**Executive Summary**
This document is the answer given by the Minister of State in the Ministry of Rural Development to the Lok Sabha Unstarred Question No. 1713 regarding conventions and protests against the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin): VB-G RAM G Act, 2025. The question was answered on 10/02/2026. The document addresses concerns about MGNREGA workers in Punjab, specifically wage rates, work availability, and the funding ratio.
**Key Points / Main Content**
* **Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025:**
* Aims to align rural development with the Viksit Bharat @2047 vision.
* Provides a statutory wage employment guarantee of 125 days per financial year.
* **Role of Panchayats:**
* District, intermediate, and village level Panchayats are the principal authorities for planning, implementation, and monitoring.
* The Gram Panchayat is responsible for registering households, processing work applications, preparing Viksit Gram Panchayat Plans, and executing assigned works.
* Gram Panchayats must maintain muster rolls, ensure works meet technical standards, and comply with transparency requirements.
* **Funding Pattern:**
* The 60:40 Centre-State financial sharing pattern is consistent with other Centrally Sponsored Schemes (CSS).
* Special provisions apply for North-Eastern and Himalayan States and Union Territories (90:10 Centre-State).
* State Governments may request special operational relaxations during disasters or pandemics.
* **Wage Payment:**
* The Central Government specifies wage rates for unskilled work under MGNREGA.
* Wage rates are revised annually based on the Consumer Price Index for Agricultural Labour (CPI-AL).
* The notified wage rate for Punjab for FY 2025-26 is Rs. 346, an increase of approximately 6.94% from Rs. 322 in 2024-25.
* Beneficiaries are entitled to wage payments within 15 days of work completion.
* **Timely Payment Measures:**
* Implementation of a comprehensive Standard Operating Procedure (SOP) for wage payments.
* Improvement of the National Electronic Fund Management System (Ne-FMS).
* Use of Direct Benefit Transfer (DBT) for direct wage transfers to workers' bank accounts.
* Adoption of the Aadhaar Payment Bridge System (APBS) for direct benefit crediting based on Aadhaar.
* Implementation of the National Mobile Monitoring System (NMMS) for real-time attendance capture.
* **MGNREGA as a Fallback Option:**
* MGNREGA serves as a fall-back option when better employment opportunities are unavailable.
* States are encouraged to ensure all demand for work is met.
**Impact Analysis**
**Stakeholder: MGNREGA Workers and Unions in Punjab**
* **Impact:** Wage rates have been revised upward to Rs. 346 for FY 2025-26. Implementation of measures to ensure timely payment of wages.
* **Action Required:** Be aware of the revised wage rates. Cooperate with the implementation of DBT and APBS for wage payments.
**Stakeholder: State Governments (Specifically Punjab)**
* **Impact:** Must ensure timely payment of wages to MGNREGA workers. May provide wages over and above the rate notified by the Central Government from their own resources.
* **Action Required:** Implement the SOP for wage payments. Generate pay orders on time.
**Stakeholder: Gram Panchayats**
* **Impact:** Panchayats will play a central role in planning, implementing, and monitoring VB-G RAM-G schemes. Increased responsibility for recording, transparency, and convergence with government policy.
* **Action Required:** Prepare Viksit Gram Panchayat Plans, ensure works meet technical standards, and comply with transparency requirements.
Key Entities Referenced
Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin): VB-G RAM G Act, 2025: A scheme aimed at aligning rural development with the national vision of Viksit Bharat @2047 by providing an enhanced wage employment guarantee.
Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA): An act guaranteeing wage employment in rural areas; previously implemented scheme to which VB G-RAM-G relates.
Punjab: The state where MGNREGA workers' unions announced conventions and protests.
Ministry of Rural Development: The ministry responsible for notifying Mahatma Gandhi NREGA wage rates and revising them annually.
Gram Panchayat: The principal grassroot institution responsible for demand registration, participatory planning, decentralised execution, worker engagement, and public accountability under the VB-G RAM-G scheme framework.
GOVERNMENT OF INDIA
MINISTRY OF RURAL DEVELOPMENT
DEPARTMENT OF RURAL DEVELOPMENT
LOK SABHA
UNSTARRED QUESTION NO. 1713
ANSWERED ON 10/02/2026
CONVENTIONS AND PROTESTS AGAINST VBG RAM G
1713. Smt. Harsimrat Kaur Badal:
Will the Minister of RURAL DEVELOPMENTbe pleased to state:
(a) whether the Government is aware that MGNREGA workers and
unions in Punjab,particularly in Ludhiana district, have
announced a series of conventions and protests
againstchanges to the VB G-RAM-G earlier Mahatma Gandhi
National Rural Employment Guarantee Act(MGNREGA);
(b) whether it is a fact that workers’ organisations have opposed
proposals to alter the existing90:10 Centre–State funding ratio,
reduce the role of gram panchayats in selecting and
planningwork rather than a legal guarantee of 100 days of work
per household, and if so, details thereof;and
(c) whether VB G-RAM-G/MGNREGA workers in Punjab currently
receive wages around Rs346 per day, have reported an actual
average of only about 36 days of work annually and
aredemanding increased wages (around Rs 700 per day), full
100 days of employment and timelypayments ?
