Telangana Assembly Opposes VB-G RAM G Act, Fears for MGNREGA Protections
Telangana Assembly passes resolution against VB-G RAM G Act

The Telangana Legislative Assembly took a firm stand on Friday, passing a resolution that strongly opposes the central government's new Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025 (VB-G RAM G Act). This new legislation is set to replace the long-standing Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), which was introduced by the UPA government in 2006.

Chief Minister Leads Charge Against "Dangerous" Changes

Introducing the resolution, Chief Minister A. Revanth Reddy asserted that it was the duty of every legislator to reject the new act, which he argued fundamentally undermines labour protections. He insisted that the name and core principles of the original scheme must remain untouched.

The CM warned that the fresh guidelines under the VB-G RAM G Act would place a significant additional financial strain on state governments. "All existing guidelines should be retained to ensure that states are not required to contribute financially for the services provided, and that the demand-based work rule continues," he stated in the assembly.

Threat to Demand-Based Work and Women Beneficiaries

Revanth Reddy highlighted the practical impact on workers, using Palamuru district as an example where people often migrate for jobs. He credited MGNREGA, originally launched as NREGS in united Andhra Pradesh, with enabling people to find work near their homes and families. "However, the new act removes those opportunities because it does not allow for demand-based work," he cautioned.

He stressed that the provision for demand-based work throughout the year must continue as per the old act. The Chief Minister pointed out that women, who constitute 62% of MGNREGA beneficiaries, would be disproportionately hurt by the proposed changes. Furthermore, he noted that MGNREGS currently encompasses 266 types of work, a flexibility that would be lost. "As a result, small and marginal farmers, Dalits, tribals, and women will suffer, as the new changes do not permit hard labour-based work," he argued.

Unfair Funding Formula and Southern States' Burden

During the session, Panchayat Raj Minister D. Anasuya initiated a discussion on the funding scheme. Deputy Chief Minister Bhatti Vikramarka elaborated on the financial disparities, noting that the revised 60:40 funding ratio unfairly burdens the states.

He presented a stark contrast in fund allocation:

  • Karnataka spends Rs 100 and gets back only Rs 25–30.
  • Tamil Nadu and Telangana spend Rs 100 and receive Rs 35–40.
  • Uttar Pradesh gets Rs 350 for every Rs 100 spent.
  • Bihar receives a substantial Rs 650 for its Rs 100 expenditure.

Questioning this imbalance, Bhatti asked why southern states are being treated unfairly. He argued that contributing to the national economy should not be penalized and questioned the source of these funds. Accusing the BJP-led central government of diluting laws designed to protect the poor, he labeled the new law as 'very dangerous' as it weakens workers' ability to negotiate their rights.

Bhatti Vikramarka further stated that the changes would erode the financial independence of rural women and obstruct social progress. He claimed that workers dependent on employment guarantees are already protesting this injustice silently. The House was urged to pass a resolution supporting the poor and send it to the central government, which it subsequently did.

Taking all factors into account, the Telangana Assembly resolved that MGNREGS should continue without any alterations, defending a scheme it views as a critical lifeline for millions of rural workers.