The Central government has introduced a new rural employment guarantee framework that will replace the long-running Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). The proposed legislation, titled The Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Grameen)—abbreviated as VB G RAM G—was tabled during the ongoing Winter Session of Parliament, signalling what could become a major political flashpoint. A party whip has already been issued to ensure full attendance of BJP MPs for the Bill’s passage.
MGNREGA, launched in 2005, currently guarantees 100 days of employment per rural household and is widely considered a transformative welfare scheme. The new Bill builds on the same framework but proposes an increase in guaranteed work days from 100 to 125 days. It also aims to address one of the biggest criticisms of MGNREGA—delayed payments—by mandating wage disbursal within 7 to 15 days. Failure to meet this timeline would require authorities to pay an unemployment allowance.
The proposed scheme restructures rural work into four broad categories: water security, rural infrastructure, livelihood infrastructure and disaster resilience. Work will not be assigned during peak agricultural seasons to avoid interfering with farming activities. To improve transparency, the government plans to incorporate biometrics, geotagged worksites and a formal grievance redressal system across multiple levels.
Another major shift lies in the funding model. Unlike MGNREGA, where the Centre pays 100 per cent of wages for unskilled labour, the new scheme introduces a cost-sharing ratio of 60:40 between the Centre and states. Northeastern and Himalayan states will follow a 90:10 ratio, while Union Territories will have full central funding. The government has estimated an annual expenditure of ₹1.51 lakh crore for VB G RAM G, with the Centre contributing nearly ₹95,692 crore.
The announcement has triggered strong political reactions. Congress leader Priyanka Gandhi Vadra questioned the need to rename the scheme and remove Mahatma Gandhi’s name, arguing that such changes lead to unnecessary spending on paperwork and administrative updates. She also criticised the functioning of Parliament, stating that essential issues are being sidelined while time and public resources are wasted.
As the Bill moves forward, the government maintains that VB G RAM G aligns with its Viksit Bharat 2047 vision, promising a modernised and more efficient approach to rural employment. Opposition parties, however, see it as an attempt to dilute or rebrand a flagship welfare program long associated with the UPA era.
