India’s Job Guarantee At Crossroads As New Law Faces Criticism |

Updated: January 02, 2026 16:02

Image Source: WOWNEWS24X7

India’s pioneering rural job guarantee program, MGNREGA, faces uncertainty as the government introduces a new law, VB-GRAM G, which critics argue dilutes the legally enforceable right to work. While promising more workdays, the law shifts funding responsibility to states, raising concerns about weakening India’s rural safety net.

India’s landmark Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), enacted in 2005 to provide rural households with 100 days of guaranteed wage employment, is undergoing a major overhaul. The Union government has proposed the VB-GRAM G Bill, which promises expanded workdays but alters the framework of guaranteed employment. Critics warn that the changes could undermine the very foundation of India’s job guarantee model, which has been hailed globally as a social safety net for millions of rural workers.

Key highlights from the announcement include

The VB-GRAM G Bill seeks to replace MGNREGA, shifting funding responsibility from the Centre to individual states.
Critics argue this move weakens the demand-driven, legally enforceable right to work that defined MGNREGA.
While the new law promises more workdays, activists caution that without central guarantees, implementation may falter.
Opposition leaders and rights groups describe the bill as a dilution of rural labour protections.
Experts highlight that MGNREGA has historically provided stability to landless labourers and vulnerable households.
Concerns have been raised that poorer states may struggle to finance the scheme, leading to uneven access.
Supporters of the new law argue it modernizes rural employment programs and encourages state-level innovation.
The debate underscores the tension between fiscal decentralization and maintaining a national safety net.

The proposed changes mark a turning point in India’s welfare policy. While the government frames VB-GRAM G as an upgrade to rural employment, critics fear it erodes the principle of guaranteed work that empowered millions. The coming months will determine whether India’s pioneering job guarantee continues to serve as a global model or becomes a diluted welfare program.

Sources: CNBC TV18, Scroll, Frontline-The Hindu

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