Pradhan Mantri Rojgar Protsahan Yojana (PMRPY)

 

Pradhan Mantri Rojgar Protsahan Yojana (PMRPY)

In recent times Modi government has taken quite a lot of initiatives to boost up the employment in India. As the nation terribly suffers from high unemployment rate, the government has been keen to encourage employment generation in various ways. After launching the Stand up India scheme successfully now the central government has started another employment generation scheme for the unemployed people namely Pradhan Mantri Rojgar Protsahan Yojana aka PMRPY. Under this scheme people who are getting wages of Rs. 15, 000/- per month will be getting employment facilities to enhance their employment skills. Government will pay 8.33% of the basic wage as pension in EPS on behalf of the employer.

Pradhan Mantri Rojgar Protsahan Yojana Key Features

  • The scheme is to create more employment opportunities for the unemployed people in the country. It is launched by the central government in 2016-17 Budgets.
  • The scheme is designed to provide some employment facilities to the newly employed people. Employees who are drawing Rs. 15, 000/- wages per month and also people who are working 240 days in a year will be eligible to register under the scheme.
  • Under this scheme government will pay 8.33% of the wages to the EPS i.e. Employment Pension Scheme in the first three years of the employment period. This will be done on the behalf of the employer.
  • Total of 1000 Cr Indian rupees have been allocated for the scheme. The scheme is launched in this year 2016 and expected to start in few days.
  • As of now more than 3 lakh establishments are covered under this scheme in which nearly 20 workers per establishment are expecting to be hired.

Pradhan Mantri Rojgar Protsahan Yojana (PMRPY)

Pradhan Mantri Rojgar Protsahan Yojana Launch

The scheme was launched in Lok Sabha on 1st August 2016. The information regarding the scheme was announced by the Minister Shree Bandaru Dattatreya from the Ministry of the State for Labour and Employment on the mentioned date in Lok Sabha meeting.

Pradhan Mantri Rojgar Protsahan Yojana Objective

  • The main objective of the scheme is to enhance and encourage the employment in the nation. The scheme does not create employment opportunity directly but of course it accelerates the employers to create more employment opportunities for the people.
  • In this scheme the government will provide incentives to the employers so that they recruit more people in their departments and get rid of high unemployment rates.

Pradhan Mantri Rojgar Protsahan Yojana Budget

As per the sources central government has already allocated Rs. 1000 Cr for this scheme. They have considered more than 3 Lakh establishments in the nation where employers will get the benefit of 8.33% of EPS contribution from government if they recruit 20 employees with wage up to Rs. 15, 000/- per month.

Employee Facility

The scheme is launched to increase the employment opportunity in the economy through giving away the incentives to the employers. So under this scheme there is no direct facility that an employee can get. But of course this scheme will generate more employment opportunity for the deserving people. On the other the wage rate must be up to Rs. 15, 000/- to enjoy the employers’ benefits.

As per the expectation from the scheme, this will also balance the regulation in the labour market. However most of firms might get disturbed about it as it will lead to regularise their books of their companies.

The scheme is no doubt paying full benefits to the employers. The main aim of the scheme is to encourage the employers to generate more vacancies in their firms. Under this scheme the government will be paying 8.33% of the wage of the employee who earns up to Rs. 15, 000/- per month in Employment Pension Scheme on the behalf of the employers for the first three years of the employment.

The scheme also allows the employers to reimburse the money if not paid by the government on time. The scheme is eligible for the new employees who are getting nominal wage of up to Rs. 15, 000/- per month.

Pradhan Mantri Rojgar Protsahan Yojana – Quick View

Scheme PMRPY
Launched on 1st August 2016
Launched by Central Government of India
Department Ministry of State Labour and Employment
Aim To increase employment opportunity
Beneficiaries Employers
Wage under the scheme Rs. 15, 000/- per month (Max.)
Government contribution 8.33% of wage to EPS on behalf of employer
Budget allocated Rs. 1000 Crore

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