To avail of the benefits of the Employment Linked Incentive (ELI) plan, employees must activate a Universal Account Number (UAN) and link their Aadhaar to their bank account. The last date for this has been fixed as 30 November 2024. This plan is being operated by the Employees Provident Fund Organization (EPFO).

EPFO has clarified in its circular that the benefit of the ELI plan will be available directly through Direct Benefit Transfer (DBT). For this, employees will have to activate UAN by visiting the EPFO ​​portal.

The process to activate UAN

Employees can activate their UAN by following these simple steps:

• Visit the EPFO ​​member portal.
• Click on 'Activate UAN' in the 'Important Links' section.
• Enter your UAN number, Aadhaar number, date of birth, and Aadhaar-linked mobile number.
• After Aadhaar OTP verification, click on 'Get Authorization PIN'.
• Enter the OTP received on the mobile linked to Aadhaar.
• Upon successful activation, the password will be sent to your registered mobile number.

Objective and Benefits of the ELI Plan

The ELI plan announced by Finance Minister Nirmala Sitharaman in the Union Budget 2024-25 is divided into three parts. It aims to benefit companies and employees.

Plan A: Opportunities for fresh graduates.

• Under Plan A, companies will get a subsidy of ₹15,000 per employee for hiring fresh graduates.
• This amount will be given in three installments.
• The government aims that 30 lakh youth will benefit from this.

Plan B: Boosting the manufacturing sector

• Under the special Plan B for the manufacturing sector, companies hiring new employees will be reimbursed up to ₹3,000 per month EPF contribution for up to two years.
• Companies will have to either add 50 new employees or increase their workforce by 25%.
• Small companies will have to add at least two new employees and big companies will have to add five new employees.

Plan C: Promote new jobs

Plan C aims to encourage hiring in other industries. Though the details are still being worked out, it will provide a wider range of employment opportunities.

Government's big bet on employment

Through the ELI plan, the government is committed to providing new employment opportunities to the youth and encouraging industries. This plan is expected to bring about a big change in the employment sector in the country.