Subsidy SetuMSME subsidy and compliance

Haryana · Employment Incentive

Haryana Employment Generation Scheme 2026

Open
Maximum benefit
Up to ₹1.00–1.20 Lakh per employee per year for 10 years
Who can apply
Micro, Small, Medium enterprises
Status
Open; current term ends 28 July 2031

Is Employment Generation open? Key facts at a glance

Employment Generation (Haryana): Up to ₹1.00–1.20 Lakh per employee per year for 10 years.

Last verified: 19 Oct 2026. How we check our information

StatusOpen
LevelHaryana State scheme
Type of benefitEmployment-Linked Salary Subsidy
Maximum benefitUp to ₹1.00–1.20 Lakh per employee per year for 10 years
Project cost rangeAny
Who can applyMicro, Small, Medium enterprises (Manufacturing, Service)
Implementing agencyDirectorate of MSME, Haryana
Where to applyInvest Haryana (HEPC) portal
Official notificationRead the notification · notified 29 July 2026
Current term ends28 July 2031
Last verified19 Oct 2026 · How we check

What is Employment Generation?

Clause 4.6.1 of the Haryana Progressive MSME & Export Promotion Policy 2026 (the Local Employment Generation Subsidy Scheme) pays MSME units an annual subsidy linked to the average gross monthly salary of Haryana local employees, for ten years from the date of commencement of commercial production/operations.

Where local employees are under 15% of the workforce in a year, the subsidy is paid only for Women, SC, Divyang, Agniveer and Ex-Servicemen category local employees, at 120% of average gross monthly salary, capped at ₹1.00 Lakh per employee per year.

Where they are 15% or more, general category local employees attract 100% plus 20% × (local proportion − 15%) of average gross monthly salary, capped at ₹1.00 Lakh, and the special categories attract 120% on the same escalating basis, capped at ₹1.20 Lakh.

Where an eligible employee earns below ₹48,000 a month on average, a minimum subsidy of ₹48,000 per year is paid for that employee.

Only employees on payroll, or on contract with an ESI/PF number, for at least one year count; local status is verified only through Parivar Pehchan Patra; and for expansion units only the incremental headcount above the pre-expansion level counts.

Units recruiting local employees through Haryana Kaushal Rozgar Nigam (HKRN) additionally receive 100% of the employer's statutory EPF contribution for those employees for five years, and the employees themselves receive 100% of their own EPF contribution by direct benefit transfer for five years — each capped at 12% of basic salary plus DA and retaining allowance, up to ₹25,000 per employee per year.

Official notification · notified 29 July 2026

What are the key benefits of Employment Generation?

  • An annual subsidy linked to the average gross monthly salary of Haryana local employees, for ten years from commercial production.
  • Up to ₹1 lakh a year per general-category employee and ₹1.2 lakh per woman, SC, Divyang, Agniveer or ex-serviceman employee; at least ₹48,000 per eligible employee.
  • Hiring through Haryana Kaushal Rozgar Nigam adds 100% of the employer’s EPF contribution for five years, and employees get their own EPF contribution back for five years (each up to ₹25,000 a year).

What could a unit get under Employment Generation?

The ceiling the scheme sets. What a particular unit receives depends on its project cost, location and the conditions on this page, so no rupee figure is worked out here.

Up to ₹1.00–1.20 Lakh per employee per year for 10 years

Illustrative only: this is the scheme’s maximum, not an estimate for your unit. Source: Haryana Progressive MSME & Export Promotion Policy 2026 — Haryana Govt. Gazette (Extra.) No. 114-2026/Ext, 29 July 2026.

Who can apply for Employment Generation?

  • MSME units employing Haryana locals, verified through Parivar Pehchan Patra, on payroll or on contract with ESI/PF for at least a year.
  • Where locals are under 15% of the workforce, only the special-category local employees count.
  • For an expansion, only headcount above the pre-expansion level counts.

Eligible business types

ManufacturingService

MSME categories covered

MicroSmallMedium

Eligible industries

🏭 Manufacturing🍽️ Food Processing🧵 Textiles & Garments💻 IT & ITES🏥 Healthcare & Pharma🌾 Agri & Livestock Processing🚚 Logistics & Distribution

How do I apply for Employment Generation?

  1. Register the enterprise on Udyam and keep the GSTIN active.
  2. File the claim online on the Invest Haryana (HEPC) portal under this scheme, with the supporting records for the expenditure claimed.
  3. Clause 3.7 of the policy promised operational guidelines within three months of notification, that is by 29 October 2026. That date has passed: as of 1 November 2026 they had still not been published on the Directorate of MSME's website (last updated 26 October 2026) or the Industries & Commerce Department's website, and the policy itself names no portal, claim form or cut-off date, so check whether the guidelines have been published before filing. Clause 3.7 also says an application consistent with the policy is not barred because a scheme has not been notified.

Apply at: Invest Haryana (HEPC) portal

Which documents are needed for Employment Generation?

  • Udyam Registration
  • GSTIN
  • EPF/ESI returns
  • Parivar Pehchan Patra of each local employee
  • Salary registers
  • HKRN recruitment records (if applicable)

Can Employment Generation be combined with other schemes?

This scheme can be combined with the following for higher total benefits:

Why are Employment Generation applications rejected?

  • Local status not verified through Parivar Pehchan Patra
  • Employee employed for less than one year or without an ESI/PF number
  • Expansion unit claiming for pre-expansion headcount
  • Proportion of local employees miscalculated
  • Claim for a year outside the ten-year window

Subsidy Setu's DPR preparation process addresses all common rejection points before filing.

Frequently asked questions about Employment Generation

Is Employment Generation open?
Yes. The current term runs until 28 July 2031. Status last verified: 19 Oct 2026.
Who can apply for Employment Generation?
Micro, Small, Medium enterprises (Manufacturing, Service).
What is the maximum benefit under Employment Generation?
Up to ₹1.00–1.20 Lakh per employee per year for 10 years.
How do I apply for Employment Generation?
1. Register the enterprise on Udyam and keep the GSTIN active. 2. File the claim online on the Invest Haryana (HEPC) portal under this scheme, with the supporting records for the expenditure claimed. 3. Clause 3.7 of the policy promised operational guidelines within three months of notification, that is by 29 October 2026. That date has passed: as of 1 November 2026 they had still not been published on the Directorate of MSME's website (last updated 26 October 2026) or the Industries & Commerce Department's website, and the policy itself names no portal, claim form or cut-off date, so check whether the guidelines have been published before filing. Clause 3.7 also says an application consistent with the policy is not barred because a scheme has not been notified. Apply at: Invest Haryana (HEPC) portal.
Until when can I apply for Employment Generation?
The current term runs until 28 July 2031. Projects must usually be registered or commence within the term; check the cut-off before you rely on it.

Guides on Employment Generation

Related schemes

Want this subsidy? Talk to our expert team

Leave your name and mobile number. Our team calls you back within one working day (Monday to Saturday).

Your details are never sold; they are shared only as our Privacy Policy describes.