Karnataka Assembly Rejects New Employment Law Amid Protests

The Karnataka government has taken a stand against the VB-G RAM G Act, which replaces the MGNREGA, by passing a resolution in the Assembly. This decision comes amid protests from opposition parties, including the BJP and JD(S), who staged walkouts during the session. Chief Minister Siddaramaiah and other officials have raised concerns about the financial implications of the new law, which increases the state's share of costs. The resolution's passage has sparked further debate on the future of rural employment in Karnataka. Read on for a detailed analysis of the situation and its potential impact on the state's development.

By Narendra Chaudhary Feb 5, 2026, 10:40 IST

Karnataka Government's Resolution Against VB-G RAM G Act

On Wednesday, the Karnataka government adopted a resolution opposing the central government's move to repeal the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and replace it with the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill. This decision came as members of the Bharatiya Janata Party (BJP) and Janata Dal (Secular) walked out of both the Legislative Assembly and the Council.

The VB-G RAM G Bill received presidential approval on December 21, shortly after being passed by Parliament amidst significant protests from opposition parties.

This new legislation replaces the MGNREGA, which was initiated in 2005 by the Congress-led United Progressive Alliance. The original scheme aimed to provide livelihood security to rural households by guaranteeing 100 days of unskilled work annually for those who sought it, covering all districts nationwide.

Chief Minister Siddaramaiah introduced the resolution against the VB-G RAM G Act on Tuesday. Meanwhile, BJP and JD(S) legislators protested overnight, demanding the resignation of state Excise Minister RB Timmapur over corruption allegations, with protests continuing into Wednesday.

The Legislative Council passed the resolution unanimously late Wednesday, although no opposition members were present during the vote.

Following the resolution's passage, Deputy Chief Minister DK Shivakumar remarked that the opposition had ample chances to discuss and defend the VB-G RAM G Act but chose not to engage.

Earlier, state Rural Development and Panchayat Raj Minister Priyank Kharge criticized the new law as 'anti-federal,' claiming it imposes increased financial burdens on state governments without prior consultation. He described this situation as 'economic terrorism.'

Under the new law, the state's financial responsibility has escalated to 40%, while the number of guaranteed workdays has been raised to 125. The Union government will still cover wage costs, with states responsible for material and administrative expenses.

Kharge pointed out that even allies of the BJP, such as Andhra Pradesh Chief Minister N Chandrababu Naidu, have expressed concerns regarding the increased state share from 10% to 40%.

He also highlighted discrepancies in the Budget allocation for the scheme, stating that to provide 125 days of work at a minimum wage of Rs 375 for all registered individuals, Rs 3.83 lakh crore would be necessary, yet the Union Budget only allocated Rs 95,000 crore this year.

State Law and Parliamentary Affairs Minister HK Patil noted that the new job categories introduced do not include several essential roles for rural infrastructure that were part of the MGNREGA.

In contrast, expelled BJP MLA Basanagouda Patil Yatnal argued that the VB-G RAM G Act was a response to the 'misuse of job cards' under MGNREGA. He urged the Centre to adjust the funding ratio from 60:40 to 75:25 for effective implementation of the scheme.

Yatnal also advised Chief Minister Siddaramaiah against confronting the Union government, warning that such actions could hinder the state's development, and urged him to retract the resolution opposing the VB-G RAM G Act.