Madhya Pradesh Introduces Revolutionary Employment Act to Transform Rural Economy

Madhya Pradesh has introduced the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025, replacing MGNREGA. This new legislation promises to enhance rural employment opportunities, allowing for greater flexibility and support for vulnerable communities. Key features include an increase in guaranteed wage employment days and empowerment of local governance through Gram Panchayats. The Act aims to address agricultural labor shortages during peak seasons and improve rural infrastructure, making it a significant step towards transforming the rural economy. Leaders have dismissed opposition claims, urging the public to recognize the Act's positive impact on rural welfare.

By Narendra Chaudhary Jan 7, 2026, 14:59 IST

Madhya Pradesh's New Employment Initiative

Bhopal, Jan 7: Madhya Pradesh's Chief Minister Dr. Mohan Yadav, along with state BJP president Hemant Khandelwal, has lauded the newly passed Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025. This legislation replaces the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).

The leaders characterized this law, introduced by Prime Minister Narendra Modi in Parliament, as a "transformative" measure aimed at revitalizing rural India, dismissing the Congress party's opposition as "unfounded and ineffective."

Chief Minister Yadav highlighted a crucial aspect of the Act, which permits states to declare a pause of up to "60 days" in a financial year during peak agricultural seasons, alleviating the challenges farmers face in securing labor.

He elaborated, "This allows laborers to earn from agriculture during the season and benefit from the scheme throughout the rest of the year, effectively providing dual income opportunities. The Act also addresses issues arising from natural disasters and expands its scope to include projects like cowshed construction in tribal and aspirational districts, prioritizing vulnerable groups such as women, SC/ST communities, and landless families. Additionally, the Centre will set skilled labor wages," he explained, emphasizing the advantages for Madhya Pradesh, the second-largest state in India.

Yadav further stated, "This legislation offers enhanced flexibility, increased funding, and comprehensive provisions for water conservation, animal husbandry, and infrastructure development," adding that "15 departments will collaborate to create employment opportunities under this initiative."

He underscored the potential for job creation in tribal areas and aspirational districts, linking the initiative to agriculture, rainwater harvesting, and rural development.

"It guarantees legal employment rights and aims to genuinely develop village structures tailored to local needs," the Chief Minister asserted.

Khandelwal, who also leads the state Kisan Morcha, pointed out significant features of the Act, noting that it ensures 125 days of wage employment for each rural household annually, an increase from the previous 100 days under MGNREGA.

The Act also introduces provisions for wage slips, enhances decentralization, and empowers Gram Panchayats.

"The Gram Panchayat will have complete authority over family registration, employment guarantees, and project selection," Khandelwal stated.

He added, "The Panchayat will determine the projects with input from the state government, which will also share funding responsibilities."

Drawing from his rural roots, Khandelwal emphasized that this provision ensures labor availability for agricultural tasks during critical times.

The leaders refuted the "misconceptions" propagated by the Opposition Congress, asserting that the Act strengthens local governance rather than centralizing authority. They encouraged the public to acknowledge its beneficial effects on rural welfare.