New Rural Employment Legislation Overview

Viksit Bharat - Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill, 2025

Overview:

• Legislation: The Viksit Bharat - Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill (VB-G RAM G) was passed by Parliament on December 16, 2025.
• Replacement: It replaces the Mahatma Gandhi National Rural Employment Guarantee Act, 2005 (MGNREGA).

Implementation Steps:

1. State Consultation: Ongoing weekly consultations between the Union Ministry of Rural Development and State Governments.
2. Normative Allocation:
   • Section 4(5) mandates the Central government to determine state-wise allocations based on "objective parameters."
   • Current discussions are about equitable distribution, especially for economically weaker States.
3. Categorization of Gram Panchayats:
   • Panchayats to be categorized as A, B, or C based on development parameters (example given: proximity to urban areas).
   • Consultation with States to finalize these parameters is ongoing.

Pre-Implementation Requirements for States:

1. Completion of ongoing projects under MGNREGA.
2. Enrollment on the DBT Sparsh banking platform for financial management.
3. Conducting e-Know Your Customer (eKYC) verification for existing job cards. As of now, 83% of active workers have completed this verification.
4. Onboarding Yuktdhara for geospatial planning related to the Viksit Gram Panchayat plans.

Financial Allocation:

• Union Budget 2026:
  • ₹95,692.31 crore earmarked for VB-G RAM G.
  • ₹30,000 crore allocated for MGNREGS.
  • Total allocation: ₹1,25,692.31 crore, reflecting a 43% increase over the previous revised estimate for MGNREGS.

Timeline for Implementation:

• The new Act's rollout is uncertain but originally targeted for April 1, 2026.
• Upon notification of the Act, State Governments will have six months for full implementation.

Legislative Importance:

• Represents a significant shift in rural employment policy.
• Aims to address variances in rural employment needs and economic disparities across States.

Additional Relevant Information:

• Public Consultations: Highlighting the active role of State Governments in shaping the new policy.
• Performance Measures: Discussions surrounding the inclusion of past performance metrics in resource allocation decisions.
• Technological Integration: Use of digital platforms for financial and planning frameworks indicates a shift towards modernization in rural employment schemes.

This summary encapsulates key features of the new VB-G RAM G Bill, its expected impacts, and the steps necessary for implementation while maintaining a focus on policy and legislative detail relevant for academic study or exam preparation.