VB–G RAM G

In December 2025, the Lok Sabha witnessed the introduction of a new and ambitious legislation—the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill, 2025, commonly referred to as VB-G RAM G Bill.

This Bill seeks to replace the long-standing Mahatma Gandhi National Rural Employment Guarantee Act, 2005 (MGNREGA) and align rural employment policy with India’s long-term vision of Viksit Bharat 2047.

Think of it not merely as a change in scheme design, but as a shift in philosophy—from short-term wage support to development-linked rural transformation.

Understanding MGNREGA (The Foundation)

Before judging the new Bill, we must clearly understand what MGNREGA stood for.

MGNREGA is a rights-based, demand-driven employment guarantee law. Its core promise is simple yet powerful:

Any rural household demanding work must be given at least 100 days of unskilled manual employment in a year.

Key Features of MGNREGA

• Legal entitlement: Employment is a right, not charity.
• Demand-driven: Work is provided on request.
• Decentralised planning: Implemented through Panchayati Raj Institutions.
• Livelihood security: Reduces poverty and distress migration.
• Asset creation: Water conservation, rural roads, land development.
• Transparency tools: Social audits, job cards, public disclosure.
• Inclusivity: High participation of women and marginalised groups.

So, MGNREGA combined social justice, employment, and grassroots governance.

Why Replace MGNREGA?

The government argues that while MGNREGA ensured survival, India now needs a system that ensures sustainability, productivity, and climate resilience—especially as we move toward 2047.

This thinking forms the background of the VB-G RAM G Bill.

Five Major Changes Proposed in the VB-G RAM G Bill

1️⃣ Employment Guarantee Increased: 100 → 125 Days

• Guaranteed employment rises to 125 days per rural household per year.
• Earlier, “not less than 100 days” was the baseline.
• Extra days under MGNREGA were conditional (drought, tribal areas).
• Now, 125 days becomes the standard entitlement.

📌 Conceptually, this signals expansion—but practical delivery remains the real test.

2️⃣ Agricultural Pause: A New Policy Innovation

• Introduction of a 60-day “agricultural pause” during peak sowing and harvesting.
• States may notify:
  • District-wise
  • Block-wise
  • Agro-climatic zone-wise pauses

🎯 Objective:
Ensure adequate labour availability for agriculture and avoid competition between farm work and public works.

⚠️ Key concern:
This assumes agriculture will absorb labour—which may not hold true for landless labourers.

3️⃣ New Cost-Sharing Formula: 60:40

Under MGNREGA:

• 100% unskilled wages → Centre
• 75% materials → Centre

Under VB-G RAM G:

• Operates as a Centrally Sponsored Scheme (CSS)
• 60:40 Centre–State sharing (general states)
• 90:10 for NE & Himalayan states
• 100% Centre funding for UTs without legislatures

States must also design their own scheme within six months.

📌 This marks a clear fiscal decentralisation—but also fiscal burden.

4️⃣ From Demand-Driven to Budget-Capped: Normative Allocations

This is one of the most critical structural shifts.

• MGNREGA had an open-ended Labour Budget.
• If demand increased (drought, recession), Centre had to fund it.

VB-G RAM G changes this:

• State-wise normative allocations decided by Centre.
• Based on “objective parameters” (yet to be defined).
• Expenditure beyond allocation → State’s responsibility.

⚠️ This raises a fundamental question:

Can a capped budget coexist with a legal right?

5️⃣ Technology-Driven Governance: National Infrastructure Stack

The Bill mandates creation of the Viksit Bharat National Rural Infrastructure Stack.

What does this do?

• All rural works integrated into one national digital framework.
• Alignment with PM Gati Shakti National Master Plan.
• Four focus domains:
  1. Water security
  2. Core rural infrastructure
  3. Livelihood infrastructure
  4. Disaster mitigation

Governance Tools Introduced

• Biometric attendance
• GPS-based worksite tracking
• AI-based fraud detection
• Weekly public data disclosure

🎯 Aim: Transparency, efficiency, accountability.

⚠️ Risk: Digital exclusion of vulnerable workers.

Key Concerns Raised by Experts

1️⃣ Fiscal Stress on Poor States

States with High rural poverty, Low tax capacity → may struggle under the 60:40 burden, weakening the guarantee.

2️⃣ Rights vs Budget Reality

Normative allocations dilute the rights-based nature of employment.
If funds exhaust, entitlement becomes conditional.

3️⃣ Technology as a Barrier

Biometric failures, poor connectivity, server downtime, fingerprint erosion among manual labourers— all can deny work to eligible beneficiaries.

4️⃣ Agricultural Pause & Labour Vulnerability

Landless workers may face → No MGNREGA work, No agricultural work → leading to income gaps during critical months.

5️⃣ Implementation Gap

Even under MGNREGA:

• Promised: 100 days
• Delivered: 45–55 days on average

This exposes systemic issues of planning, fund flow, and administrative capacity.

Positive Aspects of the Bill

Despite concerns, the Bill addresses long-standing weaknesses:

• Focus on durable & climate-resilient assets
• Integration with national infrastructure planning
• Livelihood infrastructure: markets, warehouses, drying yards
• Weekly wage payments (instead of 15 days)
• Enhanced penalties (up to ₹10,000)
• Special cards for:
  • Single women
  • Persons with disabilities
  • Elderly
  • Released bonded labourers
  • Transgender persons

📌 This reflects a governance-oriented redesign, not just an employment scheme.