Unemployment Allowance in India

Several economic conditions force families and individuals into unemployment, making it impossible to make ends meet. Therefore, the Indian Government has introduced several allowances and benefit schemes to financially assist the unemployed and job-seeking individuals. 

Unemployment allowance is one such governmental scheme that offers financial support to individuals who have lost their jobs under no fault of their own. Most Indian states have incorporated unemployment allowance schemes to render economic assistance and eradicate unemployment. 

If you are looking for more information about unemployment allowance, this blog will help you to learn about schemes related to unemployment allowance in India, important documents and the application process.

What is an unemployment allowance?

An unemployment allowance in India is a financial aid provided by the Government, where a fixed sum of money is offered to unemployed individuals to cover their basic living expenses. It is paid up to a maximum of one year to the employees who have contributed towards an organisation for a minimum of three years. 

However, unemployment allowance is granted to those unemployed individuals who have lost their jobs due to reasons like layovers, retrenchment, factory closures, and economic downfall. If you are unemployed for personal reasons, you will not be eligible for an unemployment allowance.

Usually, an unemployment allowance is 50% of a worker’s daily average earnings. Under the allowance, you are also eligible for medical assistance for up to one year. However, the unemployment allowance scheme in India is different for every state, where the state government decides the allowance value.

Unemployment allowance in India

To battle unemployment on a large scale, the Indian Government has some centralised unemployment allowances in India actively working to offer economic support to the unemployed. Take a look at some of the centralised unemployment allowances provided by the Indian Government:

• Rajiv Gandhi Shramik Kalyan Yojna

The Rajiv Gandhi Shramik Kalyan Yojna is an unemployment scheme that offers economic support to individuals who are unemployed due to factory closure or retrenchment. It also includes individuals who are 40% permanently disabled and certified by a medical board.

• Atal Beemit Vyakti Kalyan Yojna

The Atal Beemit Vyakti Kalyan Yojna scheme is meant for individuals who have worked in organisations, establishments, or factories. This scheme offers monetary support to individuals who have contributed for at least two years in insurable employment. 

• Pradhan Mantri Berojgari Bhatta Scheme 2020

This is a growing Unemployment Allowance in India scheme that aims to eradicate unemployment and render economic support to the unemployed population of India. As a part of the scheme, unemployed individuals seeking employment are provided a fixed monthly unemployment allowance of Rs. 2,000-3,500.

Unemployment allowance schemes

The respective state governments of India launched several unemployment allowance schemes. These schemes focus on the welfare and financial enrichment of the educated unemployed youth. Unemployment allowance schemes in India work differently for every Indian state regarding benefits, eligibility, application, etc.

Here are some state-wise unemployment allowance schemes, their allowance value, and the application website. 

Online form for unemployment allowance

The application form for unemployment allowance schemes is available online on the official websites of state government portals. You can register using valid credentials and fill out the online application form and relevant documents. The online form for unemployment allowance in India is free of cost and can be downloaded from the official government portals. 

Unemployment allowance online registration

Register yourself online under a particular unemployment allowance scheme by following the steps given below:

Step 1: Visit the official website of the state government portal.

Step 2: Click on “New Account”

Step 3: Select 'Proceed with Registration.' 

Step 4: Register on the portal with details like name, contact number, email ID, date of birth and permanent address. 

Step 5: You will receive a successful registration I.D. 

Step 6: Registration completed. 

How to fill out the unemployment allowance form?

To apply for the unemployment allowance scheme, follow the below-given step-by-step guide to submit the online application form successfully. 

Step 1: Visit the official website of the respective state government portal. 

Step 2: Click on “New Account”

Step 3: Select 'Proceed with Registration' after reviewing the instructions and guidelines.

Step 4: Register on the portal with details like name, contact number, email, date of birth and permanent address. 

Step 5: Generate login credentials like ID and password.

Step 6: Fill out the online application form and upload all the necessary documents as listed on the official website. 

Step 7: Submit the online form

Step 8: You will receive a confirmation on your registered mobile number on successful application form submission. 

The steps to apply for a particular state government scheme may vary. Refer to the official state government website for additional application guidelines. 

Documents required for unemployment allowance

Every unemployment allowance scheme has different requirements regarding necessary documents for online application. However, here is a list of the common and most important documents required for online application. If you fail to submit the relevant documents below, your application process will be incomplete or rejected. 

1. Proof of address

• Ration Card.
• Voter ID.
• Aadhaar Card.
• Passport.
• Birth Certificate.

2. Proof of qualification

• Latest mark sheets
• Certificates of all the exams passed

3. Proof of income

• Bank account details
• Income certificate
• Form 16
• Income Tax Returns
• Unemployment certificate

Unemployment allowance status check

You can check the current status of your application under a particular unemployment allowance scheme in India by following the below steps: 

Step 1: Visit the official website of the state government portal.

Step 2: Click on “Check Application status”.

Step 3: Enter the information required like registration I.D., username, or password. 

Step 4: Submit the details.

Step 5: Application status will be displayed. 

The application status check procedure may vary for different state government schemes. Few schemes offer additional toll-free helpline contact numbers to check your application status.

Final words

It is wise for unemployed and job-seeking individuals to register under a particular unemployment allowance in India for financial assistance. However, since every Indian state has different allowance schemes, it is essential to check the eligibility and application procedure based on the state government portal you apply to.