Centre Introduces VB-G RAM G Bill To Replace MGNREGA

The Union government has introduced the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill, 2025, proposing to replace the nearly two-decade-old MGNREGA, which provided rural households with a legally enforceable right to demand work.

Under the new Bill, the annual employment ceiling is increased from 100 to 125 days. However, unlike MGNREGA, the proposed framework does not provide a statutory right to work, and employment will operate as a centrally administered scheme.

The new Bill limits employment to four categories—water security, rural infrastructure, livelihood infrastructure, and disaster resilience. Work under the scheme may also be paused during peak agricultural seasons.

The Bill introduces a revised cost-sharing structure, under which states will contribute 40% of total expenditure (10% for northeastern and Himalayan states) and 100% of unemployment allowance, raising concerns that states may curb work availability to manage costs.

Unlike MGNREGA’s default coverage across all rural areas, the proposed law allows the Union government to notify eligible rural regions, determining where the scheme will apply.

The proposed law formalises digital and biometric systems such as app-based attendance and online monitoring. Decode has previously reported that digitisation under MGNREGA led to exclusion and misuse, raising questions about safeguards under the new framework.

The Opposition, led by Congress president Mallikarjun Kharge, has criticised the Bill as an attempt to dilute MGNREGA and has demanded that it be referred to a parliamentary standing committee for detailed scrutiny.