PM Modi to Disburse ₹2,400 Crore Under PM Viksit Bharat Rozgar Yojana

In a major push to boost formal employment, Prime Minister Narendra Modi is set to digitally disburse ₹2,400 crore directly into the bank accounts of eligible beneficiaries under the PM Viksit Bharat Rozgar Yojana (PM-VBRY) on June 19, 2026. This scheme, a cornerstone of the government's economic agenda for the new term, is designed to incentivize employers to create new jobs while providing financial support to fresh entrants in the workforce.

Scheme Mechanics

The PM-VBRY operates by subsidizing the provident fund (PF) contributions for new employees. For establishments registering new employees who earn below a specified wage threshold, the government will cover both the employer's and employee's share of EPF contributions (amounting to 24% of wages) for a period of two years. This dual benefit reduces the financial burden on companies hiring new talent while ensuring social security benefits for the workers.

Economic Context

The ₹2,400 crore disbursement represents the first major tranche of funds released since the scheme's formal notification earlier this year. The initiative targets labor-intensive sectors such as textiles, manufacturing, and logistics, aiming to transition millions of workers from the informal economy into the formal sector, thereby expanding the tax base and providing labor protections.