GS Paper 2
Syllabus: Government policies and intervention
Source: ET
Context: According to the latest government data, the Aatmanirbhar Bharat Rojgar Yojana (ABRY) scheme has fallen short of its employment generation targets.
About ABRY:
| Aspect | Aatmanirbhar Bharat Rojgar Yojana (ABRY) |
| Launch Date | December 2020 (under the Ministry of Labour & Employment) |
| Objective | Boost formal employment generation post-COVID-19 disruptions |
| Target Audience | New employees earning less than ₹15,000 per month in EPFO-registered companies |
| Implementation Agency | Employees’ Provident Fund Organisation (EPFO) |
| Contribution Exemption | Eligible employees do not need to contribute to PF and pension for 2 years |
| Reimbursement | The government reimburses either both employee and employer contributions (24% of wages) or only employee contributions (12% of wages) |
| Eligibility Criteria | Employees hired until March 2022, and those who lost jobs between March 1, 2020, and September 30, 2020, earning less than ₹15,000 per month |
| Enrolment Data | As of July 22, 2023: over 6 million (6 lakhs) enrolments |
| Top 10 States in Employment Generation | Maharashtra, Tamil Nadu, Gujarat, Karnataka, Uttar Pradesh, Haryana, Rajasthan, Telangana, Delhi, Madhya Pradesh |
Issues and challenges associated with the Aatmanirbhar Bharat Rojgar Yojana (ABRY):
- Shortfalls in Enrollment and Job Creation: Enrollment figures indicate that fewer eligible employees have participated in the scheme than anticipated.
- Disbursement Delays: The disbursements under the scheme have lagged behind the set targets, with only about 42% of the initial targeted expenditure utilized so far.
- Limited Impact on Employment Generation: The scheme’s outcomes suggest that it has not been as effective in generating employment as envisioned.
- Complexity and Eligibility Criteria: The complexity of eligibility criteria is creating confusion among eligible employees, employers, and implementing agencies.
- Geographical Disparities: The concentration of beneficiaries in certain states indicates geographical disparities in employment generation.
- Lack of Adequate Promotion: The limited awareness and promotion of the scheme might be contributing to the lower enrollment figures.
Conclusion:
While the Aatmanirbhar Bharat Rojgar Yojana (ABRY) has encountered certain challenges in meeting its initial targets for job creation and disbursements, it has nonetheless contributed to formal employment generation during a challenging economic period post-COVID-19.
Insta links:
Atmanirbhar Bharat Rojgar Yojana (ABRY)
Mains Links:
Discuss the need for and benefits of such Programmes.
