With the presidential assent, it now becomes the VB-G RAM G Act, 2025, and a notification in this regard was published in the Gazette of India.
The Rural Development Ministry, in a statement, called it a decisive reform in India’s rural employment and development framework.
Meanwhile, politics over the contentious legislation as the Congress warned of launching a “mass movement” to oppose the legislation.
Union agriculture minister Shivraj Singh Chouhan on Sunday hit out at the opposition’s “conspiracy to mislead the country in the name of MGNREGA”.
“Misinformation is being spread, whereas the truth is that Viksit Bharat: G RAM G Scheme is the next step forward for MGNREGA,” he said in an X post in Hindi.
Rejecting the criticism of the amended flagship scheme, Chouhan said, “Worker brothers, now it’s not 100, but a guarantee of 125 days of work, legal guarantee.”
“Provisions for unemployment allowance in case work is not provided have been further strengthened. If wages are delayed, provisions have also been made to provide additional amounts,” he said, noting that “more than ₹1,51,282 crore has been proposed this year itself, so that there is sufficient money to provide employment.”
The G RAM G legislation, which the Rajya Sabha passed on Friday, has triggered political dispute, with opposition parties accusing the government of fundamentally altering the character of the MGNREGA.
While the Centre has described the move as a comprehensive reform aligned with the vision of Viksit Bharat 2047, the opposition has criticised the changes and staged protests, alleging increased centralisation, a higher financial burden on states, and a disrespect to Mahatma Gandhi.
Congress leader Jairam Ramesh, meanwhile, said having raised its concerns and questions over the legislation inside the House, the party would escalate its opposition to the legislation outside Parliament.
“We raised issues, we asked questions in the Parliament. We participated in the debate, and we raised objections. We presented all our concerns and objections in detail,” Ramesh said.
“A Congress Working Committee meeting is scheduled for the 27th. We will discuss what kind of mass movement will be launched regarding this issue, and an action plan will definitely emerge. This will be a national movement across all states,” he said, calling the legislation “a very big issue” for the party.
The Congress MP argued that the changes went beyond renaming the scheme. “Not just about changing the name, but you have changed the fundamental character itself. You have changed the very face of it. So, it’s a matter of principle and a legal right,” he said.
He also alleged increased centralisation under the new law. “On the one hand, the Prime Minister talks about the Gram Panchayat. But what do they do in practice? There is a vast difference between their words and their actions,” he said.
Ramesh claimed that the core principles of MGNREGA had been diluted. “The fundamental character of MGNREGA has been changed; the basic structure of the scheme has been altered,” he said, alleging that decision-making powers earlier exercised by Gram Panchayats would now rest with the Centre.
He further claimed that states were not adequately consulted and warned of fiscal stress.
The G RAM G scheme will operate as a centrally sponsored programme. Costs will be shared between the Centre and states in a 60:40 ratio, with a 90:10 ratio for northeastern and Himalayan states, and full central funding for Union Territories without legislatures.
Funding will be provided through state-wise normative allocations based on objective parameters, without affecting statutory entitlements to employment or unemployment allowance.