Budget 2024: Prime Minister's package in the budget will boost employment and skilling for 4.1 crore youths

The Union budget has announced many schemes to create employment opportunities, skill enhancement, and social welfare schemes towards making a Viksit Bharat by 2024.

A central outlay of Rs 2 lakh crore was allocated as part of the prime minister's package for five key schemes and initiatives that the government will initiate over the next five years.

The package will facilitate employment, skilling, and other opportunities for over 4.1 crore youths. The initiatives include employment-linked incentives, besides enhancing skilling, women's workforce participation, and support for MSMEs in creating jobs. The initiatives will also include strengthening capital infrastructure.

Three of these five schemes will be implemented through the Employee Provident Fund Organisation (EPFO), by incentivizing both employers and employees. 

These Employment-Linked Incentive Schemes are designed to recognize first-time employees and provide comprehensive support to both employees and employers.
The first scheme will target first-time employees in the formal sector who are registered with EPFO. This scheme offers a one-month wage (up to Rs. 15,000) in three instalments.

The second scheme will focus on job creation in the manufacturing sector, this scheme will incentivize both employees and employers for additional first-time employees. The scheme will offer benefits based on their EPFO contributions during the first four years of employment. Employees with salaries up to Rs. 1 lakh will be eligible under this scheme.

Third scheme under PMs package will provide support to employers by reimbursing Rs. 3,000 per month for two years towards their EPFO contribution for each additional employee with a salary of up to Rs. 1 lakh per month.

The Budget also announced major reforms for labour welfare, including the comprehensive integration of E-shram portals with other platforms. 

This will give a one-stop solution for skill requirements, job roles, and connect job aspirants with potential employers and skill providers. With this e-shram will become a one-stop solution for all kinds of labour welfare, employment, and skilling.

Another significant announcement in the budget involves the revamping of the Shram Suvidha and Samadhan portals to streamline industry compliance processes and enhance the grievance redressal mechanisms for workers respectively.

The other two schemes under the Prime Minister's package are also geared towards augmenting skills and opportunities for internships, thereby enhancing employability.

Fourth scheme will be a new centrally sponsored scheme for skilling 20 lakh youths over five years in collaboration with state governments and industry, along with upgrading 1,000 Industrial Training Institutes to align with industry skill needs.

Last and the fifth scheme under PMs package will offer internship opportunities to one crore youth in 500 top companies over the next five years. The scheme will provide an internship allowance of Rs. 5,000 per month and a one-time assistance of Rs. 6,000, with real-life business and professional exposure.

To boost women's participation in the workforce, the Budget has proposed establishing working women hostels and creches in collaboration with industry, alongside organizing women-specific skilling programs and promoting market access for women self-help group (SHG) enterprises.

Other initiatives announced in the budget to foster a robust and diverse job market include Job Creation through Infrastructure Projects. 

Capital expenditure of Rs 11.11 lakh crore is expected to generate numerous job opportunities across sectors such as construction, transportation, and logistics. This is expected to address unemployment and underemployment in both urban and rural areas.

The budget also has provisions for encouraging entrepreneurship, this includes financial support and tax benefits for start-ups and MSMEs to foster a culture of entrepreneurship, and create diverse job opportunities.

To create rural employment and livelihoods, the budget has increased funding for the MGNREGA to ensure increased employment opportunities in rural areas.

To promote manufacturing and services, the budget has provisions for setting up "plug and play" industrial parks with complete infrastructure in 100 cities.

Out of these twelve industrial parks will be developed under the National Industrial Corridor Development programme to promote new industries which will again create millions of jobs.

Overall the 2024-25 Budget reflects a steadfast commitment to sustainable growth, the creation of unprecedented opportunities for employment & self-employment, skill enhancement, and social welfare laying a strong foundation for Viksit Bharat.