ELI Scheme: The government has approved the scheme that was awaited! Now you will get a big gift as soon as you get a job..

There is great news for the youth and middle class of the country. In the Union Cabinet meeting held on Tuesday, July 1, 2025, under the chairmanship of Prime Minister Narendra Modi, the Employment Linked Incentive (ELI) scheme has been given the green signal. This scheme aims to promote jobs in the country and especially to strengthen the manufacturing sector. According to a Mint report, the government has also kept a huge budget of Rs 1.07 lakh crore for this scheme. So let's know what this ELI scheme is and who will get its benefit and how.

What is the ELI scheme?

The Employment Linked Incentive (ELI) scheme is an initiative of the government, through which efforts are being made to increase jobs in the formal sector in the country. The biggest focus of this scheme is to prepare the youth for jobs and support them financially. This scheme is a big step towards strengthening the manufacturing sector in particular. The government claims that through this scheme, more than 3.5 crore jobs will be created by next year, out of which 1.92 crore will be first-time job seekers. This scheme will give new strength to campaigns like 'Make in India' and will accelerate the country's economy.

Who will benefit?

The ELI scheme will benefit those youth who are entering the world of employment for the first time. If you are registering with the Employees' Provident Fund Organization (EPFO) for the first time, the government will give you financial assistance of one month's salary, i.e. a maximum of Rs 15,000. But this money will not be available at once, but will come to your account in two installments. The first installment will be available after completion of 6 months of employment, and the second installment will be available after 12 months of employment and participation in financial literacy programs. A part of this amount will also be deposited in the FD account, which you can withdraw later. However, the benefit of this scheme will be available only to those employees whose monthly salary is Rs 1 lakh or less. That is, if your salary is more than this, then you will not come under the purview of this scheme.

What will the companies get?

The ELI scheme is a big gift not only for the employees but also for the companies providing jobs. The government will give financial incentives to those companies that will hire new employees. If a company is registered with EPFO ​​and it hires new employees, then it will get help of up to Rs 3,000 per month for each new employee. This incentive amount will be given for two years. But there are some conditions for this.

Companies that have fewer than 50 employees will have to hire at least 2 new employees.

Companies that have 50 or more employees will have to hire at least 5 new employees.

The employee will have to stay in the job for at least 6 months, so that the company can get this incentive.

It was announced in the budget, and now it has been approved.
The government had mentioned the ELI scheme in the last budget. This scheme is a part of the Prime Minister's mega package of Rs 2 lakh crore, which aims to provide jobs, training, and other opportunities to crores of youth. Now, after getting approval from the Union Cabinet, the process of implementing this scheme will start soon. The government is trying to ensure that its benefits reach every corner of the country, especially the youth of small towns and rural areas.

How and when will the money be received?

Under the ELI scheme, the amount of Rs 15,000 to be given to the youth working for the first time will be given in two parts. You will get the first installment when you complete 6 months of employment. The second installment will be available after completing 12 months of employment and participating in the government's financial literacy program. A part of this amount will be deposited in your FD account, which you can withdraw later. This arrangement has been made so that the youth get financial help in the initial days of the job, and they can also save to secure their future. Companies will also get incentives every month, but for this, the employee must work for at least 6 months. If the employee leaves the job midway, the company will not get their incentives.

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