Two-decade-old MGNREGA to be replaced
New Delhi: 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 (MGNREGA).
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 âhistoric transitionâ in Indiaâs rural development architecture, aligned with the vision of âViksit Bharat @2047â.
The Act seeks to usher in a âfuture-ready and productivity-oriented rural transformationâ while strengthening livelihood security, rural incomes and village-level infrastructure development, it said.
Reacting to the announcement, Congress on Monday described it as âyet another lazy headline-grabbing exerciseâ and alleged that the only guarantee that the law offers is that of âextreme centralisationâ and âweakening of the bargaining power of rural labourâ.
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the VB-G RAM G Act will come into force in all states and Union Territories on July 1, and the MGNREGA will stand repealed from the same date.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 ministryâs statement assured that the transition from MGNREGA to the new framework would be seamless, without disruption to workers.
âOngoing works under MGNREGA as on June 30 shall be saved and carried over to the new framework seamlessly,â the notification said. The existing e-KYC verified MGNREGA job cards will remain valid until the new âGramin Rozgar Guarantee Cardsâ 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 workersâ 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.