Prime Minister Narendra Modi announced a new employment scheme offering a ₹15,000 incentive to first-time private sector employees during a public rally in Motihari, Bihar, on July 19, 2025. The scheme aims to boost job creation and youth participation in formal employment, particularly in regions like Bihar.
Background
The announcement was made during PM Modi’s visit to East Champaran, where he inaugurated development projects worth over ₹7,200 crore. The event also saw the flagging off of four Amrit Bharat trains, emphasizing infrastructure and employment as drivers of growth.
Objective
The primary objective of the scheme is to promote youth employment in the private sector through direct financial assistance. It aligns with the government’s vision of fostering a self-reliant and developed Bihar by creating job opportunities within the state.
Key Features
- A ₹15,000 incentive for first-time private sector employees
- Implementation starting from August 1, 2025
- Allocation of ₹1 lakh crore budget for wide coverage and efficient rollout
- Focus on reducing migration by encouraging local job engagement
Significance
The scheme holds significant importance for states like Bihar, where unemployment and outward migration are pressing issues. It is expected to enhance formal sector employment, decrease reliance on government jobs, and retain youth in the region.
Key Takeaways for Competitive Exams
- PM Modi’s ₹15,000 incentive scheme targets first-time private sector employees
- The initiative aims to reduce joblessness among youth in states like Bihar
- A budget of ₹1 lakh crore has been allocated for efficient implementation
- The scheme focuses on promoting local job engagement and reducing migration
