Daijiworld Media Network – New Delhi
New Delhi, Dec 21: President Droupadi Murmu has given her assent to the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Bill, 2025, bringing into force a major overhaul of India’s rural employment framework, the Ministry of Rural Development said on Sunday.
The new legislation replaces the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005, and enhances the statutory guarantee of wage employment for rural households from 100 days to 125 days in a financial year. The move is aimed at strengthening livelihood security while aligning rural employment schemes with the Centre’s long-term vision of ‘Viksit Bharat 2047’.
Under the Act, rural households with adult members willing to undertake unskilled manual labour will be entitled to a minimum of 125 days of wage employment annually. To accommodate agricultural requirements, states have been given flexibility to notify a pause of up to 60 days during peak sowing and harvesting seasons, without affecting the overall employment entitlement.
The law also mandates stricter timelines for wage payments, stipulating that workers must be paid weekly or within 15 days of completion of work. Delay compensation has been made compulsory if payments are not released within the prescribed period.
A significant shift under the new framework is the integration of employment generation with the creation of durable rural assets. Works will focus on water security, essential rural infrastructure, livelihood-linked facilities and measures to mitigate the impact of extreme weather events. All assets created will be geo-mapped and integrated into a national rural infrastructure platform to improve coordination and avoid duplication.
Planning and execution will continue to be decentralised, with projects originating from Gram Panchayat-level plans approved by Gram Sabhas. These plans will be digitally linked to national platforms to enable better convergence among government departments, while preserving local decision-making authority.
The Act will be implemented as a Centrally Sponsored Scheme, with a 60:40 cost-sharing ratio between the Centre and states. For northeastern and Himalayan states, the ratio will be 90:10, while Union Territories without legislatures will receive full central funding. Administrative expenditure limits have also been enhanced to strengthen staffing, training and on-ground implementation.
The government said the new law reinforces accountability mechanisms, restores unemployment allowance in cases where work is not provided within the stipulated period, and strengthens the legal right of rural households to demand employment. Technology-driven measures such as biometric authentication, geo-tagging and real-time monitoring dashboards have been introduced to enhance transparency, along with stronger provisions for social audits by Gram Sabhas.
According to the Ministry, the legislation marks a shift from a standalone welfare programme to a more integrated development instrument, positioning rural employment as a key driver of income security, asset creation and long-term rural resilience.