In a significant push for employment, Haryana has introduced a comprehensive package of financial incentives aimed at promoting local hiring, attracting large-scale investments, and reducing operational costs for industries. The state government announced that the new industrial policy is strategically designed to encourage companies to recruit local youth through the Haryana Kaushal Rozgar Nigam (HKRN) portal while simultaneously strengthening Haryana's appeal as a competitive industrial destination.
Multi-Layered Incentive Structure
Officials highlight that the multi-layered incentive framework creates a win-win scenario, encompassing an Employment Generation Subsidy (EGS) and a 100% reimbursement for hiring through HKRN, among other benefits. This structure is tailored to support industries planning to relocate to the state.
Enhanced Employment Generation Subsidy
At the core of the reform is a substantial enhancement of the EGS. Industries can now claim up to Rs 1 lakh per employee per year for a period of 10 years, a significant incentive expected to drive large-scale recruitment. The support is even higher for priority groups, including women, Scheduled Castes, Divyangs (persons with disabilities), Agniveers, and ex-servicemen. For these categories, companies can receive Rs 1.2 lakh per employee annually, reinforcing the state's focus on inclusive growth.
Unprecedented Support for HKRN Hiring
A major highlight of the policy is the unprecedented support for companies that hire through the HKRN portal. According to an official from the industry department, industries recruiting youth registered on the portal will receive 100% reimbursement of both employer and employee Employee Provident Fund (EPF) contributions for five years. This measure is described as the most cost-effective hiring channel now available to industries, making local recruitment financially attractive while creating structured employment pathways for Haryana's youth.
Tax and Capital Subsidies
To further ease business operations, the policy offers net SGST reimbursement ranging from 30% to 70%, depending on the scale of the project. The benefits extend for seven years for large units, 10 years for mega units, and up to 12 years for ultra mega projects under special packages. Capital subsidies have also been raised significantly, ranging from 5% to 20% for large units and up to 30% for mega and ultra mega projects located in prime or focus areas.
Relocation Assistance
Haryana is also offering expansive support for industries planning to relocate. Domestic firms shifting operations to the state can claim Rs 5 crore in assistance, while relocating international units are eligible for Rs 10 crore. This measure is designed to bring global manufacturing and investment into the state's ecosystem.
Focus on Innovation and Research
The policy also extends incentives for research and development, signaling a push towards innovation-led growth and encouraging industries to establish advanced facilities within Haryana.
Benefits for Youth, Industries, and Economy
For youth, the policy promises enhanced job avenues, especially for those registered on HKRN, along with targeted opportunities for women, SCs, Divyangs, Agniveers, and ex-servicemen. For industries, the policy cuts wage costs, removes the EPF burden for HKRN hires for five years, reduces tax outflow, and eases the financial pressure of expansion or relocation. For Haryana's economy, it strengthens the manufacturing and services base, boosts formal job creation, and positions the state more competitively for future investments.
An official stated that with a blend of employment subsidies, tax benefits, relocation assistance, and R&D incentives, Haryana's new industrial policy aims to create a robust, inclusive, and investment-friendly environment. The government believes this will generate long-term employment and drive sustained economic growth.
