AP adopts new rural employment scheme

The Andhra Pradesh cabinet has approved the implementation of the Viksit Bharat – Guarantee for Rozgaar and Aajeevika Mission (Gramin) [VB-GRAMG] Act, 2025, set to take effect from July 1, 2026. This new rural employment scheme will be rolled out across all rural areas of the state, with funding shared between the central and state governments at a 60:40 ratio.

Replacing key provisions of the existing MGNREGA, the VB-GRAMG Act significantly enhances guaranteed employment opportunities. It increases the annual guaranteed workdays from 100 to 125 days for rural households, providing an additional 25 days of work. Based on the state's average daily wage of ₹307, this increase is projected to raise annual household income by as much as ₹7,675.

Furthermore, the program mandates timely wage payments, requiring them to be completed within seven days of work completion. For any delays beyond 15 days, a daily interest of 0.05% will be applied. Compensation is also guaranteed if employment is not offered within 15 days of a household's demand for work.

In addition to the employment scheme, the cabinet greenlit the Transplantation of Human Organs and Tissues Act, 2011 (THOTA), to combat illegal organ trafficking and ensure transparent transplantation procedures. As the state assembly is adjourned, an ordinance will be promulgated to enact this. The cabinet also approved the Andhra Pradesh Aviation Policy 2026-31, aiming to transform the state's aviation sector through infrastructure development, enhanced connectivity, and promotion of MRO facilities, with ambitious targets for passenger and cargo capacity increases by 2035. The policy also includes plans for nine new airports and attracting significant investment in aerospace manufacturing.

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Replacing key provisions of MGNREGA, the programme increases guaranteed employment from 100 days to 125 days annually, providing an additional 25 days of work for rural households. Based on the state’s average daily wage of ₹307, the scheme is expected to increase annual household income by up to ₹7,675.