FM Nirmala Sitharaman says govt will launch three schemes to benefit employees

The government will launch three employment-linked schemes, Finance Minister Nirmala Sitharaman said while presenting the Union Budget for 2024-25 on July 23.

These schemes will be based on enrollment in Employees' Provident Fund Organization (EPFO), Sitharaman said in the Lok Sabha.

"Our government will implement three schemes for employment-linked incentives," she said.

About scheme A, she said it will provide one month's wage to those entering the workforce in all sectors.

The scheme B, she said, will incentivize additional employment into the manufacturing sector linked to the employment of first-time employees.

"An incentive will be provided at specified scale directly to the employee and employer with respect to the EPFO contribution in the first four years of employment. This scheme is expected to benefit 30 lakh youth... and their employers," the minister said.

Sitharaman said the scheme C will cover additional employment in all sectors.

"All additional employment within a salary of ₹ 1 lakh per month will be counted," she said, adding that the government will reimburse to employers up to ₹ 3,000 per month for two years towards the EFPO contribution to each additional employee.

The scheme is expected to incentivize additional employment of 50 lakh people.

The minister also announced that working women hostels will be set up in the country to promote women's participation in the workforce.

She added that the government will provide funds to the private sector, domain experts and others for developing climate-resilient seeds.

(PTI)