India notifies new rural job wages, sets ₹300 floor ahead of scheme rollout

India's Ministry of Rural Development has announced revised wage rates under the new Viksit Bharat – Guarantee for Rozgar and Ajeevika Mission (Gramin) Act, 2025, effective July 1. This successor scheme to MGNREGS introduces a ₹300 interim base wage, a first for the national rural employment guarantee program, ensuring no daily wage falls below this threshold.

The ministry stated the revision aims to achieve higher wages, reduce regional disparities, and reinforce the dignity of labor. Union minister Shivraj Singh Chouhan highlighted that the most significant increases are directed towards states with historically lower wages. Across all 34 states and Union Territories, wage rates have been raised, with 21 now meeting the ₹300 floor.

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the largest increase” reached states where wages were historically lowest.

The national average notified wage has climbed from ₹298.8 under MGNREGA to ₹327.4 per day under VB-G RAM G, marking an increase of over 10%. States like Uttar Pradesh, Bihar, Jharkhand, West Bengal, Assam, Arunachal Pradesh, and Himachal Pradesh will see hikes between 15-25%. Arunachal Pradesh and Nagaland are set to experience the largest percentage increase, nearly 24.5%.

States with already higher wages, such as Kerala, Haryana, Punjab, and Karnataka, have also seen upward revisions, with Haryana now reporting the highest notified wage at ₹409. Minister Chouhan emphasized that these wage revisions, coupled with the expansion of guaranteed employment to 125 days under the new act, are intended to strengthen rural livelihoods and accelerate development, aligning with the government's broader goals.

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the largest increase” reached states where wages were historically lowest, strengthening rural livelihoods and accelerating development.