On Wednesday, the Union Cabinet decided to promote employment in the formal sector and encourage employment opportunities in the COVID-19 recovery phase, under the Self-Reliant India Package-3. The meeting was headed by Prime Minister Narendra Modi. In order to implement this decision in actuality, the Union Cabinet has allocated a budget of ₹1584 crore for the F.Y. 2020-21 and ₹22,810 crore for the entire plan period i.e. 2020-2020.
According to an official statement, about 58.5 lakh employees are expected to get benefits under this ‘Atma Nirbhar Bharat Rozgar Yojana’. The Center will provide a subsidy for two years to all new employees recruited on or after October 1, 2020 and till June 30, 2021.
In employment-provider organizations that have upto 1000 employees, the Central Government will add 12 percent of total employees’ revenue and 12 percent of total employer’s contribution to the Employees’ Provident Fund (EPF) along with adding extra 24 percent of salary allowances for two years.
In organizations where there are more than 1000 employees, the center will contribute 12% of the employees only, in the EPF for two years and only for specified new employees.
A worker whose monthly salary is less than ₹15 thousand and is has not worked in any other institution which was registered with the Employees Provident Fund Organization (EPFO) before October 1, 2020 and has didn’t possess Universal Account Number or EPF before this period, he/she would be eligible for this scheme.
Any EPF member who possesses universal account number, having monthly salary less than ₹15,000 and if he/she has left the job during the COVID-19 pandemic between March and September this year and is in any employment provider institution falling under the ambit of EPF If there is no employment till September, then he is also eligible to take advantage of this scheme.
EPF members with Universal Account Number can avail the benefits under ‘Atma Nirbhar Bharat Rozgar Yojana’ with following conditions :
1. The person must have monthly salary less than ₹15,000
2. He/She would have left the job during the COVID-19 pandemic between March and September.
3. He/She must bs in any employment provider institution falling under the ambit of EPF. EPFO will pay this contribution electronically to the account linked to the Aadhaar number of the members.