VB-G RAM G Act Comes Into Force Today: Centre Raises Rural Wages, Extends Job Guarantee To 125 Days

Published 1 July 2026 · india

VB-G RAM G Act Comes Into Force Today: Centre Raises Rural Wages, Extends Job Guarantee To 125 Days Published By, Last Updated: July 01, 2026

VB-G RAM G Act Comes Into Force Today: Centre Raises Rural Wages, Extends Job Guarantee To 125 Days Published By, Last Updated: July 01, 2026, 08:38 IST The notification marks the rollout of the new law, which replaces the existing Mahatma Gandhi Rural Employment Guarantee Act (MGNREGA) framework. Rapid Read The Centre has made an interim allocation of ₹95,692.31 crore to states and Union Territories for timely wage payments and uninterrupted implementation. VB-G RAM G Act Comes Into Force: The Centre on Tuesday notified revised wage rates under the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Act, 2025, introducing a nationwide minimum wage of Rs 300 per day for workers under the rural employment guarantee programme from July 1, 2026. The notification marks the rollout of the new law, which replaces the existing Mahatma Gandhi Rural Employment Guarantee Act (MGNREGA) framework and expands the statutory employment guarantee from 100 days to 125 days for every eligible rural household. According to the Ministry of Rural Development, the national average notified wage has increased from Rs 298.8 per day under MGNREGA to Rs 327.4 per day under the new scheme, an average increase of Rs 28.6 per day, or more than 10%.

The revised wage rates have been notified across all 34 states, Union Territories and wage regions. The Centre has also introduced an interim wage floor of ₹300 per day, ensuring that no worker under the programme receives a notified wage below that level. Before the revision, the lowest notified wage stood at Rs 241 per day. The government said the largest increases have been targeted at states that historically recorded lower wage rates. Uttar Pradesh, Bihar, Jharkhand, West Bengal, Assam, Arunachal Pradesh and Himachal Pradesh will witness wage hikes ranging from 15 per cent to 25 per cent, while Arunachal Pradesh and Nagaland will see the highest increase of nearly 24.5 per cent. Among higher-paying states, Haryana now has the highest notified wage at Rs 409 per day, followed by Goa (Rs 406) and Kerala (Rs 401). Wage rates in Sikkim’s high-altitude gram panchayats have been fixed at Rs 450 per day. Besides higher wages, the new Act increases the annual employment guarantee to 125 days from the earlier 100 days.

The government said the programme aims to strengthen rural livelihoods while creating durable assets in areas such as water conservation, natural resource management, agriculture, rural infrastructure and women’s empowerment. By enhancing the statutory wage employment guarantee from 100 days to 125 days, the government aims to create durable rural assets while advancing the vision of Viksit Bharat @2047. To facilitate the transition, the Centre has made an interim allocation of Rs 95,692.31 crore to states and Union Territories for timely wage payments and uninterrupted implementation. Union Rural Development Minister Shivraj Singh Chouhan described the rollout as a “historic step" towards building a developed India through prosperous villages, saying the government’s priority was to ensure that no eligible rural worker remained without employment. The national launch of the Act will be held on July 2 at Mukkavaripalli village in Andhra Pradesh’s Tirupati district, where Gramin Rozgar Guarantee Cards and awareness material related to the new mission will be distributed. (With inputs from agencies) News18 Newsletter Handpicked stories, in your inbox A newsletter with the best of our journalism submit About the Author Shobhit Gupta Shobhit Gupta is a sub-editor at News18.com and covers India and International news.