In a landmark legislative move, Parliament has passed the VB G RAM G Bill, paving the way for a major restructuring of India’s rural employment guarantee framework and effectively replacing the two-decade-old MNREGA scheme. The Bill was cleared after an intense and extended debate that stretched past midnight, underlining both the political sensitivity and the far-reaching impact of the proposed changes on rural livelihoods across the country.
The government has positioned the VB G RAM G (Village-Based Growth and Rural Asset Mission Guarantee) Bill as a more future-ready alternative to MNREGA, aimed at aligning rural job creation with long-term asset building, skill development, and productivity enhancement. According to ministers who defended the Bill in Parliament, the new framework seeks to move beyond “temporary wage employment” and focus on creating durable economic value in villages.
What the VB G RAM G Bill Proposes
At its core, the new Bill guarantees employment to rural households, similar to MNREGA, but with a restructured approach. Instead of primarily focusing on manual labour-based public works, the new programme emphasizes village-level infrastructure, climate-resilient projects, water conservation systems, renewable energy assets, agri-processing units, and digital rural services.
The government argues that this shift will not only provide jobs but also strengthen rural economies by improving productivity and income generation. Skill-linked employment, especially for youth and women, is a key pillar of the new scheme. Workers may be trained in areas such as sustainable farming practices, micro-enterprise support, data collection for rural governance, and maintenance of public assets.
Midnight Debate Reflects Deep Divisions
The passage of the Bill was anything but smooth. Opposition parties raised strong objections, accusing the government of dismantling MNREGA, which they described as a “lifeline for the rural poor.” Several MPs questioned whether the new framework could provide the same level of job security, especially during crises such as droughts, floods, or economic slowdowns.
Critics also expressed concerns about implementation. They argued that MNREGA’s strength lay in its simplicity and legal guarantee of 100 days of work, while the new Bill introduces performance metrics, skill requirements, and project-based employment that could exclude the most vulnerable workers.
Government representatives countered these claims by stating that the VB G RAM G Bill retains the employment guarantee while modernising its delivery. They emphasised that rural India has changed significantly since MNREGA was introduced, and that policy must evolve to reflect new aspirations, technologies, and economic realities.
Key Differences From MNREGA
One of the most notable changes is the greater role of local institutions and private partnerships. While MNREGA was largely state-driven, the new Bill allows for collaboration with cooperatives, self-help groups, and regulated private entities for project execution, under government oversight.
Another significant shift is outcome-based funding. Payments to implementing agencies may be linked to the quality, durability, and economic impact of assets created. The government believes this will reduce inefficiencies and ensure better use of public funds.
Digital monitoring, real-time attendance systems, and geo-tagged asset tracking are also expected to play a larger role, building on the digital tools introduced in recent years under MNREGA.
Impact on Rural Workers
For millions of rural households, the transition raises both hopes and uncertainties. Supporters believe the new model could lead to higher-quality jobs, better wages linked to skills, and long-term income opportunities. Farmers may benefit from improved irrigation, storage, and market access infrastructure created under the scheme.
However, labour unions and social activists warn that workers who depend on immediate wage employment may struggle during the transition phase. They have called for strong safeguards to ensure no household loses access to work or timely payments.
What Happens Next
With parliamentary approval secured, the government is expected to roll out the VB G RAM G programme in phases, starting with pilot districts. Detailed rules, funding mechanisms, and state-level guidelines will be notified in the coming months. States will play a crucial role in adapting the framework to local needs, a factor that could determine the success or failure of the overhaul.
As India embarks on this significant policy shift, the debate over balancing social security with economic transformation remains central. Whether VB G RAM G becomes a catalyst for sustainable rural growth or faces challenges similar to past reforms will depend on execution, transparency, and the government’s ability to keep rural workers at the heart of the programme.
