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Punjab govt agrees to MGNREGA employees' demands on pay, contracts, VB-G RAM G transition

Punjab govt agrees to MGNREGA employees' demands on pay, contracts, VB-G RAM G transition

The VB-G RAM G scheme officially replaced the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) nationwide from July 1, marking a transition to the Centre's new rural employment and livelihood framework.

Business Today Desk
Business Today Desk
  • Updated Jul 30, 2026 12:28 PM IST
Punjab govt agrees to MGNREGA employees' demands on pay, contracts, VB-G RAM G transitionMGNREGA employees in Punjab begin a statewide strike, demanding resolution of issues related to pay, service conditions, contractual tenure, and the transition to the new rural employment framework

The Punjab government has resolved the long-pending demands of MGNREGA employees following discussions with employee representatives, prompting the union to call off its two-month-long strike, Finance Minister Harpal Singh Cheema said on Wednesday.

The VB-G RAM G scheme officially replaced the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) nationwide from July 1, marking a transition to the Centre's new rural employment and livelihood framework.

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Cheema said issues related to service conditions, contractual tenure, migration to the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission Gramin (VB-G RAM G) framework, remuneration and other administrative matters were discussed with all stakeholders. He said the government accepted all genuine demands raised by the employees' union.

"The state government firmly believes in resolving genuine issues through dialogue, consultation and consensus. Today's agreement reflects our commitment to employee welfare as well as our resolve to strengthen rural development by ensuring the smooth implementation of the VB-G RAM G programme across Punjab," Cheema said in a statement.

He added that the government remains committed to protecting employees' interests while ensuring the efficient delivery of public services.

Representatives of the MGNREGA/VB-G RAM G employees' union welcomed the decision and thanked Chief Minister Bhagwant Mann, Finance Minister Harpal Singh Cheema and Rural Development and Panchayats Minister Tarunpreet Singh Sond for addressing their long-pending demands. The union announced the immediate withdrawal of its strike and assured the government of full cooperation in implementing rural development programmes across the state.

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Timeline

May 2026: MGNREGA employees in Punjab begin a statewide strike, demanding resolution of issues related to pay, service conditions, contractual tenure, and the transition to the new rural employment framework.

July 1, 2026: The Centre officially rolls out the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission Gramin (VB-G RAM G) scheme nationwide, replacing the MGNREGA framework.

July 30, 2026: The Punjab government holds talks with representatives of the MGNREGA/VB-G RAM G employees' union.

July 30, 2026: Finance Minister Harpal Singh Cheema announces that the state has accepted the employees' genuine demands concerning remuneration, contracts, service conditions, and migration to the new scheme.

July 30, 2026: The employees' union withdraws its two-month-long strike with immediate effect and assures cooperation in implementing the VB-G RAM G programme across Punjab.

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(With PTI inputs)

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Business Today Desk
Business Today Desk

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Published on: Jul 30, 2026 12:26 PM IST