Budget 2024-25: Government announces employment-linked incentive schemes

Union Budget 2024-25: In a move aimed at boosting employment and promoting workforce participation, the government unveiled three new employment-linked schemes as part of the Union Budget for 2024-25. Finance Minister Nirmala Sitharaman, while presenting the budget on Tuesday, July 23, outlined key initiatives designed to support youth entering the job market, enhance women's workforce participation, and develop climate-resilient agriculture.

To address the employment needs of young job seekers, the government will provide incentives to 30 lakh youth entering the job market by covering one month's Provident Fund (PF) contribution. This measure is expected to ease the financial burden on both employers and new employees, encouraging more businesses to hire fresh talent. Additionally, the government will give one month's salary to all new employees entering the workforce. The amount will be provided to employees as a PF contribution, benefiting 210 lakh youths across various sectors.

"The scheme is meant for all persons entering the workforce in all sectors. It will benefit 210 lakh youths," Sitharaman said while presenting the Budget in Parliament.

Working Women Hostels

Recognising the importance of women's participation in the workforce, the government plans to set up working women hostels across the country. These hostels will provide safe and affordable accommodation for working women, thereby supporting their professional endeavours and promoting gender equality in employment.

Continuation of MGNREGA

The Finance Minister also reaffirmed the government's commitment to the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), an existing scheme that guarantees 100 days of wage employment annually to at least one adult member of every household seeking manual work. This scheme remains a cornerstone of rural employment and social security.

(Source: Republicbiz)