If you’re about to start your first job, your joy will double on August 15th! The Modi government has given the youth of the country an unprecedented gift. Prime Minister Narendra Modi made the historic announcement from the ramparts of the Red Fort on August 15, 2025, to implement the Pradhan Mantri Vikas Bharat Rojgar Yojana (PMVBHI). This means that young people entering professional life for the first time will receive a direct gift of ₹15,000 from the central government.
Under PMVBHI, young people joining their first job will receive ₹15,000. Additionally, companies employing young people will receive an incentive of up to ₹3,000 per employee. What is this unique scheme? What benefits will it provide to the employee and the company, and how will the money be deposited into their accounts? Let’s understand these questions in detail.
What is the Pradhan Mantri Vikas Bharat Rojgar Yojana
The central government has launched the PM Vikassheel Bharat Rojgar Yojana (PMVBHI) to boost the workforce in the country. Following the budget announcement, the scheme will be implemented nationwide from August 1, 2025. Originally launched as the Employment Linked Incentive Scheme (ELI) for youth, it has now been renamed PMVBHI.
Under this scheme, young people who become EPFO (Employees’ Provident Fund Organization) members upon joining their first job will receive up to ₹15,000 from the government in addition to their salary. Companies will also receive money per employee for two years. With a special focus on the manufacturing sector, this sector will receive this money for four years.
A budget of ₹99,446 crore has been allocated for this scheme. The main objective of the PM Vikasit Bharat Rojgar Yojana is to create over 3.5 million jobs over two years, with 1.92 million beneficiaries joining the workforce for the first time.
Dual Benefits of PMVBHI
The dual benefits of the PM Vikasit Bharat Rojgar Yojana make it unprecedented:
Benefits for the Employee
Beneficiaries will receive ₹15,000 upon generation of their first UAN number. This money will be disbursed in two installments upon joining a job. This scheme will only benefit those with a maximum gross salary of up to ₹1 lakh.
Benefits for the Company
Companies will receive up to ₹3,000 per month per employee upon hiring a new employee. This payment will be valid for two years, while manufacturing companies will receive it for four years. The amount to be paid to the company based on salary is as follows: ₹1,000 for a salary up to ₹10,000, ₹2,000 for a salary between ₹10,000 and ₹20,000, and ₹3,000 for a salary between ₹20,000 and ₹1,00,000.
Eligibility and Conditions
Young people who are first-time EPFO members are eligible for this scheme. The employee’s gross salary must be ₹1 lakh or less, and the employee must have worked for the same company for at least six months. The company must also be registered with the EPFO. If the company has 50 or fewer employees, it must hire a minimum of two new employees, and if it has more than 50 employees, it must add a minimum of five. Most importantly, the employee must not already have an EPFO account.
Application Process
There is no need to submit a separate application under the PM Vikas Bharat Rojgar Yojana. An employee becomes eligible for this scheme as soon as they open their PF account for the first time. The government will transfer funds based on their UAN number.
Required Documents
The EPFO UAN number, the company’s appointment letter, Aadhaar card, and a bank account linked to the Aadhaar card are required for this scheme.
When and How to Receive Funds
The first installment of the PM Vikas Bharat Rojgar Yojana will be deposited into the employee’s account upon completion of six months with the company. The second installment will be deposited after completion of 12 months and the completion of the Financial Literacy Program.
Some funds will also be deposited into the PF account to encourage savings among youth. The employee’s share of funds will be deposited directly into their account through DBT, and similarly, the company’s share will also be deposited directly into the account.