TeamLease shares jump over 9% on announcement of employment-linked incentive scheme in Budget

Shares of leading staffing and recruiting firm TeamLease Services surged 9.4% to Rs 3,184.5 in Tuesday's trade on the BSE after the Union Finance Minister Nirmala Sitharaman announced a provision of Rs 1.48 lakh crore for education, employment & skilling.

Last year’s Budget allocation was Rs 1.13 lakh crore.


The FM announced the Prime Minister's basket of 5 schemes and initiatives to facilitate employment, skilling and other opportunities for 4.1 crore youth over a 5-year period with a central outlay of Rs 2 lakh crore. This year, the financial minister has made a provision of Rs 1.48 lakh crore for education, employment, and skilling.

“The increase of about 30% in the budget dedicated towards Education, Skilling and Employment showcases the mindset of the government to significantly improve the employment and employability in the country," said Shantanu Rooj, Founder and CEO,of TeamLease Edtech on Budget.

Meanwhile, Krishnendu Chatterjee, VP and Business Head at TeamLease Services said, "The government's commitment to employment and employability is clear with a Rs 1.48 lakh crore provision. This initiative, based on EPFO enrollment, focuses on recognising first-time employees and includes direct benefit transfers of the first month's salary in three installments for salaries up to Rs 1 lakh.”

“Special emphasis is placed on the industrial and manufacturing sectors. Additionally, employers will receive incentives for job creation, with the government reimbursing up to Rs 3,000 per month for two years towards EPFO contributions for each new employee."

On a year-to-date basis, the stock has delivered negative returns of 6%. However, it has risen 25% in the past one year. Meanwhile in the past two years, it has plunged 16%.

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