Kerala CM: Centre's MGNREGA bill burdens states, weakens scheme

• Kerala CM Pinarayi Vijayan protested the Centre's move to replace MGNREGA with the Viksit Bharat Guarantee for Rozgar and Aajeevika Mission (Gramin) (VB-G RAM G) Bill, 2025.
• Vijayan criticized the bill for imposing a significant financial burden on states and undermining the fundamental objectives of the employment guarantee scheme.
• The new bill proposes to change the scheme from a demand-driven project to an allocation-based one, with the Union Government pre-determining state allocations.
• The funding ratio will shift from 100% central funding for wages to a 60:40 Centre:State split for both wage and material components.
• The VB-G RAM G Bill, 2025 guarantees 125 days of wage employment annually, but states will bear any expenditure exceeding the Centre's allocation.

Why It Matters: Changes to MGNREGA threaten rural employment and shift financial burden to states.