VB-G RAM G Replaces MGNREGA: States Oppose 40% Cost Share, Centre Gains Control

VB-GRAM G Act Replaces MGNREGA: 68% Drop in Employment, SC Flags Right to Work

The Union government replaced MGNREGA with the VB-GRAM G Act in December 2025, leading to a 68% fall in rural employment. The Supreme Court has raised the question whether the 'Right to Work' should be treated as a fundamental right under Article 21. This news is critical for understanding the constitutional status of socio-economic rights, the doctrine of non-retrogression, and the fiscal federalism debate around Centrally Sponsored Schemes.

Centre Mandates 60:40 Centre-State Funding Split for VB-G RAM-G Rural Employment Scheme

The Centre has shifted the funding pattern of the National Rural Employment Guarantee Scheme (now VB-G RAM-G) from 100% central funding to a 60:40 Centre-State split (90:10 for Himalayan/Northeast states). This marks a major fiscal federalism change, with states allocating full 40% despite political opposition. Essential for Prelims (ratio, scheme name) and Mains (fiscal federalism, rural wage floor).

VB-G RAM G Launch Sees 40%+ Employment Crash vs MGNREGA July 2025

India's new rural employment guarantee scheme (VB-G RAM G) replacing MGNREGA has witnessed a catastrophic 40%+ decline in employment generation in its first month (July 2026) compared to the same month last year. With some of India's poorest states seeing near-zero employment for months, this poses a severe rural distress risk and is a critical topic for exams.

Parliamentary Panel Flags DDU-GKY Employment Gap; 18.38 Lakh Trained, 11.94 Lakh Placed

A parliamentary committee has found that many candidates trained under the Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY) are not securing jobs or are underpaid, and fund utilization across major rural skilling schemes is poor. This highlights systemic skill-employment mismatch and the need for robust placement tracking and post-placement support.

VB-G RAM G Scheme: Karnataka Person-Days Fall 70% in July, 805 GPs with Nil Expenditure

The new VB-G RAM G scheme, which replaced MGNREGA from July 1, 2026, has seen a drastic drop in employment generation in Karnataka - only 17.98 lakh person-days in July 2026 vs 61.48 lakh in July 2025 under MGNREGA. Implementation delays, lack of clarity, and procedural hurdles are blamed. This is critical for understanding rural employment policy shifts.

VB-G RAM G Reports 49.94% YoY Decline in Rural Employment Generation in July 2026

The government replaced the two-decade-old MGNREGS with the new VB-G RAM G scheme from July 1, 2026. First-month data shows a sharp 49.94% year-on-year drop in person-days (7.67 crore) and a 51.45% fall in households availing work (68.94 lakh). This decline, the lowest in five years, raises concerns about rural demand and the fallback for agricultural labourers during an erratic monsoon.

NFSA Amendment Replaces 35 kg AAY Rations with 7 kg Per Capita, Cuts 80% for Solo Women

The proposed amendment to the National Food Security Act (NFSA) replaces the 35 kg monthly household ration for Antyodaya (AAY) families with a per-capita system of 7 kg per person (capped at 35 kg). This will drastically cut entitlements for 53% of AAY households (those with fewer than 5 members), hitting the poorest hardest — especially 1 million single women, mostly widows, who will lose 80% of their foodgrain.

FCRA Amendment Bill 2026: Foreign Funding Limits, NGO Data, and Domestic Philanthropy Gaps

The government's proposed FCRA Amendment Bill 2026 tightens foreign funding rules, vesting assets in a designated authority upon cancellation. With 22,496 NGO registrations already cancelled, the article analyzes whether Indian domestic philanthropy (₹1.43 lakh crore) can fill the gap, making it a critical governance and polity topic for exams.