The Ministry of Labour & Employment, Government of India, announced that under the ‘Pradhan Mantri Viksit Bharat Rozgar Yojana’, youth securing their first formal job will receive an incentive of up to ₹15,000.
The incentive will be disbursed in two instalments, directly supporting young professionals entering the organized workforce.
₹15,000 Incentive for First-Time Employees
The scheme is designed to encourage formal employment and expand social security coverage.
Eligible employees who join establishments between August 1, 2025, and July 31, 2027, and who were not previously registered with the Employees Provident Fund (EPF), will qualify for this benefit. The government aims to create over 3.5 crore jobs nationwide during this period, with a budget allocation of ₹99,446 crore.
Under the Pradhan Mantri Viksit Bharat Rozgar Yojana, youth securing their first formal job will receive an incentive of up to ₹15,000, disbursed in two instalments. pic.twitter.com/c4Y1io8TaA
— Ministry of Labour & Employment, GoI (@LabourMinistry) December 17, 2025
Employer Benefits Under the Scheme
Employers also stand to gain. According to reports, companies can avail of incentives of up to ₹3,000 per employee per month for each new hire.
This dual benefit structure ensures that both employees and employers are motivated to participate, thereby strengthening India’s formal job market.
Official Statement and Impact
Announcing the scheme, the Ministry emphasized that the initiative will “support employment generation, enhance employability, and expand social security.”
| Category | Details |
|---|---|
| Scheme Name | ‘Pradhan Mantri Viksit Bharat Rozgar Yojana’ |
| Announcement Date | December 20, 2025 |
| Beneficiaries | Youth securing their first formal job |
| Incentive Amount | Up to ₹15,000 |
| Disbursement | Two instalments |
| Employer Benefit | Up to ₹3,000 per employee per month |
| Implementation Period | August 1, 2025 – July 31, 2027 |
| Budget Allocation | ₹99,446 crore |
According to Times of India, newly joined employees are eligible for provident fund incentives up to ₹15,000, while employers can claim monthly benefits for each new worker. This announcement is expected to boost youth participation in the formal sector significantly.
Experts believe the ‘Pradhan Mantri Viksit Bharat Rozgar Yojana’ will not only provide financial relief to young employees but also encourage companies to expand hiring.