As the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) – VB-G RAM G – gets set for a rollout on July 1, the scheme has drawn criticism even from states governed by the Bharatiya Janata Party (BJP). Its predecessor, the Mahatma Gandhi National Rural Employment Guarantee scheme, implemented by the United Progressive Alliance (UPA) government, even with some implementation challenges, effectively addressed rural joblessness. The Narendra Modi government reduced financial allocations to the scheme but retained it, given its proven value and public support. Last year, the programme was overhauled and rebranded, a restructuring that has curtailed its scale and utility.
The scheme has undergone a structural shift, from a fully centrally funded wage guarantee programme to a 60:40 Centre-state cost-sharing model, placing a significant financial burden on states, many of which are already struggling with constrained budgets. This shift also marks a departure from the scheme’s original rights-based, demand-driven character, raising concerns that increased centralisation and conditional funding could undermine its core objective of guaranteeing employment. Although the Centre highlights the provision for a higher number of statutory wage employment days, there is scepticism over whether this promise will translate into practice. The introduction of a 60-day pause during the agricultural season and other procedural restrictions may reduce the scheme’s flexibility and responsiveness to local employment needs. These changes threaten a larger impact amid projections of deficient rainfall and drought conditions. Rural distress may significantly increase the demand for employment across large parts of the country. Ironically, at a time when the scheme’s relevance as a social guarantee is most critical, its redesigned funding structure and operational constraints threaten to reduce it to a shadow of its original promise.
States, including those governed by the BJP, have expressed concerns. Bihar, Madhya Pradesh, and Jharkhand have appealed to the Centre to reconsider the proposed changes in the funding pattern. Sikkim and Uttarakhand, which have to bear only 10% of the programme’s cost, being hill states, have also sought a review of the funding model. Some states have sought higher wages for workers and the withdrawal of the 60-day blackout period. While Karnataka has agreed to implement the revised scheme, it plans to challenge the changes in the Supreme Court, alongside Telangana. The Centre should engage with these concerns, review the new framework, and restore the scheme’s effectiveness. At a time of deepening rural distress and employment insecurity, weakening a crucial social safety net risks leaving millions of vulnerable workers without adequate support. (Source: DH)
