Budget 2024: PM’s ₹2 lakh crore package to boost youth employment

By Vivek Dubey

CNBC-TV18.com

Published July  23, 2024

PRIME MINISTER'S PACKAGE UNVEILED

Finance Minister Nirmala Sitharaman announces a ₹2 lakh crore package for youth employment, skilling and opportunities over 5 years.

Incentives for New Employees

First-time employees registered in EPFO receive up to ₹15,000 in three instalments. Eligibility for employees with salaries up to ₹1 lakh.

Job Creation in Manufacturing

Scheme offers incentives to employers for hiring first-time employees. Subsidies linked to EPFO contributions for up to four years.

Refund Policy for Employers

Employers must refund the subsidy if employment ends within 12 months. Aimed at maintaining job stability.

Employer Support Scheme

Reimbursement up to ₹3,000 per month for EPFO contributions for additional employees. Expected to create 50 lakh new jobs.

Skilling Youth Initiative

Over 20 lakh youth to be skilled in 5 years. Upgrading 1,000 ITIs to enhance training facilities and opportunities.

Revised Skilling Loans

Model Skill Loan Scheme updated to offer loans up to ₹7.5 lakh for vocational training, supporting skill development.

Internship Expansion Plan

1 crore youth to gain internships in 500 top companies over 5 years. Includes ₹5,000 monthly allowance and ₹6,000 one-time aid.

CSR-Funded Training

Companies to use CSR funds for training costs in the internship scheme. Aiming for practical skill development.

Support for ITI Upgrades

1,000 Industrial Training Institutes to be modernised with hub and spoke model. Enhancing educational infrastructure for better skilling.

Long-Term Employment Benefits

Package focuses on sustained job creation and skill enhancement to support India's growing youth population over the next 5 years.