The Central government has announced the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025, which will be implemented nationwide starting from July 1, 2026. This Act ensures 125 days of wage employment for rural households. Under this new initiative, rural households with adult members willing to do unskilled manual work will receive a guarantee of 125 days of wage employment each financial year.
The primary goal of this enhanced guarantee is to enhance livelihood security, boost rural incomes, and promote sustainable village-level development. Workers will be provided employment based on their work requests within the specified timeframe. If the employment is not provided within the set period, workers will be eligible for unemployment allowance as per the Act’s provisions.
Wages will be transferred directly to the workers’ bank or post office accounts on a weekly basis or within fifteen days after the muster roll closes. In case of delays, workers will receive compensation as outlined in the Act. The government has allocated Rs 95,692.31 crore for the fiscal year 2026–27, the highest-ever budgetary allocation at the initial stage for a rural employment program.
This substantial financial provision, along with contributions from states, is expected to exceed Rs 1.51 lakh crore, providing a significant impetus to rural infrastructure development, substantial job creation, and income enhancement in rural areas. The new framework replaces the Mahatma Gandhi National Rural Employment Guarantee Act, 2005, ensuring a smooth transition for workers.
To facilitate a seamless transition, ongoing employment under MGNREGA will continue without interruption until the new Act takes effect. Works in progress under MGNREGA as of June 30, 2026, will be seamlessly carried over to the new framework. The government emphasizes the importance of timely work availability and prompt wage payments to rural workers.
States and Union Territories have been allocated sufficient labor budgets to align with demand patterns and field requirements, ensuring that eligible rural households do not face any inconvenience before the commencement of the VB–G RAM G Act.
