Relevance: GS-2 (Governance & Welfare Schemes) & GS-3 (Economy & Employment) |  Source: The Hindu 

1. The News 

The famous rural employment scheme, MGNREGA (2005), is ending.

• The Change: From July 1, 2026, it will be completely replaced by a new national law called VB-G RAM G (Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission – Gramin).
• The Goal: The administrative objective is to shift from merely providing basic employment to building “Developed Villages” for a “Developed India.”

2. The Big Shift: Old vs. New 

For a clear understanding, here is how the core structure is changing:

• Work Days: Increased from 100 days to 125 days per household.
• Funding the Wages:
  • Old: 100% paid by the Central Government.
  • New: 60:40 Split (The Centre pays 60%, and State Governments must pay 40%).
• Budgeting Style:
  • Old: Demand-driven (the budget was increased if more poor people asked for work).
  • New: Normative Budget (the funds are strictly capped or fixed based on state-wise mathematical formulas).
• Work Availability:
  • Old: Open 365 days a year.
  • New: Introduces a “Blackout Period” (States can pause the scheme for up to 60 days during peak farming seasons).
• Identity Cards: Shifts from normal job cards to mandatory e-KYC (Aadhaar-verified) Gramin Rozgar cards.

3. What Remains Unchanged?

To protect poor laborers during this transition, some basic safety nets remain:

• Unemployment Allowance: If the local administration fails to provide work on time, the worker will still get unemployment pay.
• Digital Attendance: Worker attendance will continue to be marked online using the NMMS (National Mobile Monitoring System) app.
• Safe Transition: Old MGNREGA cards (if verified) will keep working until the government prints the new ones.

UPSC Value Box 

To show the examiner your depth, always link this topic to the Constitution:

• DPSP Linkage: Both schemes draw their true power from the Constitution’s Directive Principles—specifically Article 41 (The Right to Work) and Article 43 (Ensuring a Living Wage).
• Nodal Ministry: Managed by the Ministry of Rural Development (MoRD).
• Governance Gap: The new law was passed without a “Pre-Legislative Consultation.” This means it was enacted without holding public debates or asking for feedback from the poor laborers it actually affects.

With reference to the transition from MGNREGA to the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) [VB-G RAM G], consider the following statements:

1. Under the new VB-G RAM G framework, the entire wage bill for unskilled labor is borne by the Central Government.
2. The new legislation introduces a provision allowing States to notify a “blackout period” where the employment guarantee is temporarily suspended.
3. Both schemes derive their constitutional backing from the Directive Principles of State Policy, specifically Article 41 and Article 43.

Which of the statements given above is/are correct? (a) 1 and 2 only (b) 2 and 3 only (c) 1 and 3 only (d) 1, 2 and 3

Correct Answer: (b)