Viksit Bharat Guarantee raises workdays to 125, wage to 300

A major overhaul of India's rural employment guarantee program took effect on July 1, 2026, with the nationwide rollout of the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission Gramin (VBG RAM G) Act, 2025. The new scheme replaces the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and introduces higher wages, an increased guarantee of workdays, and a significant shift in its planning and financial architecture.

Under the new framework, the statutory guarantee of wage employment for eligible rural households has been raised from 100 days to 125 days per year. Concurrently, revised wage rates came into force, establishing a nationwide minimum wage floor of 300 rupees per day for the first time in the program's history. The Ministry of Rural Development stated the national average wage has increased from 298.8 rupees per day under the previous system to 327.4 rupees per day, an average rise of 28.6 rupees, or over 10 percent.

The revision is designed to deliver the largest gains to states with historically lower wage rates. More than 20 states and administrative regions have been brought up to the new 300-rupee benchmark. Officials said workers in states...