Has Modi done a mistake by repealing MNREGA?

Modi's Mann Ki Baat

Rama Krishna Sangem

Has prime minister Narendra Modi made a mistake by repealing Mahtma Gandhi National Rural Employment Guarantee Act or scheme, popularly known as MNREGA all over the country? Looks  so.

Of course, in its place he brought in a new bill, named as VB G RAM G, another rural jobs scheme, that claims to be a better version of the existing one. This new bill of Modi got passage in both the Houses of parliament in view of its comfortable numbers and is sure to become a law from April 1, 2026. Viksit Bharat – Guarantee for Rozgar and Aajivika Mission for Grameen is the full from of VB G RAM G. This sounds like Mahatma Gandhi is replaced by Lord Ram!

As usual, entire opposition, including a 100 Lok Sabha MPs strong Congress took to streets protesting the new bill. Their protests are more to do with the removal of name of Mahatma Gandhi, than that of the provisions of the bill. These protests have united the INDIA block parties, after a long time, on a common cause. Union Agriculture Minister Shivraj Singh Chauhan, who piloted the bill in parliament strongly defended it saying this new version is in tune with the spirit of Mahatma Gandhi’s commitment to rural development.

This argument is unlikely to convince people or political parties. In our country, Mahatma Gandhi carries a special place, both politically and non-politically. He is above politics. Ever since this scheme came into being 20 years ago, people owned it up. NREGA or Narega, as people call it has become a household name in villages. Every year, 100 days of guaranteed manual wage work was provided in their villages. This is to overcome the jobless days of summer or agriculture season.

 

Sonia’s signature scheme

There is a strong reason for the ruling BJP to dislike this MNREGA. She as chairperson of National Advisory Council (NAC) to then PM Manmohan Singh led Central government piloted this job scheme. Jean Dreze, a Belgian born Indian welfare economist, as a member of that NAC drafted the bill and it was hailed the world’s largest rural employment guarantee law. Enough care was taken to see that MNREGA was designed to benefit the poorest of the poor, mostly SC/STs in villages.

Some analysts ridiculed it as a ditch digging scheme or total waste of public money. But, for the rural poor, it was a livelihood. Saved them from hunger.

In a way, it was pioneering scheme. A decade long drought that preceded the UPA rule in 2004 necessitated a minimum wages act in the country. There were some isolated job assurance schemes, but not one for the entire India. We can safely say, this MNREGA was one of the reasons why UPA led by Congress won power at the Centre for a second term in 2009. Sonia Gandhi was the clear face the law. This is a reason, why BJP now doesn’t like this law to continue.

 

Doubts over VB G RAM G

This Viksit Bharat G RAM G bill maybe a better version of the earlier MNREGA. Till now, the demand driven MNREGA was given funds to a tune of average Rs 75,000 crore every year. Some years less, some years more. But the entire money was sent from the Centre. Now, this G RAM G law provides only 60 per cent of the Central funds while 40 per cent is to be contributed by the states. Here lies the challenge. We all know the commitment and efficiency of our states in releasing funds, even for urgent schemes. States will fail this VB G RAM G.

Moreover, the number of job days was increased from 100 to 125, but who will give guarantee – Centre or states? No clarity. This puts a big question mark over the survival of the G RAM G. A provision to pause this scheme during agriculture season for a period of 100 days too may not be liked by SC/ST wage labourers. They view this measure as in favour of feudal landlords. If this impression sinks among them, it would be more harmful to BJP in the long run.

A few days before this new bill is brought in, we heard that the law would be renamed as Pujya Bapu jobs scheme. But, the government has changed its mind and decided to drop the name of Mahatma Gandhi altogether. This is a risky move by the Modi government. We need to wait to see its full political impact.

Rama Krishna Sangem

Ramakrishna chief editor of excel India online magazine and website

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