Himachal Pradesh is staring at an additional financial burden of approximately Rs 164 crore under the Centre's proposed Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (VB-G RAM G), according to Rural Development and Panchayati Raj Minister Anirudh Singh. He accused the Centre of effectively dismantling the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) through the new scheme.
Minister details the financial impact
Addressing the media in Shimla on Thursday, Singh said the estimated liability includes wage payments and administrative expenses for providing 250 lakh man-days of employment under the new scheme. He contrasted this with the 395 lakh man-days generated under MGNREGA in Himachal Pradesh last year, warning that the state would be unable to match that figure under the proposed framework due to budgetary constraints.
“The budget allocated by the Centre under the new scheme will not allow us to provide employment beyond 250 lakh man-days. We will have to artificially suppress demand, which will adversely affect people who depend on the scheme for their livelihood,” he said.
Unpaid salaries and wage disparity
The minister also alleged that the Centre had not released around Rs 20 crore meant for administrative staff engaged under MGNREGA. Consequently, salaries of the scheme’s administrative personnel have reportedly remained unpaid since February.
Singh further claimed that workers would receive lower wages under the new scheme. While MGNREGA provided daily wages of Rs 247 in non-tribal areas and Rs 309 in tribal areas, the state government had enhanced this to Rs 320 through a top-up. He said the proposed scheme contains no provision allowing states to provide such additional wage support.
Broader implications for rural employment
The minister’s remarks highlight growing concerns over the transition from MGNREGA to VB-G RAM G. The new scheme, touted as a reform, is seen by critics as a move to cap employment generation and reduce central outlays. Himachal Pradesh, which has historically utilized MGNREGA extensively, now faces the prospect of scaling back its rural employment program, potentially affecting thousands of beneficiaries.
