The Cabinet Committee on Economic Affairs headed by the Hon’ble Prime Minister Shri Narendra Modi has approved the extension of Pradhan Mantri Rojgar Protsahan Yojana (PMRPY). Now, the Central Government of India will provide contribution to the Employer’s full admissible contribution for the first three years from the registration date of the new employee. It will be done for all the sectors including existing beneficiaries for their remaining period of three years.
Through this decision, the informal sector workers will get social safety net and there would be more job opportunities.
So far, this scheme has generated quite encouraging results and have benefitted about 31 Lakhs beneficiaries to the formal employment involving an expenditure of over Rs. 500 crores.
Details of Pradhan Mantri Rojgar Protsahan Yojana
The Pradhan Mantri Rozgar Protsahan Yojana was launched in August 2016. The main motive behind launching this scheme is to encourage employers and provide new employment opportunities, in which the Central Government is paying the 8.33% contribution of Employers to the Employees’ Pension Scheme (EPS) in respect of new employees (who have joined on or after 1st April 2016) having a new Universal Account Number (UAN), with a monthly salary up to Rs. 15,000/-.
The other name of Pradhan Mantri Rojgar Protsahan Yojana is ‘a double benefit scheme’. Under this scheme, the employer is encouraged to hike the employment base of the workers in the establishment.
Pradhan Mantri Rojgar Protsahan Yojana Features
- Under this scheme both the employer and the unemployed get benefits under this scheme.
- 8.33% eps contribution of the Employer who got registration under this scheme will be paid by the Government of India, which will be received by the employee and the benefit will be direct to the employee.
- Employers and Employees can also get online registration under this scheme and can be registered themselves.
- For Employer Registration, an employer should register under EPFO and the employer should have LIN (Labor Identification Number) which is given by the Labor Portal when registering it.