ANSWER
MINISTER OF STATE IN THE MINISTRY OF RURAL DEVELOPMENT
(SHRI KAMLESH PASWAN)
(a)&(b): The primary objective of the Viksit Bharat-Guarantee for
Rozgar and Ajeevika Mission (Gramin): VB-G RAM G Act, 2025, is to
align the rural development framework with the national vision of
Viksit Bharat @2047 by providing an enhanced statutory wage
employment guarantee of one hundred and twenty-five days in each
financial year to such rural households whose adult members
volunteer to undertake unskilled manual work, thereby enabling
them to participate more effectively in the expanded livelihood
security framework.
Page 1 of 6Certain expressions of views by stakeholders in Punjab in relation
to the implementation of VB-G RAM-G have been reported in
sections of the media.
With regards to role of Panchayat in implementation of VB-G
RAM-G it is stated that in section 16 of the Act, role of the
Panchayat Raj Institutions in planning and implementation of VB-G
RAM G Schemes has been clearly defined, which are as follows: -
(1) The Panchayats at the district, intermediate and village levels
shall be the principal authorities for planning, implementation and
monitoring of the Scheme made under the Act.
(2) The Panchayat at the district level, shall oversee and coordinate
implementation of the Scheme in the district, including finalisation
and approval of the aggregate district level plan, supervision and
monitoring of works, ensuring convergence, and perform such other
functions as may be assigned to it by the State Government.
(3) The Panchayat at the intermediate level, shall prepare and
finalise the aggregate Block level plan, support Gram Panchayats in
planning and implementation, supervise works at Gram Panchayat
and Block levels, and facilitate convergence with line departments.
(4) The Gram Panchayat shall register households, receive and
process applications for work, prepare the Viksit Gram Panchayat
Plans, execute the works assigned to it, maintain such records as
may be specified by the State Government, and discharge such
other responsibilities as may be entrusted to it under the Scheme.
Additionally, the Gram Panchayat is the primary village-level
authority for planning, implementation, and execution of works
under the Scheme. It is responsible for registering rural households
and issuing GraminRozgar Guarantee Cards, receiving and
processing applications for work, and maintaining all related
records.
The Gram Panchayat prepares the Viksit Gram Panchayat Plan
through a participatory process based on recommendations of the
Gram Sabha and Ward Sabhas, ensuring saturation-based and
convergence-oriented planning.
Page 2 of 6It executes works allotted by the Programme Officer and may
take up any sanctioned work from the approved Viksit Gram
Panchayat Plan within its jurisdiction, with at least fifty percent of
the total works (in cost terms) to be implemented through Gram
Panchayats.
Gram Panchayat is required to maintain muster rolls and other
prescribed records, ensure that works meet required technical
standards and measurements, and follow digital and transparency
requirements. It must place all relevant documents, including
muster rolls, bills, vouchers, measurement books, sanction orders,
and geo-tagged and digital records before the Gram Sabha to enable
regular social audits and public scrutiny, thereby supporting
transparency, accountability, and grievance redressal in
implementation.
Overall, the Act positions the Gram Panchayat as the principal
grassroot institution responsible for demand registration,
participatory planning, decentralised execution, worker
engagement, and public accountability under the Scheme
framework. The experience gained through implementation of
Mahatma Gandhi NREGS has also been taken into account while
framing the new Act.
With regards to altering of existing funding pattern, it is stated
that a 60:40 Centre–State financial sharing pattern would not affect
the implementation of the scheme and guarantee given
therein. Here it is also stated that, all major rural employment
schemes in the country have operated on shared funding models
between the Centre and the States. For example:
- The National Rural Employment Programme (NREP) followed a
75:25 sharing pattern.
- The Rural Landless Employment Guarantee Programme (RLEGP)
adopted a 50:50 model.
- The JawaharRozgarYojana (JRY) operated on an 80:20 basis.
- Schemes such as SGRY(SampoornGrameenRozgarYojana),
EAS(Employment Assurance Scheme) were also implemented on a
Centre–State sharing pattern, generally in the ratio of 75:25.
