New Delhi: Employment generation under the Centre’s newly launched rural jobs programme, the Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin), or VB-G RAM G, declined by nearly half in July compared with the same month last year, according to official data. The sharp fall has raised questions over the implementation of the revamped scheme, which replaced the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) from July 1.
The programme generated 7.67 crore person-days of employment in July 2026, compared with 15.33 crore person-days in July 2025, when MGNREGS was in operation. This represents a 49.94% YoY decline in employment generated during the first full month of VB-G RAM G.
A person-day is the standard measure used to record employment under the rural jobs programme and represents one person being provided work for one day.
The decline comes despite the Centre presenting VB-G RAM G as an expanded and upgraded version of MGNREGS. Under the new programme, the annual employment guarantee has been increased from 100 days to 125 days, while wages have also been raised. The scheme additionally places greater emphasis on the creation of durable rural assets and improving livelihoods in rural areas.
The Ministry of Rural Development has maintained that the transition from MGNREGS to VB-G RAM G has not disrupted implementation. In a written reply to Parliament last month, the government stated that more than 99.5% of workers who demanded employment under the new programme had been provided work. It also said that more than 5.2 crore person-days had been generated by July 22.
However, the latest month-end figures suggest that the pace of employment generation slowed during the remainder of July. The data therefore provides the first complete picture of the new scheme’s performance since its launch and has brought renewed attention to whether the transition itself contributed to the decline.
The government has not yet provided a detailed explanation for the nearly 50% YoY reduction in person-days during July.
VB-G RAM G was launched with a substantially higher financial allocation. The government has projected an outlay of Rs 1.52 lakh crore for 2025-26, compared with Rs 86,000 crore budgeted for MGNREGS. The higher allocation was accompanied by promises of enhanced wages, a longer employment guarantee and a stronger focus on productive rural infrastructure.
