VB-G RAM G to take effect on July 1
SOCIAL – SCHEMES
12 MAY 2026
- Sounding the final bugle on the Mahatma Gandhi National Rural Employment Guarantee Act, 2005, the Union government notified that from July 1, all “rules, notifications, schemes, orders and guidelines” made under the law will stand repealed, and the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) [VB-G RAM G] will come into force.
- The VB-G RAM G legislation was passed by Parliament in December 2025, without pre-legislative consultations.
- The process of framing the rules for the new Act is under way following consultations with States.
- The MGNREGA, enacted under the Congress-led UPA, was part of a set of welfare laws that emerged from the National Advisory Committee.
- Under MGNREGA, the Centre paid 100% of the wage bill; under the new scheme, the expenditure will be split between the Centre and the States in a 60:40 ratio for most States.
- The new scheme increases the statutory employment guarantee from 100 days to 125 days in every financial year.
- Attendance will continue to be captured through the National Mobile Monitoring System, despite concerns over reliance on digital systems in areas with patchy internet coverage.
- The legislation provides for a blackout period of up to 60 days, to be notified by the States, ostensibly to ensure the availability of agricultural labour during peak sowing and harvesting seasons. This clause has drawn criticism for reducing workers’ bargaining power.
e-KYC
- The government clarified that existing job cards that are e-KYC verified will remain valid until Gramin Rozgar Guarantee cards are issued.
- As per a recent study by LibTech, a consortium of activists and academics, as of May 7, 2026, 11.58 crore registered workers (45.4%) and 0.95 crore active workers (9.5%) are yet to complete e-KYC.
- Provisions carried over from MGNREGA, such as unemployment compensation in case of failure to provide work, will continue.

