Replacement of MGNREGA with VB-G RAM G Act
The Viksit Bharat - Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G), 2025 Act has replaced the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), receiving the President's assent.
Constitutional and Judicial Context
- Article 21 of the Constitution guarantees the right to life, interpreted by the Supreme Court to include the right to livelihood.
- MGNREGA was designed to ensure the right to work as part of the right to life.
Key Features of MGNREGA
- Guaranteed right to work on demand, unemployment allowance, and timely wage payments.
- Focus on gender parity, minimum wages, and creation of sustainable assets.
- Strengthened panchayat raj institutions under the 73rd Constitutional Amendment.
Positive Outcomes of MGNREGA
- Universal and non-targeted implementation increased rural incomes.
- Countered gender and caste inequalities.
- Empowered communities and increased school enrollment.
- Decreased reliance on money lenders by 21%.
- Women's participation was about 58% over the last five years.
- World Bank recognized it as a "stellar example" of rural development in 2014.
Challenges and Criticisms
- Chronic underfunding led to wage payment delays and work rationing.
- Technocratic initiatives increased corruption and excluded workers.
- Staff shortages exacerbated corruption despite principles like social audits.
Implications of VB-G RAM G Act
- Gives discretionary powers to the Union government over public works.
- Changes funding model to 60:40 Centre to State ratio, potentially leading to political favoritism.
- Places no obligation on the Union government for payment delays.
- Reduced autonomy for local bodies and increased central control.
- Provision to not provide employment for 60 days during the agricultural season may increase inequalities.
- Claims of 125 days of employment per household per year are seen as unrealistic.
Conclusion
The new Act undermines the principles of local governance and citizen empowerment, formalizing a shift away from MGNREGA's focus on rights-based employment.
