Atmanirbhar Bharat Rojgar Boosts Employment

The Indian government has introduced a significant employment stimulus package known as the Atmanirbhar Bharat Rojgar Yojana, with a budget allocation of Rs.22,810 crore. This initiative is designed to encourage businesses to increase their workforce during the economic downturn caused by the COVID-19 pandemic. The scheme aims to alleviate the financial burden on employers and employees by subsidizing provident fund contributions, thereby promoting job creation across various sectors.

Overview of Atmanirbhar Bharat Rojgar Yojana

Atmanirbhar Bharat Rojgar Yojana is a strategic intervention by the Indian government to boost employment in the aftermath of the COVID-19 crisis. It seeks to stimulate the job market by offering financial incentives to employers for every new employee hired. The key feature of this scheme is that the government will cover both the employees’ and the employers’ contributions to the Employees’ Provident Fund (EPF) for a period of two years. This move is intended to reduce the cost of hiring for businesses and encourage them to expand their workforce.

Eligibility Criteria for Businesses and Employees

To qualify for the Atmanirbhar Bharat Rojgar Yojana, businesses must meet certain criteria. They should have added a specified number of new employees to their payroll, and the benefit is applicable only to those employees whose monthly wages are less than Rs.15,000. Additionally, for companies with up to 50 employees, the government will subsidize the EPF contributions for new hires comprising at least two new jobs. For companies with more than 50 employees, the subsidy will apply if at least five new employees are hired.

Projected Impact on Employment

The scheme is expected to have a substantial impact on the job market, with an estimated 58.5 lakh employees set to benefit from it. By covering the EPF contributions, the scheme reduces the financial strain on both small and large enterprises, making it more feasible for them to hire additional staff. The government’s support is projected to last until 2023, providing a significant window for businesses to stabilize and grow their operations while contributing to the overall reduction of unemployment in the country.

Fiscal Allocation and Government Support

The Indian Cabinet has sanctioned an initial amount of Rs.1,584 crore for the current fiscal year to support the implementation of the Atmanirbhar Bharat Rojgar Yojana. This funding is part of the larger budgetary allocation of Rs.22,810 crore that has been earmarked for the scheme until 2023. The financial backing from the government underscores its commitment to reviving the economy by catalyzing job creation and supporting businesses during these challenging times.

Application and Enrollment Process

Businesses interested in availing the benefits of the Atmanirbhar Bharat Rojgar Yojana need to register with the Employees’ Provident Fund Organization (EPFO). The application process involves submitting relevant details about the new hires, including their salary information and joining date. The EPFO then verifies the eligibility of the employees and the employer before approving the subsidy. The streamlined process is designed to ensure that the benefits reach the intended recipients promptly and efficiently.

Conclusion

In conclusion, the Atmanirbhar Bharat Rojgar Yojana is a timely intervention aimed at mitigating the employment challenges posed by the COVID-19 pandemic. By subsidizing EPF contributions, the scheme incentivizes businesses to undertake new hiring, thereby fostering job growth and economic recovery. With the government’s substantial financial support and commitment to the program, the Atmanirbhar Bharat Rojgar Yojana stands as a pivotal step towards building a self-reliant India with a robust workforce.