentive Scheme will be Implemented in Mission-Mode: Mandaviya
The Union Minister of Labour, and Employment Dr Mansukh Mandaviya, on Tuesday, directed the expeditious implementation of the Employment-Linked Incentive (ELI) Scheme announced in Union Budget 2024-25 in a mission mode.
ANI
Aug 06, 2024 16:27 IST
New Delhi [India], August 6 (ANI): The Union Minister of Labour, and Employment Dr Mansukh Mandaviya, on Tuesday, directed the expeditious implementation of the Employment-Linked Incentive (ELI) Scheme announced in Union Budget 2024-25 in a mission mode.
The Union Minister reviewed the ELI Scheme and its implementation plans.
Union Minister of State for Labour and Employment, Shobha Karandlaje and senior officials of the Ministry and EPFO were also present in the meeting.
Mandaviya emphasized the importance of a robust mechanism to ensure that the benefits of the ELI Scheme reach the true beneficiaries.
"It is imperative that our efforts are directed towards creating a sustainable and inclusive employment ecosystem. The ELI Scheme is designed to facilitate job creation, and provide incentives to employers and employees," Union Minister stated.
As part of Union Budget announcements made by Finance Minister Nirmala Sitharaman on July 23, ELI Schemes are designed to recognise first-time employees and provide comprehensive support to both employees and employers.
As per the announcements, a central outlay of Rs 2 lakh crore was allocated as part of the prime minister's package for five key schemes and initiatives that the government will initiate over the next five years.
The package will facilitate employment, skilling, and other opportunities for over 4.1 crore youths. The initiatives include employment-linked incentives, besides enhancing skilling, women's workforce participation, and support for MSMEs in creating jobs. The initiatives will also include strengthening capital infrastructure.
Three of these five schemes will be implemented through the Employee Provident Fund Organisation (EPFO), by incentivizing both employers and employees. These Employment-Linked Incentive Schemes are designed to recognize first-time employees and provide comprehensive support to both employees and employers.
The first scheme will target first-time employees in the formal sector who are registered with EPFO. This scheme offers a one-month wage (up to Rs. 15,000) in three instalments.
The second scheme will focus on job creation in the manufacturing sector, this scheme will incentivize both employees and employers for additional first-time employees. The scheme will offer benefits based on their EPFO contributions during the first four years of employment. Employees with salaries up to Rs. 1 lakh will be eligible under this scheme.
The third scheme under the PMs package will provide support to employers by reimbursing Rs. 3,000 per month for two years towards their EPFO contribution for each additional employee with a salary of up to Rs. 1 lakh per month. (ANI)
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