India's Rural Employment Scheme Revamp: MGNREGA to Become Viksit Bharat Guarantee with Extended Benefits

The MGNREGA scheme was established by the UPA government in 2005

New Delhi:

The Centre has introduced a Bill to replace the Mahatma Gandhi National Rural Employment Guarantee scheme (MGNREGA), setting up a political confrontation during Parliament's Winter Session. The new legislation, called The Viksit Bharat Guarantee For Rozgar And Ajeevika Mission (Grameen), abbreviated as VB G RAM G, aims to fulfill the Viksit Bharat 2047 vision. BJP MPs have received a whip requiring their attendance to ensure the Bill passes.

Launched by the UPA government in 2005, MGNREGA has been transformative over two decades by guaranteeing 100 days of rural employment. The new Bill proposes extending this guarantee to 125 days and mandates payments within 7-15 days after work completion. An unemployment allowance provision is included if payments are delayed beyond this timeframe.

The proposed legislation categorizes work into four areas: water security, rural infrastructure, livelihood infrastructure, and disaster resilience. Work scheduling will avoid peak agricultural seasons when rural residents are occupied with farming activities. Transparency measures include biometrics and geotagging, with grievance redressal mechanisms established at multiple levels.

A significant difference exists in funding structure. While MGNREGA is centrally sponsored with the Centre covering 100% of unskilled labor wages and states bearing minimal costs for skilled labor and materials, the G Ram G scheme introduces a cost-sharing model. Most states will share expenses with the Centre in a 60:40 ratio, while northeastern and Himalayan states will follow a 90:10 ratio, and Union territories will receive 100% central funding. Of the projected annual expenditure of Rs 1.51 lakh crore, the Centre would provide Rs 95,692 crore.

Congress MP Priyanka Gandhi Vadra questioned the rationale behind renaming the rural employment scheme: "Why are they removing Mahatma Gandhi's name? He is considered the biggest Indian leader. Whenever such a name changes, significant expenditure occurs in stationery and paperwork. I don't understand the objective. Parliament is not functioning. We're not discussing pressing issues; time and public money are being wasted."

Another Congress MP, Ranjeet Ranjan, commented that the BJP previously had issues with Jawaharlal Nehru and Indira Gandhi. "Now the country sees they have a problem with Bapu. They should ensure timely payments to states under MGNREGA, increase workdays from 100 to 150, and improve the scheme. It's shameful that the government focuses merely on changing names," she told NDTV.