ELI Scheme to Boost Job Creation, Ensure Social Security: EPFO Official

The Employment Linked Incentive (ELI) scheme, announced in the Union Budget 2024-25 with a substantial outlay of ₹1 lakh crore, is set to promote large-scale job creation and strengthen social security, according to a senior official from the Employees’ Provident Fund Organisation (EPFO).

Speaking at an awareness program on Tuesday, Regional PF Commissioner-I Randhir Kumar said the scheme is targeted to create 3.5 crore jobs over a two-year period and will come into effect from August 1, 2025, running till July 31, 2027.

“The ELI scheme is a transformative step towards employment generation. It will not only help first-time job seekers but also provide social security benefits through EPFO enrolment,” Kumar said.

He noted that of the total targeted 3.5 crore job beneficiaries, nearly 1.92 crore will be first-time entrants into the workforce. The remaining will include workers shifting to formal employment from informal sectors or rejoining the job market.

The scheme aims to offer financial incentives to employers for hiring new workers, thereby reducing unemployment and supporting labour welfare. It is also expected to enhance formalisation of the workforce by ensuring EPF coverage for new hires.

Experts believe the ELI initiative will be instrumental in addressing post-pandemic employment gaps and boosting labour market participation across various sectors, especially manufacturing, services, and MSMEs.