New Delhi, May 12 -- The central government on Monday notified the implementation of the new rural employment law - the Viksit Bharat - Guarantee for Rozgar and Ajeevika Mission (Gramin), (VB-GRAMG) Act, 2025 - that replaces the nearly two-decade-old Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). The new law will take effect nationwide from July 1. The VB-GRAMG act was introduced in the Lok Sabha on December 16, 2025, and passed in both the Houses shortly after midnight on December 19, 2025. It received presidential assent on December 21, 2025. MGNREGA, enacted in 2005, guaranteed 100 days of wage employment per rural household per year. Under that law, states submitted annual work plans based on demand and the Centre was obliged to release funds accordingly. The new law changes both the number of guaranteed workdays and the way funds are allocated. VB-GRAMG act guarantees every eligible rural household up to 125 days of paid unskilled manual work in a financial year - an increase of 25 days. Under the new funding model, the Central government will determine a state-wise normative allocation - a fixed spending ceiling - for each financial year.Any expenditure beyond this ceiling must be borne by the state. The law does not define the parameters for fixing these ceilings, stating the Central government will specify them later through rules. Cost-sharing follows a 60:40 formula between the Centre and states, with a 90:10 ratio for northeastern and Himalayan states and full central funding for Union Territories without legislatures. The total annual outlay is estimated at approximately Rs.1.51 lakh crore, with the Centre's share projected at roughly Rs.95,700 crore....