Viksit Bharat – G RAM G Act Will Come Into Force Across Rural India From July 1st 2026

The Government of India on May 11, 2026 notified the implementation of the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025 — popularly referred to as the VB–G RAM G Act.

The new rural employment guarantee framework will come into force nationwide from July 1, 2026.

With the implementation of the new law, the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005 will stand repealed from the same date.

Enhanced Employment Guarantee

Under the new framework, every rural household whose adult members volunteer to undertake unskilled manual work will be entitled to:

125 days of guaranteed wage employment per financial year125\ days\ of\ guaranteed\ wage\ employment\ per\ financial\ year125 days of guaranteed wage employment per financial year

This expands the statutory employment guarantee beyond the earlier MGNREGA framework and aims to:

• Strengthen livelihood security,
• Improve rural incomes, and
• Support sustainable village-level development.

Provision for Unemployment Allowance

The Act mandates that employment must be provided within:

Employment to be provided within 15 days of applicationEmployment\ to\ be\ provided\ within\ 15\ days\ of\ applicationEmployment to be provided within 15 days of application

If employment is not provided within the stipulated period, workers become eligible for unemployment allowance payable by the State Government.

The allowance shall be:

• At least one-fourth of the notified wage rate for the first 30 days, and
• At least one-half of the wage rate for the remaining period during the financial year.

Wage Payment and Transparency

The Act places strong emphasis on timely and transparent wage payments.

Key provisions include:

• Direct transfer of wages into bank or post office accounts through Direct Benefit Transfer (DBT),
• Weekly wage payments or payment within 15 days from closure of the muster roll, and
• Compensation for delays in wage payments.

Digital Attendance System

Attendance at worksites will be recorded through face authentication-based attendance mechanisms. However, the Act also provides for exception handling in cases involving:

• Poor or no network connectivity,
• Technical failures,
• Device-related issues, or
• Other genuine difficulties.

Worksite Distance and Extra Compensation: As far as possible, employment will be provided within a 5-kilometre radius of the worker’s village. If worksite > 5 km, workers receive extra 10% wage compensationIf\ worksite\ >\ 5\ km,\ workers\ receive\ extra\ 10\%\ wage\ compensationIf worksite > 5 km, workers receive extra 10% wage compensation. If work is provided beyond 5 km (within the block area), workers will receive an additional 10% of the wage rate towards transport and living expenses.

Transition from MGNREGA: Existing e-KYC verified MGNREGA Job Cards will remain valid under the new system until: New Gramin Rozgar Guarantee Cards are issued. This provision is intended to ensure a smooth transition from the previous employment guarantee regime.

Funding Pattern

The Centre has prescribed different fund-sharing patterns for implementation:

• North Eastern and Himalayan States: Centre:State = 90:10Centre:State\ =\ 90:10Centre:State = 90:10
• Other States and UTs with Legislature: Centre:State = 60:40Centre:State\ =\ 60:40Centre:State = 60:40
• Union Territories without Legislature: 100% Central Funding100\%\ Central\ Funding100% Central Funding.

Source: PIB