Lucknow: The Uttar Pradesh government has notified a new Global Capability Centers (GCC) Policy 2025 aimed at expanding employment opportunities and improving workforce skills across the state. The policy introduces a series of financial incentives for companies hiring locally, training employees, and establishing centers beyond the Noida-NCR region.

Target: 2 Lakh Jobs, Focus on Tier-2 Cities

Under the policy, the state is targeting the creation of over two lakh new jobs by encouraging companies to set up GCCs in cities like Kanpur, Varanasi, and Prayagraj. While Noida continues to see large-scale developments, Microsoft is building a 10,000-seat center and MAQ Software has opened a 3,000-seat facility, the policy seeks to distribute investments and employment more evenly across Uttar Pradesh.

Payroll and Skill Subsidies

The policy includes several workforce-related incentives:

• Payroll Subsidy: Companies hiring residents of UP can claim up to Rs 1.8 lakh per employee per year for three years. For non-resident employees, the cap is Rs 1.2 lakh.

• Skill Development: A reimbursement of 50% of training fees, capped at Rs 50,000 per employee, is available for up to 500 employees annually, with a maximum limit of Rs 50 lakh per year over three years.

• Internship Support: Companies can claim 50% of internship costs, up to Rs 5,000 per intern per month, for at least two-month programs. This support is capped at 50 interns annually for three years.

Push for Local and Inclusive Hiring

The state is offering Rs 20,000 for every fresher hired from UP colleges and institutions, applicable if at least 30 such candidates are recruited annually. The benefit extends for five years. To promote inclusive employment, 100% reimbursement of EPF contributions is available for women, SC/ST, transgender, and Divyangjan employees, capped at Rs 1 crore annually for three years.

R&D and Innovation Support

The policy includes funding of up to Rs 10 crore for companies establishing Centers of Excellence focused on R&D. Startups will also receive support aligned with the state’s existing Industrial Investment and Employment Promotion Policy (IIEPP) 2022, especially in areas like AI, robotics, and fintech.

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