Centre notifies revised rural wage rates under VB–G RAM G Act; J&K among states raised to new ₹300 minimum

Ziraat Times News Desk

Average wage increases by over 10%; enhanced rates take effect from July 1 as new employment guarantee law comes into force

New Delhi, June 30: The Central Government has notified revised wage rates under the Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB–G RAM G) Act, 2025, with effect from July 1, 2026, introducing a nationwide minimum wage of ₹300 per day for workers under the rural employment programme and raising wages across all States, Union Territories and wage regions.

The revised wage notification coincides with the nationwide rollout of the new law, which replaces the previous rural employment framework and guarantees 125 days of wage employment to every eligible rural household.

A key feature of the notification is the introduction of a ₹300 interim base wage, ensuring that no notified wage under the programme falls below this level. According to the government, the national average notified wage has increased from ₹298.8 per day under the earlier MGNREGA framework to ₹327.4 per day under the new Act, representing an average increase of ₹28.6 per day, or more than 10 per cent.

The government said wage rates have been revised across all 34 States, Union Territories and wage regions, with 21 States, Union Territories and administrative units—including Jammu & Kashmir—brought up to the new ₹300 benchmark. This means Jammu & Kashmir is among the regions benefiting from the enhanced minimum wage, having previously been below the new threshold.

The largest percentage increases have been directed towards historically lower-wage States. Arunachal Pradesh and Nagaland recorded the highest increase of nearly 24.5 per cent, while Uttar Pradesh, Bihar, Jharkhand, West Bengal, Assam, Uttarakhand, Tripura, Chhattisgarh, Madhya Pradesh and Odisha also received substantial revisions, with increases ranging between 15 and 25 per cent in several cases.

States that already had comparatively higher wage rates also received upward revisions based on the prescribed formula. Following the notification, Haryana (₹409), Goa (₹406), Kerala (₹401) and high-altitude Gram Panchayats in Sikkim (₹450) now have notified wage rates exceeding ₹400 per day.

Announcing the revised rates, Union Minister for Rural Development and Agriculture & Farmers Welfare Shivraj Singh Chouhan said the new legislation and wage revision reflect the government’s commitment to strengthening rural livelihoods and ensuring that the benefits of development reach every poor household.

He said the decision to provide the highest wage increases to historically lower-wage States was aimed at promoting greater equity while enhancing the purchasing power of rural workers and accelerating inclusive development.

The government said the revised wage structure has been determined using a transparent methodology that combines annual indexation with the newly introduced interim base wage to reduce long-standing regional disparities.

Officials said the enhanced wages, together with the expansion of guaranteed employment from 100 to 125 days, are expected to improve rural incomes, strengthen household purchasing power, create durable community assets and contribute to balanced rural development across the country.

The notification marks the formal commencement of the VB–G RAM G Act, 2025, which the government has described as a key component of its vision for Viksit Bharat @2047 through stronger rural livelihoods and inclusive growth.