VB-G RAM G Act to come into force from July 1: Govt

The Centre on Monday announced that the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) Act (VB-G RAM G) will come into force across the country from July 1, replacing the two-decade-old Mahatma Gandhi National Rural Employment Guarantee Act (MGREGA).

The new Act will have a fresh framework that promises 125 days of statutory wage employment to rural households, it said. In a statement, the Ministry of Rural Development described it as a “historic transition” in India’s rural development architecture, aligned with the vision of “Viksit Bharat @2047”.

The Act seeks to usher in a “future-ready and productivity-oriented rural transformation” while strengthening livelihood security, rural incomes and village-level infrastructure development, it said.

Reacting to the announcement, Congress on Monday described it as “yet another lazy headline-grabbing exercise” and alleged that the only guarantee that the law offers is that of “extreme centralisation” and “weakening of the bargaining power of rural labour”. According to notifications issued by the ministry, the VB-G RAM G Act will come into force in all states and Union Territories on July 1, and the MGNREGA will stand repealed from the same date.

The ministry’s statement assured that the transition from MGNREGA to the new framework would be seamless, without disruption to workers. “Ongoing works under MGNREGA as on June 30 shall be saved and carried over to the new framework seamlessly,” the notification said.

The existing e-KYC verified MGNREGA job cards will remain valid until the new “Gramin Rozgar Guarantee Cards” are issued, it said, adding that workers without job cards can continue to register at the gram panchayat level. Workers will not be denied employment due to pending e-KYC, the ministry said.

Draft rules related to wage payments, grievance redressal, allocation norms, administrative expenditure and transitional provisions are being prepared in consultation with states and Union Territories and will soon be published for public consultation, it added.

Under the VB-G RAM G Act framework, every rural household whose adult members volunteer to undertake unskilled manual work will be entitled to 125 days of guaranteed wage employment in a financial year, an increase from the existing 100-day guarantee under MGNREGA.

Employment will have to be provided within the prescribed timeframe, failing which workers will remain eligible for unemployment allowance as per the provisions of the Act.

The Government also emphasised timely and transparent wage payments, stating that wages will continue to be transferred directly into workers’ bank or post office accounts through Direct Benefit Transfer.

Payments will be made weekly or within 15 days from the closure of the muster roll, failing which workers will be entitled to delay compensation.

The Centre said the allocation of Rs 95,692.31 crore for 2026-27 is the highest-ever budget estimate allocation for a rural employment programme. After including the likely contribution of states, the total programme outlay is expected to exceed Rs 1.51 lakh crore, it said.

Launched in 2005, the MGNREGA was one of the first major schemes introduced by the Manmohan Singh government. The then Congress-led UPA government had described it as a “landmark in our history in removing poverty from the face of the nation”.

Criticising the Centre over the new scheme, Congress general secretary in-charge communications Jairam Ramesh on Monday said that no operational details had yet been made public despite the proposed rollout from July 1.

“Today’s press release by the Union Ministry of Rural Development on VB-G RAM G adds nothing new to what is already known. It is yet another lazy headline-grabbing exercise by a government that specialises in such exercises. No details have been revealed except to say that they will be released soon,” Ramesh said on X.

“If this replacement for MGNREGA is to be implemented from July 1, 2026, then all operational details should have been available by now. Public consultations and discussions with State Governments on these details have to be done in a meaningful manner and not just to complete a formality,” he said.

“But let there be no doubt. The only guarantee that VB-G RAM G offers is that of extreme centralisation and weakening of the bargaining power of rural labour,” Ramesh added.

The Congress leader also shared a chart on X listing what he termed the Modi government’s “four attacks on your right to work”, alleging that the new law will harm the right to work and fair wages, panchayati raj and state finances.

CPI general secretary D Raja also criticised the move, alleging that the government was undermining rural employment protections.

“The continued neglect of the social sector, particularly the dismantling of MGNREGS and its replacement with the contractor-driven VB GRAM G Act, reflects a systematic attack on rural employment, decentralisation and workers’ rights,” Raja said.