EPFO, Tiruchi, reaches out to employers, employees sensitising them to the new ELI Scheme

TIRUCHI

The Employees’ Provident Fund Organisation, Regional Office, Tiruchi has begun to reach out to the employers and employees falling under its jurisdiction sensitising them to the new ‘Employment Linked Incentive (ELI) Scheme’ approved by the Union Cabinet to support employment generation, enhance employability and social security across all sectors with special focus on the manufacturing sector. 

With an outlay of ₹99,446 crore, the ELI scheme aims to incentivize the creation of more than 3.5 crore jobs in the country over a period of two years. Out of these, 1.92 crore beneficiaries would be first timers entering the workforce. The benefits of the scheme would be applicable to jobs created between August 1, 2025 and July 31, 2027.

The EPFO, Tiruchi Regional Office, has been reaching out to the employers and employees through various modes sensitising them to the ELI scheme, the incentives to employees and employers and requirements for availing benefits under the scheme, said the Regional PF Commissioner-II G.R.J.R. Madhava Sankar.

He said the sensitisation exercises were being done by way of holding camps at big establishments besides through webinar and sending emails to the employers. The EPFO, Tiruchi Regional Office, has under its jurisdiction 13 districts covering about 18,000 establishments with its total members being around 12 lakh.

The ELI scheme, Mr. Madhava Sankar said, consisted of two parts with part A focused on Incentive to First Time Employees and Part B support to employers. Under Part A, first time employees registered with EPFO will be offered one-month EPF wage up to ₹15,000 in two instalments.

Employees with salaries up to ₹1 lakh will be eligible. The first instalment will be paid after six months of service and the second instalment payable after 12 months of service and completion of the financial literacy programme by the employee. To encourage the savings habit, a portion of the incentive will be kept in a savings instrument of deposit account for a fixed period and could be withdrawn by the employee at a later date.

Part B portion will cover generation of additional employment in all sectors with a special focus on the manufacturing sector. The employers will get incentives in respect of employees with salaries up to ₹1 lakh. The Central government will incentivise employers up to ₹3,000 per month for two years for each additional employee with sustained employment for at least six months. For the manufacturing sector, the incentives will be extended to the third and fourth year as well.

Establishments registered with the EPFO will be required to hire at least two additional employees (for employers with less than 50 employees) or five additional employees (for employers with 50 or more employees) on a sustained basis for at least six months. All payments to the First Time Employees will be made through the Direct Benefit Transfer mode using the Aadhar Bridge Payment System. Payments to the Employers under Part B would be made directly into their PAN-linked accounts.