VB-G RAM G Act comes into force July 1, replacing MGNREGA nationwide

The Centre says the transition from MGNREGA to VB-G-RAM-G has been seamless, with higher wages, longer employment guarantees and ₹25,863 crore released to states for implementation.

The Centre has notified three sets of rules under the VB-G RAM G Act, laying down the framework for the transition from MGNREGS, payment of wages and unemployment allowance, and expenditure beyond the Centre's normative allocation, government sources said. The rules, notified by the Ministry of Rural Development through separate Gazette notifications dated July 1, came into force from the date of their publication. The draft rules were issued in May and the government had invited feedback on them. The Transitional Provisions Rules provide for an orderly migration from the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) to the new employment guarantee framework -- Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Act, 2025. They require state governments to verify all liabilities under MGNREGS existing up to June 30, settle admissible dues and submit audited utilisation certificates within 180 days, extendable by another 90 days by the

The Centre has notified three sets of rules under the VB-G RAM G Act, laying down the framework for the transition from MGNREGS, payment of wages and unemployment allowance, and expenditure beyond the Centre's normative allocation, government sources said.The rules, notified by the Ministry of Rural Development through separate Gazette notifications dated July 1, came into force from the date of their publication. The draft rules were issued in May and the government had invited feedback on them.The Transitional Provisions Rules provide for an orderly migration from the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) to the new employment guarantee framework -- Viksit Bharat- Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Act, 2025.They require state governments to verify all liabilities under MGNREGS existing up to June 30, settle admissible dues and submit audited utilisation certificates within 180 days, extendable by another 90 days by the Centre for recorded reasons.The Centre will continue fund support for liabilities existing up to June 30, while allowing interim allocations to states until the final rules governing normative allocation are framed.The rules also provide that the ongoing MGNREGS works will continue under the new Act, while e-KYC-verified MGNREGS job cards will remain valid until states issue new Gramin Rozgar Guarantee Cards. Existing employment records, physical and digital records and assets created under MGNREGS will also be transferred and preserved during the transition.A second notification prescribes the manner of payment of wages and unemployment allowance under the VB-G RAM G Act.It mandates that all wage and unemployment allowance payments be made only through Direct Benefit Transfer (DBT) into beneficiaries' bank or post office accounts, prohibits cash payments except under extraordinary circumstances permitted by the Centre, and requires all payments to be processed electronically through the scheme's Management Information System (MIS) or another notified digital platform.Payments are also to be routed through the Aadhaar Payment Bridge System or other approved authentication mechanisms to ensure efficiency and transparency.The third notification lays down the procedure for expenditure beyond the Centre's state-wise normative allocation and for funding Union territories without legislatures.It provides that the Centre will bear the entire expenditure of the scheme in Union territories without legislatures, while expenditure by states beyond the approved normative allocation must be captured through the designated MIS.The rules require component-wise and source-wise reporting to distinguish expenditure financed by the Centre from that borne by state governments, with all such data forming part of the scheme's audit and financial management records.The notifications operationalise key provisions of the VB-G RAM G Act, which came into force across the country on July 1, replacing the MGNREGS framework with a new rural employment and livelihood guarantee regime.Union Agriculture Minister Shivraj Singh Chouhan and Chief Minister N Chandrababu Naidu formally rolled out the Act in Tirupati district of Andhra Pradesh on Thursday.

From July 1, the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin), or VB-G RAM G Act, comes into force across the country.

New Delhi: The Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025, will come into force on July 1, with the Centre on Tuesday notifying revised wage rates under the new rural employment guarantee scheme.The national average wage has now increased from Rs 298.8 per day under MGNREGA to Rs 327.4 per day under VB-G RAM G, an average increase of Rs 28.6 per day.The Ministry of Rural Development said the revised wage rates, effective from July 1, have been increased across all 34 states, Union Territories and wage regions.Also read: VB-G RAM G Act to come into force from July 1; Centre says all ready for rolloutIt said a new interim base wage rate of Rs 300 per day has been introduced, ensuring that no notified wage under the programme is below that level. The government said the average increase in wage rates across the country is over 10 per cent.The ministry said the Act provides a statutory guarantee of up to 125 days of wage employment to eligible rural households, compared to 100 days under the existing rural employment framework.It said 21 states and administrative units have been brought up to the new Rs 300 interim base wage rate, while states including Uttar Pradesh, Bihar, Jharkhand, West Bengal and Assam will see wage increases in the range of 15 per cent to 25 per cent. Arunachal Pradesh and Nagaland will see the highest percentage increase of nearly 24.5 per cent, it added.The government said the revised wage structure has been designed to ensure that the greatest gains accrue to states that historically had lower wage rates. It added that states with higher existing wage rates have also received upward revisions, with Haryana having a notified wage rate of Rs 409, Goa Rs 406, Kerala Rs 401 and Sikkim's high-altitude gram panchayats Rs 450 per day.Also read: India replaces MGNREGS with new rural jobs scheme from July 1The ministry said an interim allocation of Rs 95,692.31 crore has been made to states and Union Territories to ensure a smooth transition, timely wage payments and uninterrupted implementation of works under the new framework.Union Rural Development Minister Shivraj Singh Chouhan said the government's priority was to ensure that "no eligible rural worker remains without work even for a single day"."The commencement of the VB-G RAM G Act is a historic step towards building a Viksit Bharat through prosperous villages," he said, adding the Centre and states have worked together to complete preparations for the rollout.The government said existing e-KYC-verified job cards will remain valid until the new Gramin Rozgar Guarantee Cards are issued.The gram panchayats will continue to play a key role in implementation of the scheme, with focus on areas such as natural resource management, water conservation, agriculture and allied activities, rural infrastructure and women's empowerment, it added.According to the ministry, 29 states and Union Territories have made budgetary provisions for the Act, while 24 states have notified their VB-G RAM G state schemes.Prior to this notification, wage rates in several states were below Rs 300, with the lowest notified wage being Rs 241 per day.The rollout of the new law comes amid criticism from opposition parties and activists, who have raised concerns over changes in the existing rural employment guarantee framework.They have questioned if the new system could affect the demand-driven nature of employment, the role of states and panchayats, and whether adequate financial resources would be available for implementation.The government has maintained that the new framework will strengthen rural livelihood security, improve asset creation and provide a more comprehensive approach to employment generation.The national launch of the VB-G RAM G Act will be held on July 2 at Mukkavaripalli village in Obulavaripalle mandal of Andhra Pradesh's Tirupati district, according to the ministry.The event will include the distribution of Gramin Rozgar Guarantee Cards and the release of awareness material related to the mission.

The Viksit Bharat Guarantee for Rozgar and Ajeevika Mission will start on July 1, 2025, offering 125 days of guaranteed employment at revised wages up to ₹327.4 per day, compared to ₹298.8 under MGNREGA, with significant increases across states.