VB-G RAM G Act comes into force with 10 percent average hike in rural wages
The landmark VB-G RAM G Act came into effect nationwide today, guaranteeing rural households 125 days of employment. The law introduces a minimum wage floor of ₹300 per day, marking a 10% average hike in rural wages
New Delhi: The Viksit Bharat – Guarantee for Rozgar and Aajeevika Mission – Gramin (VB-G RAM G) Act, aimed at strengthening rural livelihoods with higher wages and guaranteed employment, came into force across India from Wednesday.
With the commencement of the Act, eligible rural households will now have a statutory entitlement to 125 days of guaranteed wage employment. The Act seeks to make rural employment more effective, transparent and outcome-oriented while accelerating the creation of durable rural assets, conservation of natural resources, enhancement of agricultural productivity, livelihood promotion and women-led development, according to an official statement.
The Government of India has notified the revised wage rates under the VB-G RAM G Act, 2025 for all States, Union Territories and notified wage areas. As a result, no notified daily wage anywhere in the country will be below Rs 300. The national average notified wage has increased from Rs 298.8 per day to Rs 327.4 per day, reflecting an average enhancement of more than 10 per cent, the statement said.
States such as Uttar Pradesh, Bihar, Jharkhand, West Bengal, Assam, Arunachal Pradesh and Himachal Pradesh have witnessed wage increases ranging from 15 to 25 per cent. To ensure seamless and effective implementation of the Act from day one, the Government has already released an interim allocation of Rs 95,692.31 crore to States and Union Territories to facilitate uninterrupted employment generation, timely wage payments and execution of development works.
Union Minister for Rural Development and Agriculture Shivraj Singh Chouhan said, “Under the leadership of Prime Minister Narendra Modi, the VB-G RAM G Act is not merely a new law but a transformative initiative that ushers in a new era of dignity, self-respect and livelihood security for millions of rural workers.”
He said that the Centre and the States have completed all necessary administrative, financial and technical preparations for the smooth rollout of the Act.
Expressing confidence in the initiative, he said it would create new livelihood opportunities in villages, accelerate the creation of durable assets, strengthen women’s empowerment and give fresh momentum to the vision of an Atmanirbhar and Viksit Rural India. He also called upon all citizens to become partners in building prosperous, empowered and self-reliant villages.
To mark the national rollout of the VB-G RAM G Act, 2025, a National Launch Programme will be held on July 2, 2026, at Mukkavaripalle Village, Obulavaripalle Mandal, Tirupati District, Andhra Pradesh. The programme will be attended by Union Minister Chouhan and Chief Minister of Andhra Pradesh N. Chandrababu Naidu.
The National Launch Programme will feature the formal launch of VB-G RAM G, distribution of Rural Employment Guarantee Cards to beneficiaries, launch of the VB-G RAM G software platform, release of key publications, interaction with beneficiaries, and the inauguration of several initiatives aimed at ensuring the effective implementation of the Act, the statement added.
