The Covid 19 (Corona Virus) Pandemic is having a deep impact on Indian businesses and has already caused an industry collapse and much unemployment. So central government and ministry of labour welfare launched new scheme to support employer and employees.
A new scheme “ Atmanirbhar Bharat Rozgar Yojana” is being launched to incentivise creation of new employment opportunities during the covid recovery phase.
Central Govt to provide subsidy for two years in new employees engaged on or after 01.10.2020 at following scale.
- Entire Employees contribution (12% of wages) & Employers contribution (12% of wages) totaling 24% of EPF wages of new employees in establishments employing up to 1000 employees.
- Only employees EPF contribution ( 12% of EPF wages of new Employees in Establishments employing more than 1000 employees. The subsidy support to get credited upfront in aadhar seeded UAN of eligible new Employees
ABRY Scheme Rule 1 > Employing upto 1000 Employees > 24% of wages (Employee + Employer Share)
ABRY Scheme Rule 2 >Employing more than 1000 Employees > 12% of wages (Only Employees Share)
Eligibility Criteria for Establishments
Establishments registered with EPFO prior to commencements of scheme if they add minimum new employees to reference base of employees taken for September, 2020 as under.
- Minimum of two new employees if reference base is 50 employees or less
- Minimum of five employees if reference base is more than 50 employees.
Establishments registering with EPFO after commencement of scheme to get subsidy for all new employees & there is no reference base of employees.
* This Scheme to be operational till 30th June 2021
