The Union government has set a minimum wage of ₹300 per day under the Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) (VB-G RAM G) Act, 2025, effective from July 1. This move raises the national average rural wage to ₹327.4 and expands guaranteed employment days from 100 to 125, according to livemint.com.
The revised wage rates were notified by the government as part of the VB-G RAM G Act, which replaces the earlier rural employment guarantee scheme. The new floor wage of ₹300 applies nationwide to workers under the rural employment guarantee programme. This adjustment marks an increase of over 10% in the national average wage, reflecting the government’s efforts to enhance rural livelihoods.
This wage hike comes amid ongoing efforts to strengthen rural employment schemes and improve income security for workers in the agricultural sector. By increasing the guaranteed employment days and setting a higher wage floor, the government aims to provide more stable and adequate earnings to rural laborers. The VB-G RAM G Act’s provisions align with broader policy trends targeting rural development and poverty alleviation.
The new wage structure under the VB-G RAM G Act took effect on July 1, 2026, with the government officially notifying the revised rates. The guaranteed employment period has been extended to 125 days, up from the previous 100 days, ensuring more work opportunities for rural households.