Atal Bimit Vyakti Kalyan Yojana


The Employee’s State Insurance (ESI) Corporation introduced Atal Bimit Vyakti Kalyan Yojana with an objective to provide unemployment allowance to individuals being jobless due to changing employment pattern. The scheme came into effect from July 1, 2018 on pilot basis for a period of two years initially.

The compensation was provided on the basis of 25% of the average per day earning during the last 4 contribution periods. The compensation was to be paid for maximum up to 90 days of unemployment once in a lifetime of the IP after requesting claim in form of an Affidavit.

Scheme highlights:

• The maximum withdrawal duration to draw relief under the Atal Bimit Vyakti Kalyan Yojana is 90 days. This is applicable once in a lifetime and only at least after 2 years of Insurable Employment, subject to contributory conditions. The relief funds will be payable after 3 months of clear unemployment. No prospective claims are allowed under the scheme.
• In case the beneficiary gets employed during the three months of unemployment term, the relief will be payable only for clear months of unemployment from the date of unemployment to the date of re-employment.
• In case, the beneficiary again renders unemployment within one year from initial unemployment, then the balance of 90 days of relief can claimed based on the initial contributory conditions.
• If the insured person is working with more than one employer and the same is covered under the Atal Kalyan Yojana, then the beneficiary will be considered unemployed only when he or she is rendered unemployed with all the employers.
• According to Section 65 of the Employee’s State Insurance (ESI) Act, a person will not be entitled to any compensation and relief under the scheme simultaneously for the same period. However, periodical payments of Permanent Disability Benefit (PDB) shall continue.

Eligibility to enable benefits under Atal Bimit Vyakti Kalyan Yojana:

• Employees or employment covered under Section 2 (9) of the ESI Act, 1948.
• The insured person should serve a minimum of 2 years of insurable employment.
• The insured person should be unemployed during the period when the relief is claimed.
• The insured person should have contributed at least 78 days during each four contribution periods.
• The contingency of the unemployment should be genuine and not as a result of any punishment for misconduct, superannuation, or voluntary retirement.

Relief shall not be admissible in certain circumstances:

• During lock out period.
• Strike resorted to by the employees declared illegal by the competent authority.
• Voluntary retirement or premature retirement.
• Less than two years of insured employment
• On attaining the age of superannuation.
• Convicted under Section 84 of the ESI Act read with Rule 62 of the ESI (Central) Rule
• On being re-employed elsewhere during the relief period.
• On death of IP.