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ELI scheme: First Job? Modi Government Will Give You ₹15,000 — Here's How You Can Get the Benefit with Your Salary

Siddhi Jain | July 3, 2025 11:15 AM CST

Under the new Employment Linked Incentive (ELI) Scheme, first-time job seekers can receive up to ₹15,000 in two installments — and companies hiring them will also get financial support.

In a significant boost for young job seekers and the Indian employment landscape, the Central Government has greenlit the Employment Linked Incentive (ELI) Scheme — a game-changing initiative aimed at rewarding first-time employees and incentivizing companies to hire fresh talent. The scheme offers up to ₹15,000 in financial support to individuals starting their first job, along with up to ₹3,000 per new hire to employers.

With this move, the government aims to tackle unemployment, especially in the manufacturing sector, while strengthening formal job creation in the country.

What Is the ELI Scheme?

The Employment Linked Incentive (ELI) Scheme is a part of the ₹2 lakh crore employment package announced in the Union Budget 2024-25. It has an allocated budget of ₹1.07 lakh crore and will be officially launched from August 1, 2025.

The scheme focuses on:

Providing direct monetary support to individuals getting their first formal job.
Encouraging employers to onboard new staff, especially in small and medium enterprises (SMEs).
Formalizing employment by linking benefits to EPFO registration (Employees' Provident Fund Organization).

Who Is Eligible?

To qualify for the ₹15,000 benefit:

You must be a first-time jobholder and not have previously registered with EPFO.
Your job must begin between August 1, 2025 and July 31, 2027.
You must remain employed for at least 12 months.
You must complete a financial literacy program to receive the full benefit.

🟢 Bonus Tip: Even if you started your job before August 1 but are registering with EPFO for the first time after that date, you may still be eligible.

How Will You Receive the ₹15,000?

The benefit will be paid in two installments:

First Installment: After completing 6 months of continuous employment.
Second Installment: After completing 12 months of employment and the financial literacy program.

The incentive will be equal to one month’s salary or up to ₹15,000, whichever is lower. The funds will be directly credited to your bank account or a linked savings account for withdrawal.

How Will Employers Benefit?

The scheme doesn’t just benefit employees — registered companies hiring new EPFO-enrolled staff will also receive monthly incentives:

₹1,000/month per employee for salaries up to ₹10,000
₹2,000/month per employee for salaries between ₹10,001 and ₹20,000
₹3,000/month per employee for salaries above ₹20,000 (up to ₹1 lakh)

Conditions for Employers:

Firms with fewer than 50 employees must hire at least 2 new employees.
Firms with 50 or more employees must hire at least 5 new employees.
The employee must stay for at least 6 months for the company to claim the incentive.
The benefit is available for a maximum of 2 years per new hire.

How Many People Will Benefit?

According to government estimates, 1.92 crore youth are expected to benefit from the ELI scheme. The initiative is part of a broader strategy to generate 3.5 crore new jobs over the next two years.

Why This Scheme Matters

India has long grappled with the challenge of job creation, especially for fresh graduates and youth from lower-income backgrounds. The ELI scheme tackles this head-on by:

Providing financial motivation to join the formal workforce.
Strengthening EPFO enrollment, ensuring long-term social security.
Reducing informal employment, especially in the manufacturing sector.
Supporting employers, especially MSMEs, to expand their teams.

Final Takeaway

If you’re entering the workforce for the first time, the Modi government's ELI scheme is a timely opportunity to boost your income, build your savings, and secure your financial future. And for businesses, especially startups and SMEs, this is a golden chance to grow their workforce with direct government support.

Make sure you're EPFO-registered, fulfill the conditions, and don’t forget to complete the financial literacy course to unlock your full benefits!