Modi Cabinet approves Rs 99,446 crore ELI scheme
The Prime Minister Narendra Modi-led Cabinet on Tuesday approved the Employment Linked Incentive (ELI) scheme to promote job creation and improve social security.
The scheme aims to promote employment generation, enhance employability and social security across all sectors, with a particular focus on the manufacturing sector.
Union minister Ashwini Vaishnaw said that the ELI scheme, with an outlay of Rs. 99,446 crore, will support the creation of over 3.5 crore jobs in the country.
- The ELI scheme has two parts: one for first-timers and the other for employers.
- The scheme will target first-time employees registered with EPFO, and offer them one-month EPF wage up to ₹15,000 in two instalments. Employees with salaries up to ₹1 lakh will be eligible for the scheme.
- “The first instalment will be provided after six months of employment, and the second after twelve months, along with the completion of a basic financial literacy program,” according to a government release. “To encourage saving habits, a part of this amount will be deposited in a savings account that can be withdrawn later.”