The central government has officially initiated a monumental overhaul of India’s rural labor infrastructure by rolling out the Viksit Bharat – Guarantee for Rozgar and Aajeevika Mission – Grameen (VB-G RAM G) Act.
This new legislation systematically replaces the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), which sustained the country’s rural employment policy for two decades.
The national launch program was executed earlier today, July 2, 2026, at Mukkavaripalle village in the Tirupati district of Andhra Pradesh. Union Minister for Rural Development Shivraj Singh Chouhan led the ceremony alongside Andhra Pradesh Chief Minister N. Chandrababu Naidu and other senior officials.
During the event, Minister Chouhan announced a central budget commitment of ₹7.5 lakh crore over the next five years for the mission. For the initial phase, the Ministry of Rural Development has already disbursed an interim allocation of ₹95,692.31 crore to states and union territories.
Andhra Pradesh has secured an initial allocation of ₹7,707 crore. Notably, over 5 lakh rural citizens were provided employment across 50,000 locations on this first day of implementation.
The VB-G RAM G Act introduces critical baseline modifications to elevate the purchasing power of the agrarian workforce. The minimum guaranteed period of unskilled manual labor per rural household has increased from 100 days to 125 days per financial year. Furthermore, a strict national wage floor has been established, ensuring daily compensation will not fall below ₹300.
To reinforce accountability, the scheme implements rigid guidelines for direct benefit transfers and stricter rules for late-payment penalties. There is now a legal requirement for states to provide an unemployment allowance if requested work is not assigned within 15 days.
The transition also aims to maximize long-term economic utility by focusing on specialized community assets like water security, basic infrastructure, and climate protection. This structural shift was demonstrated today at Mukkavaripalle with the laying of a foundation stone for a community farm pond and the introduction of an environmental action plan for wood banks.
