VB-G RAM G replacing MGNREGA to come into force across India from July 1

The Centre has notified the VB-G RAM G Act, replacing MGNREGA from July 1, 2026, with a 125 day rural employment guarantee and expanded infrastructure creation mandate

The Centre, on Monday, formally notified the implementation of Viksit Bharat – Guarantee for Employment and Livelihood Mission (Rural) (VB–G RAM G Act) that would replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) across the country from July 1.According to a notification issued by the Union Rural Development Ministry, the VB-G RAM G Act will come into force in all states and Union Territories (UTs) on July 1, and the MGNREGA will stand repealed from the same date.

 

The ministry, in a statement, assured that the transition from MGNREGA to the new framework would be seamless, without disruption to workers.

 

“Ongoing works under MGNREGA as on June 30 shall be saved and carried over to the new framework seamlessly,” the notification said.

 

The existing e-KYC verified MGNREGA job cards will remain valid until the new “Gramin Rozgar Guarantee Cards” are issued, it said. The notification added that workers without job cards can continue to register at the gram panchayat level.

 

Workers will not be denied employment due to pending e-KYC, the ministry said.

 

Draft rules related to wage payments, grievance redressal, allocation norms, administrative expenditure and transitional provisions are being prepared in consultation with states and UTs and will soon be published for public consultation, it added.

 

Under VB-G RAM G Act, every rural household whose adult members volunteer to undertake unskilled manual work will be entitled to 125 days of guaranteed wage employment in a financial year. This is an increase from the existing 100-day guarantee under MGNREGA.

 

Employment will have to be provided within the prescribed timeframe, failing which workers will remain eligible for unemployment allowance in accordance with the provisions of the Act.

 

The government also emphasised timely and transparent wage payments, stating that wages will continue to be transferred directly into workers' bank or post office accounts through Direct Benefit Transfer.

 

Payments will be made weekly or within 15 days from the closure of the muster roll, failing which workers will be entitled to delay compensation.

 

The Centre said the allocation of ₹95,692.31 crore for 2026-27 is the highest-ever Budget Estimate allocation for a rural employment programme.

 

Adding the likely contribution of states, the total programme outlay is expected to exceed ₹1.51 trillion, it said.

 

Meanwhile, Union Rural Development Minister Shivraj Singh Chouhan said in statement that states would be given up to six months to complete operational preparedness under the new law. 

However, from July 1 onwards, funding for rural employment works would be routed through the VB–G RAM G framework even if some states were yet to complete preparations, he added.

 

Smooth transition

 

• E-KYC verified MGNREGA job cards will continue to remain valid for VB-G RAM G
• Ongoing works under MGNREGA as on July 1, 2026, will continue uner the provisions of the new Act
• Workers will not be denied employment due to pending e-KYC