Prime Minister Narendra Modi on Friday announced a “Pradhan Mantri Viksit Bharat Rozgar Yojana” and said those getting the first job in the private sector will get Rs 15,000 from the Centre.

Delivering his address to the nation from the ramparts of the Red Fort on the 79th Independence Day, PM Modi said the Rs 1 lakh crore scheme will come into effect immediately. He said the scheme will benefit more than 3.5 crore people.

“Today is August 15, and we are launching a Rs 1 lakh crore scheme for the youth of this country. It is good news for you that PM Viksit Bharat Rozgar Yojana is being rolled out from Today,” he said.

The name is in alignment with the scheme’s overall objectives towards the Viksit Bharat initiative and reflects the Government’s commitment to generating inclusive and sustainable employment opportunities in the country,” the Ministry said.

The scheme consists of two parts, with Part A focused on first timers and Part B focused on employers:

Targeting first-time employees registered with the Employees’ Provident Fund Organisation (EPFO), Part A will offer one-month EPF wage up to Rs 15,000 in two instalments.

Employees with salaries up to Rs 1 lakh will be eligible. The 1st instalment will be payable after six months of service, and the 2nd instalment will be payable after 12 months of service and completion of a financial literacy programme by the employee.

“To encourage the habit of saving, a portion of the incentive will be kept in a savings instrument or deposit account for a fixed period and can be withdrawn by the employee at a later date,” the Ministry said.