New Rural Employment Law Enacted: Key Changes and Controversies

Introduction of the VB-G RAM G Bill

New Delhi, Dec 21: The Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) Bill (VB-G RAM G) has officially become law following President Droupadi Murmu's approval on Sunday.

Legislative Background

This Bill, which was approved by Parliament earlier this week, aims to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), a significant welfare initiative that has been operational for nearly 20 years.

Government's Justification

Union Rural Development Minister Shivraj Singh Chouhan defended the new legislation, asserting that it would promote 'comprehensive development of villages' and ensure 'ample employment opportunities for every impoverished individual.' He emphasized that the law includes additional protections for vulnerable groups such as the elderly, women, and Scheduled Castes and Tribes.

The government claims that this Act is designed to enhance income security for rural families, modernize governance, and connect wage employment with the establishment of sustainable rural assets.

Opposition's Criticism

Despite the government's assertions, the legislation has faced significant backlash from the Opposition. Critics accuse the BJP-led National Democratic Alliance (NDA) of attempting to erase Mahatma Gandhi's legacy by dismantling a program named after him.

Senior Congress figure P Chidambaram harshly criticized the government, labeling this move as the 'second killing' of the Father of the Nation. He expressed concerns that the Bill represents a deliberate effort to erase Gandhi from the collective memory of the nation, which he deemed unacceptable.

Chidambaram further claimed that the ruling party perceives India's history as commencing only in 2014, warning that such actions would not be overlooked by the populace.

Funding and Allocation

In a social media video, Minister Chouhan announced that over Rs 1,51,282 crore would be allocated for the VB-G RAM G scheme to ensure sufficient funding for rural employment initiatives.

He stated, 'There is a conspiracy to mislead the nation, and misinformation is being circulated. The truth is that the VB-G RAM G scheme represents an advancement over MGNREGA.'

Comparative Analysis of Employment Frameworks

Here are the primary distinctions between the two rural employment schemes:

• The MGNREGA guarantees 100 days of wage employment, whereas the VB-G RAM G Bill offers 125 days.

• MGNREGS operates on a demand-driven basis, necessitating additional funding from the Centre if work demand increases. In contrast, the VB-G RAM G Bill stipulates a normative allocation to states, with any excess costs to be covered by state governments.

• Under MGNREGS, the Centre covers 100% of wages, while material costs are shared at a 75:25 ratio between the Centre and states. The VB-G RAM G shifts a larger financial burden to state governments.

Under the new framework, the financial responsibility will be divided between the Centre and states at a 90:10 ratio for northeastern and Himalayan states, and 60:40 for other states and Union territories with legislatures. For Union territories without legislatures, the Centre will bear the entire cost.

Conclusion

With inputs from various sources.