The government has not yet issued a detailed explanation for the nearly 50% year-on-year decline in person-days generated during the first full month of the scheme. (Representative photo. Credits: ITG)D CHAKRABORTY.

Rural jobs under new VB-G RAM G scheme fall nearly 50% in first month

Official data showed person-days under VB-G RAM G fell to 7.67 crore in July from 15.33 crore a year earlier. The sharp drop in the scheme's first full month has raised fresh questions over implementation and rural job generation.

by · India Today

In Short

  • VB-G RAM G replaced MGNREGS from July 1
  • Person-days drop from 15.33 crore to 7.67 crore during the period
  • Scheme promises more workdays and higher wages despite decline

Employment generation under the government's newly launched rural jobs programme nearly halved in its first month, with person-days generated falling to 7.67 crore in July from 15.33 crore in the same month last year, according to official data.

The 49.94% year-on-year decline comes just weeks after the Centre replaced the two-decade-old Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) with the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin), or VB-G RAM G, from July 1.

A person-day refers to one person being provided employment for one day under the programme and is the standard measure used to track work generated under the rural jobs scheme.

The government has projected VB-G RAM G as an upgraded version of MGNREGS, increasing the annual employment guarantee from 100 days to 125 days while also raising wages. The revamped programme also aims to place greater emphasis on durable rural asset creation and improving livelihoods.

The Ministry of Rural Development has maintained that the transition to the new programme has not affected implementation.

In a written reply in Parliament last month, the government said more than 99.5% of workers demanding employment under VB-G RAM G had been provided work, with over 5.2 crore person-days generated by July 22.

The latest month-end figures, however, indicate employment generation slowed further through the remainder of July.

The government has not yet issued a detailed explanation for the nearly 50% year-on-year decline in person-days generated during the first full month of the scheme.

The July data marks the first full-month performance of VB-G RAM G since its rollout. The employment figures in the coming months are expected to indicate whether the sharp decline was linked to the transition from MGNREGS or reflects a broader slowdown in rural job generation.

The government launched VB-G RAM G with a higher annual outlay of Rs 1.52 lakh crore for 2025-26, compared with the Rs 86,000 crore budgeted for MGNREGS, while promising enhanced wages, an expanded employment guarantee and a stronger focus on creating productive rural assets.

Despite these changes, the first month's data has put the spotlight on the scheme's implementation and employment generation.

- Ends