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New Rural Employment Act Replaces MGNREGA
The long-standing Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) of 2005 has been superseded by the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025 (VB-G RAM G Act). The Union government champions the new legislation as a critical reform aimed at rectifying MGNREGA's inherent structural weaknesses and modernizing the employment guarantee scheme. Minister of Rural Development, Shivraj Singh Chouhan, stated the act will foster an integrated, enforceable employment guarantee that advances welfare through development.
Critics Warn of Rights Erosion
However, many who were instrumental in MGNREGA's creation view the VB-G RAM G Act as a fundamental shift away from a rights-based entitlement. They argue MGNREGA not only upheld the constitutional right to work but also facilitated the creation of vital rural assets, thereby bolstering the livelihoods of impoverished rural communities. Conversely, proponents of the new law dismiss MGNREGA as an inefficient welfare program that led to a substantial misallocation of public funds.
Hasty Enactment Sparks Controversy
The speed at which the VB-G RAM G Act was passed has drawn significant criticism. The bill cleared the Lok Sabha on December 18, 2025, and received presidential assent within three days. This rapid progression, especially given the significant fiscal and administrative responsibilities placed on state governments, has raised questions. Critics point to the lack of disclosed prior consultation with states, a move seen as contrary to the principles of cooperative federalism.
Procedural Safeguards Questioned
Further scrutiny surrounds the decision not to refer the legislation to a parliamentary standing or joint committee, a standard practice for major policy reforms. The government has not provided a public justification for bypassing these procedural safeguards, especially in the absence of any apparent emergency. This has led to concerns that the government might be replacing a statutory job guarantee with a discretionary central government scheme, potentially weakening the enforceability of employment provisions.
Key Provisions Under Fire
Central to the opposition's critique are several provisions within the new Act. Section 4(5) notably transforms the statutory employment guarantee into an allocation-based, centrally sponsored 'scheme'. This empowers the Union government to unilaterally determine annual state-wise allocations, potentially limiting states' ability to provide more extensive employment opportunities even if they wish to supplement central funding from their own resources.