Prime Minister Narendra Modi has launched the PM Viksit Bharat Rozgar Yojana (PM-VBRY), a comprehensive employment scheme aimed at generating 3.5 crore jobs in the private sector within the next two years. Unveiled during his Independence Day speech, the scheme, with an outlay of Rs 1 lakh crore, focuses on incentivizing both first-time employees and employers to boost job creation and provide financial security to the country's youth.

The PM Viksit Bharat Rozgar Yojana primarily targets first-time employees in the private sector who earn up to Rs 1 lakh per month and are registered with the Employees’ Provident Fund Organisation (EPFO). Eligible employees will receive a total incentive of Rs 15,000, disbursed in two installments. The first installment will be paid after six months of employment, and the second after completing twelve months, subject to the completion of a financial literacy program. To encourage saving habits, a portion of the incentive will be held in a savings instrument or deposit account for a fixed period, accessible to the employee later.

In addition to supporting employees, the scheme incentivizes employers to create more job opportunities. Companies registered with the retirement fund body that hire additional employees will receive monthly incentives of up to Rs 3,000 per new hire for two years, provided the employment is sustained for at least six months. Employers in the manufacturing sector will receive extended benefits for an additional two years. Payments to employees will be made via direct benefit transfer (DBT) linked to biometric identification, while employer incentives will be credited to PAN-linked bank accounts.

The scheme aims to benefit approximately 1.92 crore first-time workers, integrating them into the workforce and fostering inclusive and sustainable employment opportunities. The benefits of the scheme apply to jobs created between August 1, 2025, and July 31, 2027. The PM Viksit Bharat Rozgar Yojana is aligned with the broader Viksit Bharat initiative, demonstrating the government's commitment to job creation and economic development.

The launch of the PM Viksit Bharat Rozgar Yojana follows the Union Cabinet's approval of the Employment Linked Incentive (ELI) scheme in July 2025. This initiative builds on previous efforts, such as the Prime Minister's Internship Scheme (PMIS), launched in October 2024, which aims to provide internships to 1 crore young Indians by 2029. The PMIS offers interns a monthly stipend of Rs 5,000, shared by companies and the government, along with a one-time grant of Rs 6,000.

By incentivizing job creation and providing financial support to both employees and employers, the PM Viksit Bharat Rozgar Yojana is expected to significantly boost employment opportunities for the youth, drive economic growth, and promote self-reliance in the country.