PM-VBRY Scheme: EPFO Offers Up to ₹15,000 to First-Time Employees

The Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY) offers the employment incentive of up to ₹15,000 for eligible the first-time employees who joins India’s formal employment sector. The programme is run by the Employees’ Provident Fund Organisation (EPFO) and seeks to promote formal employment and social security coverage. For eligibility, employees have to meet certain criteria related to past provident fund membership, salary, joining date, and bank account information. The incentive is payable in two installments, where the second installment is conditional on undertaking a financial literacy course.

What Is the PM-VBRY Scheme?

Pradhan Mantri Viksit Bharat Rozgar Yojana (PM-VBRY) is an employment-linked incentive scheme that encourages employment creation and formal employment for workers.

There are two parts to this scheme:

• Part A – Employee incentive: Offers incentive of up to ₹15,000 to eligible first-time employees.
• Part B – Employer incentive: Promotes creation of more formal jobs by eligible employers through financial incentives for qualifying new employees.

Who qualifies for ₹15,000 incentive for employees?

Under Part A, the employee has to fulfill certain conditions to get the benefit.

Eligibility condition	Requirement
First-time EPFO membership	Has not contributed to any EPF membership prior to 1 August 2025, including from an exempted provident fund trust
Period of joining	Should join the eligible establishment between 1 August 2025 to 31 July 2027, both dates inclusive
Monthly gross salary	Should not exceed ₹1 lakh per month
Eligibility of employer	Should be working with the EPFO registered establishment or an establishment having an exempted provident fund trust
Residency and bank account	Should be an Indian resident with an Aadhaar linked bank account
Record of EPF contributions	The first qualifying EPF contributions should be made for the wage month starting from 1 August 2025

Just changing the job doesn’t automatically make one a first-time employee. If one has already made any EPF contributions prior to 1 August 2025, he/she will not qualify for this benefit.

How Much Will Be Paid to the Employees?

An employee who meets the eligibility criteria is entitled to receive an amount of up to ₹15,000, depending on the wage-related formula and other conditions of the scheme. The incentive is given in two installments.

Installment	Eligibility criterion	Maximum amount
First installment	Six months of continuous service	₹7,500
Second installment	Twelve months of continuous service and completion of the specified financial literacy course	The rest of the amount eligible, subject to the total limit of ₹15,000

The maximum amount is not the guaranteed amount for all eligible employees. The incentive is calculated according to the applicable rules.

The scheme also includes provision of a certain part of the second installment to be deposited into the savings tool. Therefore, the employees should clarify the terms of payment of the incentive.

Why is the Financial Literacy Course Compulsory?

Apart from fulfilling the required period of employment, it may not suffice for getting the second installment. The employees are also supposed to complete the mandatory financial literacy course.

This is aimed at enhancing the knowledge of the employees regarding financial management, savings, and financial products. It may also assist new employees in understanding the provident fund contribution.

The employees need to verify the course requirements prescribed and ensure that the employment details, Universal Account Number (UAN), Aadhaar number, and bank details are correct.

What Should Be Verified by the Employees Before Receiving the Benefit?

The eligible employees must have to check the following information before receiving the benefit,

• Past EPF membership: Whether there were any qualifying contributions before the 1st of August 2025, including through the exempted provident fund trust.
• Joining date and salary: Whether the joining date was in the period of the scheme and the monthly gross salary is less than ₹1 lakh.
• Establishment qualification: The establishment must have to satisfy the eligibility criteria of the scheme.
• EPF contribution information: The establishment has also recorded the information related to the joining date and contributions.
• Bank account and Aadhaar details: The details of the Aadhaar linked with the bank account and other details are needs to be accurate.
• Service and training: Six months of continuous service for the first instalment and 12 months of service and financial literacy training for the second.

The benefit is different from the normal provident fund contribution. It must not be mistaken for the EPF account balance of the employee, which is created through contributions.