The Indian Parliament has passed a significant new legislation, the VB-G RAM-G Bill (Viksit Bharat Guarantee for Rozgar and Ajeevika Mission – Gramin), 2025. This new Act replaces the long-standing MNREGA scheme. The Lok Sabha cleared the Bill first, followed by the Rajya Sabha in a late-night session yesterday. Despite strong protests from the Opposition, the government successfully pushed the legislation through.
- Guaranteed Days: 125 days (up from 100 days)
- Funding Split (General States): 60% Centre: 40% State
- Funding Split (Hilly/NE States): 90% Centre: 10% State
- Payment Timeline: Weekly payments (Compensation triggers after 16 days)
Major Changes in Rural Job Guarantee
The VB-G RAM-G Bill introduces several shifts in how rural employment works compared to the old law.
- Increased Work Days: The new scheme guarantees 125 days of employment, a direct increase from the previous 100 days.
- Faster Payments: Workers will now receive wages weekly. If the government delays payment beyond 15 days, it must pay compensation at 0.05% per day.
- No-Work Period: State governments will now notify a specific “60-day no-work period.” This ensures farmers have enough labour available during peak sowing and harvesting seasons.
Also Read: Organic Farming — Good or Bad
Funding and Administration
A major change lies in the financial structure. Previously, the Centre provided 100% funding. Now, the scheme is a “centrally sponsored scheme.” Most states must pay 40% of the costs, while the Centre pays 60%. However, for hilly and North-Eastern states, the Centre continues to bear 90% of the cost.
The administrative control shifts slightly. While Panchayats remain key implementation authorities, new National and State Level Steering Committees will now guide funding allocation and operations. The Centre will determine state-wise fund allocation based on specific parameters, meaning states must pay for any extra expenses themselves.
