New Delhi:  The Union Cabinet, chaired by Prime Minister Narendra Modi has given its approval for Atmanirbhar Bharat Rojgar Yojana (ABRY) to boost employment in formal sector and incentivize creation of new employment opportunities during the Covid recovery phase under Atmanirbhar Bharat Package 3.0. The Cabinet has approved an expenditure of Rs 1,584 crore for the current financial year and Rs 22,810 crore for the entire Scheme period, which is, 2020-2023.

As per the scheme, the Government of India will provide subsidy for two years in respect of new employees engaged on or after 1st October, 2020 and up to 30th June, 2021. The Central government will pay both 12 per cent employees’ contribution and 12 per cent employers’ contribution, that is, 24 per cent of wages towards EPF in respect of new employees in establishments employing up to 1000 employees for two years. The government will pay only employees’ share of EPF contribution, that is, 12 per cent of wages in respect of new employees in establishments employing more than 1000 employee for two years.

An employee drawing monthly wage of less than Rs 15000, who was not working in any establishment registered with the Employees’ Provident Fund Organisation (EPFO) before 1st  October, 2020 and did not have a Universal Account Number or EPF Member account number prior to 1st October 2020 will be eligible for the benefit,

Any EPF member possessing Universal Account Number (UAN) drawing monthly wage of less than Rs 15000, who made exit from employment during Covid pandemic from 01.03.2020 to 30.09.2020 and did not join employment in any EPF covered establishment up to 30.09.2020 will also be eligible to avail benefit, EPFO will credit the contribution in Aadhaar seeded account of members in electronic manner,

According to an official statement, the EPFO shall develop the software for the scheme and also develop a procedure which is transparent and accountable at their end. The EPFO shall work out modality to ensure that there is no overlapping of benefits provided under ABRY with any other scheme implemented by EPFO. /BI/