The Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY) is a key government effort to boost employment and bring more of India’s workers into the fold of the formal economy. Think of the incentive as a kind of starter fuel—it gets a company’s hiring engine running with less friction and provides a worker with a more solid ground on which to stand. With a deliberate push in manufacturing, the aim is to create a self-sustaining wave of quality employment that lifts the entire nation’s economic vitality.
The scheme officially launched on August 1, 2025, and is set to run for an initial two-year term. Recognizing the long-term needs of manufacturing, it carves out a special provision, allowing support to continue for up to four years within that vital sector.
Important Dates
| Event | Date |
|---|---|
| Effective Date | August 1, 2025 |
| Registration Period | August 1, 2025, to July 31, 2027 |
| Incentive Disbursement | First installment after 6 months of continuous employment; second installment after 12 months |
Employers and employees are advised to complete their registration within the specified timeline to avail of the scheme’s benefits.
Objectives of the Yojana
The Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY) has been introduced with the following key objectives:
- Encourage Sustainable Employment Generation: To promote the creation of new and sustained jobs across sectors.
- Formalization of Workforce: To bring more workers under the formal employment structure, ensuring social security and legal benefits.
- Enhance Youth Employability: To provide employment opportunities, especially for first-time job seekers.
- Boost Manufacturing Sector Employment: To encourage industries to generate long-term employment opportunities in the manufacturing sector.
- Promote Financial Awareness: To improve financial literacy among employees and inculcate savings habits.
Eligibility Criteria
The eligibility criteria differ for employees and employers under the scheme.
For Employees (Part A – First-Time Job Seekers)
An employee is eligible if they:
- Join an establishment registered with the EPFO or an exempted trust between August 1, 2025, and July 31, 2027.
- Have never been a contributing member of the EPFO or any exempted trust before August 1, 2025.
- Earn a gross monthly wage of up to ₹1,00,000 at the time of joining.
- Complete 6 months of continuous service in the same establishment for the first installment.
- Have a UAN (Universal Account Number) authenticated via Face Authentication Technology (FAT) through the UMANG App.
For Employers (Part B – Establishments)
An establishment is eligible if it:
- Is covered under the EPF & MP Act, 1952, including new and exempted establishments.
- Creates net additional employment over a defined baseline.
- Meets the following threshold criteria for new employment generation:
- At least 2 additional employees for establishments with fewer than 50 employees.
- At least 5 additional employees for establishments with 50 or more employees.
- Files Electronic Challan-cum-Return (ECR) regularly with employee contributions.
Scholarship Benefits (Yojana Benefits)
The PM-VBRY provides direct financial incentives to both employees and employers based on defined criteria.
For Employees
- A one-time incentive of up to ₹15,000, paid in two installments:
- First Installment: Up to ₹7,500 after completing six months of continuous service.
- Second Installment: Remaining amount (up to ₹15,000 in total) after 12 months of service and successful completion of a Financial Literacy Programme.
- A portion of the second installment will be placed in a savings instrument to encourage financial discipline.
For Employers
Employers receive a monthly incentive for each additional employee who remains employed for at least six months. The incentive amount is determined based on the employee’s EPF wage slab as shown below:
| EPF Wage Slab of Additional Employee | Monthly Benefit to Employer |
|---|---|
| Up to ₹10,000 | Up to ₹1,000 |
| ₹10,001 to ₹20,000 | ₹2,000 |
| Above ₹20,000 (up to ₹1,00,000) | ₹3,000 |
The incentive duration is two years for all sectors, while for the manufacturing sector, it is extended to the third and fourth years to encourage long-term employment.
Required Documents
Applicants must ensure the availability of the following documents before applying:
For Employees
- Aadhaar Card (linked to UAN)
- Bank Account (Aadhaar-seeded)
- UAN generated and authenticated via Face Authentication Technology (UMANG App)
- Employment details verified by the employer
- Proof of completion of Financial Literacy Programme (for second installment)
For Employers
- Establishment Registration Certificate (under EPF & MP Act, 1952)
- GSTN (if applicable)
- PAN-linked Bank Account details
- Digital Signature Certificate (DSC) for online undertaking submission
- Regular ECR filing records
How to Apply for the Yojana?
The application process for PM-VBRY is primarily online and involves both employers and employees.
For Employees
- The process is initiated by the employer.
- Employees must ensure they have an Aadhaar-authenticated UAN generated using Face Authentication Technology (FAT) via the UMANG App.
- Employees should maintain continuous service and complete the financial literacy module to receive both installments.
For Employers
- Visit the official PM-VBRY or EPFO Employer Portal.
- Navigate to the ‘PMVBRY’ section and select ‘Part B Registration’.
- Provide details such as establishment information, GSTN (if applicable), and PAN-linked bank account number.
- Submit the required undertaking authenticated with a Digital Signature Certificate (DSC).
- Regularly file ECRs to enable system-based incentive verification and disbursement.
Selection Process
The selection mechanism under PM-VBRY is automatic and eligibility-based, not competitive.
For Employees
- Incentive disbursement occurs automatically upon verification of:
- Continuous service of 6 or 12 months,
- Aadhaar-seeded bank account,
- Completion of the financial literacy course.
For Employers
- The EPFO system automatically verifies ECR data to calculate sustained net additional employment.
- Incentives are credited directly based on fulfillment of the baseline and threshold employment criteria.
