The Aatmanirbhar Bharat Rojgar Yojana (ABRY) has proven to be a crucial initiative in fostering employment and sustaining jobs during the challenging Covid period. Data from the Ministry of Labour and Employment reveal that expert services, textiles and trading-commercial establishments emerged as the top three sectors collectively making a significant impact in creating and restoring employment benefits.
The data showcase that 38,932 expert service industries reaped the benefits of ABRY, directly influencing 21,55,431 employees in this sector. Expert services include manpower suppliers, contractors and security services. Similarly, 6,516 textile units participated in the scheme, assisting 4,68,518 employees. The trading-commercial establishments sector, comprising 11,526 units, was pivotal in benefiting 4,24,392 employees. These sectors, which are integral to the economic landscape, were pivotal in the success of ABRY during the pandemic.
Other noteworthy sectors that benefited from the scheme include engineering, garments, electronics, mechanical or general engineering products and construction.
While treating Covid patients, about 4,721 hospitals leveraged the scheme to support 1,41,504 employees. With schools closed and online education surging, 4,993 educational institutions utilised ABRY to assist 64,132 employees during these challenging times.
The scheme
The scheme, effective from October 1, 2020, was strategically designed to stimulate the creation of new job opportunities. It extended financial support to employers of establishments registered with the Employees’ Provident Fund Organisation (EPFO). ABRY aimed to incentivise the employment of unemployed individuals, including those who lost their jobs due to the pandemic. The scheme covered both employee and employer contributions, amounting to 24 per cent of wages, for establishments with up to 1,000 employees. For establishments with over 1,000 employees, only the employee’s EPF contributions, totaling 12 per cent of wages, were covered in respect of new employees.
Beneficiaries
As of December 5, 2023, the scheme has disbursed an impressive amount of ₹10,043.02 crore to 60.49 lakh beneficiaries through 1.52 lakh establishments. This financial injection played a crucial role in stabilising the employment scenario and supporting both employers and employees alike.
Top States
When examining the regional impact, Maharashtra emerged as a frontrunner, with 22,447 establishments providing benefits to 9,78,812 employees. Tamil Nadu closely followed, with 16,760 establishments covering 8,17,952 employees. Gujarat and Karnataka also made substantial contributions, providing benefits to 6,44,000 and 4,86,776 employees, respectively.
However, several States, including Kerala, Uttarakhand, Odisha, Chhattisgarh, Himachal Pradesh, Chandigarh, and Jharkhand, witnessed fewer beneficiaries, with less than 1 lakh employees benefitting from the scheme. Bihar, in particular, had only 28,551 employees availing the benefits.
The data show that ABRY has proven to be a lifeline for various sectors, providing financial support to employers and employees alike during a tumultuous period. The scheme’s strategic focus on both large and small establishments has contributed to its widespread success.