Page 3 of 6Further, almost all Centrally Sponsored Schemes (CSS) across
sectors are being implemented on 60:40 sharing model. The 60:40
pattern adopted under this Act is therefore consistent with the
broader framework of Centrally Sponsored Schemes.
This model promotes cooperative federalism by making States
active partners in rural development. The journey from Viksit Gram
Panchayats to a Viksit Bharat requires strong State ownership and
accountability, and the shared funding framework reinforces this
partnership approach.
In addition, special protective provisions have been made for
North-Eastern and Himalayan States and Union Territory (Himachal
Pradesh, Uttarakhand and Jammu & Kashmir), where a 90:10
Centre–State sharing pattern applies, ensuring that financially
constrained States are not placed under undue stress.
Moreover, the Act clearly provides that in the event of natural
disasters, pandemics, or other extraordinary circumstances, State
Governments may recommend special operational relaxations to the
Centre. The framework is thus not rigid, but responsive, flexible,
and sensitive to emerging needs. Overall, the funding pattern is
designed to balance fiscal responsibility, State participation, and
national rural development priorities.
(c): With regard to fixation of wage payment under Mahatma
Gandhi NREGS it is stated that as per Section 6 (1) of Mahatma
Gandhi National Rural Employment Guarantee Act (Mahatma Gandhi
NREGA), 2005, the Central Government may, by notification, specify
the wage rate for unskilled work for its beneficiaries. Accordingly,
the Ministry of Rural Development notifies Mahatma Gandhi NREGA
wage rate for every financial year for States/UTs. To compensate
the Mahatma Gandhi NREGA workers against inflation, the Ministry
of Rural Development revises the Wage rate every year based on
change in Consumer Price Index for Agricultural Labour (CPI-AL).
Page 4 of 6The wage rate is made applicable from 1st April of each financial
year.
In case of Punjab, the notified wage rate for the State of
Punjab for unskilled workers under Mahatma Gandhi NREGS for the
financial year 2024-25 was Rs. 322, which has been revised to Rs.
346 for the financial year 2025-26. This reflects an increase of
approximately 6.94% in the wage rate.
Further, it is also submitted that State Governments can
provide wages over and above the wage rate notified by the Central
Government from their own resources.
With regard to timely payment of wages, it is stated that as
per the provisions of the Act, beneficiaries are entitled to receive
wage payments within 15 days of work completion. In order to
ensure timely payment, the Government of India has issued a
comprehensive Standard Operating Procedure (SOP) to all
States/UTs, which defines fixed timelines for each stage of the
wage payment process from muster roll uploading to FTO approval.
The Ministry along with the States/UTs has been making concerted
efforts for improving the timely payment of wages. States/UTs have
been advised to generate pay orders in time.
The Ministry has taken various steps to ensure timely payment
of wages to workers under the Mahatma Gandhi National Rural
Employment Guarantee Scheme (Mahatma Gandhi NREGS). These
include:
Improvement of National Electronic Fund Management System
(Ne-FMS)
Intensive consultation with State Governments and other
stakeholders for ensuring timely payment of wages,
verification of pending and delay compensation claims etc.
Formulation of Standard Operating Procedure for monitoring of
timely payment and payment of delay compensation.
Reviewing the status of timely payment and payment of delay
compensation with the States/ UTs during periodic meetings,
Performance Review Committee meetings, Mid-term Reviews
etc.
Page 5 of 6Further, continued efforts have been undertaken by the Ministry
through various technological interventions for ensuring timely
payments of wages. Some of the key interventions include:
Direct Benefit Transfer (DBT): Wages are transferred directly
from the central account to workers’ bank accounts,
minimizing the role of intermediaries and reducing fund
misappropriation. This has proven to be effective in enhancing
transparency and preventing leakages. Almost 100% of the
funds are managed electronically with the wage payment
made entirely through Direct Benefit Transfer (DBT) protocol.
Aadhaar Payment Bridge System (APBS):APBS conversion is a
major reform process where benefits are credited directly into
the bank accounts based on the Aadhaar of the workers under
Mahatma Gandhi NREGS, preferably Aadhaar Based Payments,
cutting several layers in the delivery process. APBS helps in
better targeting, increasing the efficiency of the system and
reducing the delays in payments, ensuring greater inclusion by
curbing leakages thereby promoting greater accountability
and transparency.
National Mobile Monitoring System (NMMS):Real-time
attendance capture through geo-tagged photographs at the
worksite ensures accurate and timely recording of attendance,
which helps in timely payment of wages.
Here it is also stated that Mahatma Gandhi NREGS is a fall-back
option when no better employment opportunities are available.
Further, States are regularly sensitized by this Department to
ensure that no demand for work goes unmet.
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