OPEN APP
Home / Budget / Budget Expectations /  Budget 2022 should bring more PLI rates to boost job creation: Industry body CII
Listen to this article

The Confederation of Indian Industry (CII) today pitched for additional incentive rates to be included in the Production Linked Incentive Schemes based on the number of jobs created ahead of the upcoming Budget 2022-23. 

Industry body CII has suggested that employment-intensive sectors such as leather and food processing could be provided an incentive scheme to attract investments and create employment. 

Chandrajit Banerjee, the Director General of CII said, "With the imperative to support jobs and create new employment as the country recovers from the pandemic, CII suggests that the Budget add a job-creation component to the incentive. CII also recommends that more employment-intensive sectors be brought under the purview of the PLI schemes which will greatly encourage investments in these sectors."

It added that the incentives could be based on the proposed number of jobs being created in the project, giving higher weightage to job creation in the PLI schemes. 

Apart from the PLI scheme for employment, CII brought out a range of measures that could be taken up in the forthcoming Budget that would help jobs to gain traction as the pandemic impact is being felt across income classes. 

To provide relief to workers hit by the Covid-19 crisis in the rural areas, the chamber recommended that the outlay for MGNREGA be enhanced considerably to support the rural poor, which would also encourage consumption growth. 

The CII also suggested that Section 80JJAA of the Income Tax Act which provides for benefits for new workers with less than a threshold income of wages of 25,000 per month should enhance the limit to encourage higher skilled jobs creation. 

Besides, CII stated that 'on the job' training should be extended to all sectors with industry associations as third-party agencies for scaling up apprenticeship. 

To reduce the compliance burden for MSMEs in hiring apprentices, the industry body said a fund could be set up to build a real-time information system as a platform to bridge information gaps between workers looking for work and MSMEs looking for workers. 

CII has recommended that exports of labour-intensive goods can be stepped up with special economic zones, coastal zones and industrial parks with benefits that are WTO compatible.

With agency inputs

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.
Post your comment

Recommended For You

Trending Stocks

×
Get alerts on WhatsApp
Set Preferences My ReadsWatchlistFeedbackRedeem a Gift CardLogout