Cabinet Approves ₹1.07 Lakh Crore To Boost Jobs, Modi Government’s Big Push For Employment and R&D
New Delhi: The Modi government has given a major gift to the youth by approving Rs 1.07 lakh crore for a new scheme to boost employment. The decision was made in the Union Cabinet meeting held on Tuesday.
Along with this, the Cabinet also approved Rs 1 lakh crore to support Research and Development (R&D) in the country.
What Is the ELI Scheme?
The Employment Linked Incentive (ELI) scheme was first announced in the 2024–25 Union Budget.
It aims to:
- Create more job opportunities for youth
- Encourage private companies to hire more workers
The ELI scheme will run for five years with a total budget of Rs 2 lakh crore. For now, Rs 1.07 lakh crore has been approved for the first phase.
Three Main Job Plans
The ELI scheme has three key plans—Plan A, B, and C:
Plan A: Give one month’s salary directly to newly hired workers as a benefit
Plan B: Encourage job creation in the manufacturing sector
Plan C: Provide financial help to companies for creating extra jobs across all sectors
The government aims to generate about 3.1 crore new jobs through these plans.
Focus on Skill Training and Education
Rs 63,000 crore will be spent on internship programs for skill training
Rs 30,000 crore will go to modernizing ITIs (Industrial Training Institutes)
This will help the youth gain better training and become job-ready.
Benefits of Cabinet Decisions
R&D funding will improve technical innovation and industry competitiveness
- ELI will support new employees and employers
- Youth will get better skill development
- ITIs will provide advanced technical education
Other Major Approvals
The Cabinet also cleared three more major projects:
Rs 1,853 crore to widen the Paramakudi–Ramanathapuram National Highway to 4 lanes
Progress on the Ramanathapuram–Dhanushkodi highway
Approval of Khelo India Policy 2025, which will replace the current National Sports Policy
These decisions reflect the government’s strong focus on employment, infrastructure, and youth development.
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