New Delhi, India — Activists are raising alarms over the Union Budget 2026, particularly regarding its allocations for rural job schemes. The budget earmarked ₹95,692 crore for the new Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (VB-GRAMG) and ₹30,000 crore for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS). Critics argue this funding is insufficient to meet the needs of rural workers, especially with the promise of 125 days of guaranteed employment under the new scheme.

The combined allocation of ₹1,25,692 crore represents a 43% increase over last year’s revised estimate for MGNREGS. However, experts like Nikhil Dey, a founding member of the Mazdoor Kisan Shakti Sangathan, assert that the clarity surrounding these allocations is lacking. Dey highlights that the ₹30,000 crore for MGNREGS may merely serve to clear existing dues rather than provide new employment opportunities. This raises significant concerns about the actual implementation of the promised job guarantees.

Why Activists Are Concerned About VB-GRAMG Funding

Activists are particularly concerned about the transition from MGNREGS to VB-GRAMG. The vagueness surrounding the new framework has led to fears that rural workers may face job insecurity. According to the NREGA Sangarsh Morcha, the transition lacks transparency and could leave many without guaranteed work. They argue that the budget allocation is only 42% of what is required to ensure 125 days of employment for active households, which they estimate would need around ₹3.84 lakh crore.

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Furthermore, the lack of clear guidelines on when MGNREGS will officially end and how VB-GRAMG will be implemented adds to the uncertainty. Activists argue that this ambiguity forces state governments to plan their budgets without knowing their required contributions. As a result, many rural workers may find themselves in a precarious position, unsure of when or if they will receive their wages.

The vagueness surrounding the new framework has led to fears that rural workers may face job insecurity.

The Finance Minister’s budget speech did not mention MGNREGS or VB-GRAMG, which has further fueled skepticism among activists. They contend that without proper communication and clarity from the government, the implementation of VB-GRAMG remains highly uncertain, potentially exacerbating the challenges faced by rural workers.

How Rural Employment Schemes Affect Job Security

Job security for rural workers is at stake with the current budget allocations. The lack of sufficient funding and clarity raises questions about the government’s commitment to ensuring employment guarantees. Data from the NREGA Sangarsh Morcha indicates that the current budgetary provisions may not support the promised 125 days of work, which could lead to increased poverty and migration from rural areas.

Additionally, the budget’s allocations have significant implications for the future of rural employment in India. If the government does not provide adequate funding, rural households could face economic hardship. This situation may compel families to seek alternative employment in urban areas, potentially straining city resources and infrastructure.

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To navigate these challenges, rural workers and activists can take several actionable steps:

• Engage with Local Governments: Rural workers should actively engage with local government representatives to voice their concerns about the budget allocations and advocate for increased transparency.
• Form Coalitions: Building coalitions among different rural worker organizations can amplify their voices and demands for better funding and job security.
• Monitor Implementation: Activists should closely monitor the implementation of VB-GRAMG and MGNREGS to ensure that funds are used appropriately and that job guarantees are upheld.

However, some experts caution that while the budget allocations are indeed lower than expected, it is crucial to consider the broader economic context. They argue that the government is facing significant fiscal constraints and must balance various competing priorities. This perspective suggests that while immediate funding for rural jobs is critical, long-term economic stability may require a different approach to budget allocation.

Engage with Local Governments: Rural workers should actively engage with local government representatives to voice their concerns about the budget allocations and advocate for increased transparency.

The Future of Rural Job Schemes in India

The future of rural job schemes in India hangs in the balance as the government navigates its fiscal challenges. With the current budget allocations, the sustainability of VB-GRAMG and MGNREGS is uncertain. Activists warn that without immediate intervention and increased funding, rural workers may face significant hardships in the coming months.

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As the government prepares to roll out the new job guarantee scheme, questions remain about its effectiveness and transparency. Will the government take the necessary steps to ensure that rural workers receive the support they need? The answer may determine the future of rural employment in India and the livelihoods of millions.