Launch of VB-G Ram G Scheme: New Wage Framework for Rural Employment in India

The Union government of India has officially launched the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission Gramin (VB-G Ram G) scheme, marking a significant development in the nation’s rural employment landscape. This new initiative, which replaces the existing Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), is aimed at enhancing employment opportunities and economic stability for rural communities across the country.

As part of this rollout, the government has set the base wage at Rs 300 per day, a move designed to provide a financial safety net for workers in rural sectors. This is a historic step as it establishes a minimum wage for the first time under a national rural employment guarantee framework. The average wage under the new scheme has been increased by 9.5%, rising from Rs 298.8 to Rs 327.4 per day. Such adjustments in wages are critical, especially in light of rising inflation and economic pressures faced by rural households.

To ensure the smooth implementation of the VB-G Ram G scheme, the Ministry of Rural Development has allocated approximately Rs 95,692.3 crore to states and Union Territories. This funding will facilitate wage payments and the transition to the new framework starting from the first day of implementation. In a previous announcement made in May, the government indicated that ongoing projects under the MGNREGA, which were active as of June 30, would continue under the new provisions of VB-G Ram G.

It is important to note that existing job cards verified through e-KYC under MGNREGA will remain valid until the issuance of Gramin Rozgar Guarantee Cards, allowing for a seamless transition for beneficiaries. The VB-G Ram G Act was passed by Parliament and received presidential assent on December 21, 2022, highlighting the government’s commitment to improving rural livelihoods.

With the launch of this new scheme, the government aims not only to provide jobs but also to uplift rural economies, thereby contributing to the broader objectives of sustainable development and poverty alleviation. As the scheme takes effect, stakeholders will be closely monitoring its impact on rural employment and economic growth.

Source: scroll.in