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The Union government is revamping the rural employment framework through the proposed Viksit Bharat Guarantee for Rozgar & Ajeevika Mission (Gramin) Bill (VB-G RAM G). The reform raises guaranteed work from 100 to 125 days and introduces an unemployment allowance if work is not offered. It aims to reduce long-standing leakages in several states, improve monitoring, and shift focus to core infrastructure, water security, climate-resilient projects, and livelihood support. The bill also proposes a normative funding model and a unified asset registry to enhance transparency, planning, and effective resource use in rural development.
The Union government is set to overhaul rural employment and infrastructure schemes with the proposed VB-G RAM G bill, reflecting lessons from years of monitoring gaps and fund misuse. Officials said the existing framework had suffered from widespread irregularities, including non-existent works, violation of rules, improper use of machines instead of labour, and attendance system bypassing. States like West Bengal, among others, showed significant discrepancies between reported work and actual execution, prompting a structured reform approach. Advertisement
Officials observed that over two decades since the National Rural Employment Guarantee Scheme's inception, rural India has changed considerably. Poverty has declined, social protection systems have strengthened, and digital access, particularly through Aadhaar, has expanded. The evolving socioeconomic conditions made incremental adjustments insufficient, leading to a comprehensive redesign of the scheme to address structural inefficiencies that persisted under the old system.
Under the new proposal, employment for eligible households would increase from 100 to 125 days annually. Additionally, an unemployment allowance will be provided when work is not offered, ensuring that rural households have a guaranteed minimum income. Officials highlighted that only around 7.6 percent of households reached 100 days of work after the pandemic, demonstrating the need for stronger guarantees and improved access.
The bill also includes changes to wage structures, requiring the Centre to set minimum wages for unskilled manual work while states notify related schemes within six months of enactment. This approach intends to harmonise payments across regions and ensure fair compensation for rural labourers.
A significant change involves replacing the previous demand-driven funding model with a normative funding approach. This ensures predictable allocations and aligns with centrally sponsored scheme formats, with a 60:40 cost-sharing split between the Centre and states, while the Northeast and hilly regions receive 90:10. States may request additional funds during natural disasters, maintaining flexibility within a structured framework.
The revamped focus prioritises water security, core rural infrastructure, livelihood projects, and climate-resilient assets. Assets generated under the scheme will be compiled into the Viksit Bharat National Rural Infrastructure Stack, supporting a unified national development strategy and ensuring that investments are visible, measurable, and coordinated across regions.
While some critics have raised concerns about funding pattern changes, officials emphasised that the reform is designed to improve transparency, reduce leakages, and make rural employment outcomes more targeted. The bill also reflects broader government trends in strengthening coordination and predictability in public works and investment initiatives.
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