In a significant move, Karnataka Chief Minister Siddaramaiah has formally requested Prime Minister Narendra Modi to suspend the implementation of the newly introduced Viksit Bharat–Guarantee for Rozgar and Ajeevika Mission (Gramin) Act. In a letter sent on Tuesday, the Chief Minister argued that the new legislation fundamentally weakens the existing rural employment guarantee framework and undermines the spirit of cooperative federalism.
Core Objections: From Rights-Based to Supply-Driven
Siddaramaiah's primary objection centers on the repeal of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). He described MGNREGA as a demand-driven, rights-based safety net for rural households, a feature he claims is lost in the new law. Despite the promised work days increasing from 100 to 125, the CM warned that the Viksit Bharat Act defeats the very intent of an employment guarantee.
He pointed out that the new guarantee lacks assured planning and funding. The Centre's financial liability is now capped at a normative allocation for notified areas, with the central government contributing only 60% of this amount in most states. "The so-called legal guarantee of 125 days is not absolute," Siddaramaiah stated, expressing concern that gram panchayats could be left without funds despite genuine demand from workers.
Funding Shift and Top-Down Approach
The Chief Minister strongly opposed provisions that allow the central government to fix state-wise allocations annually based on unspecified parameters. He argued this converts a demand-driven programme into a supply-driven, top-down system. This is a stark contrast to MGNREGA, where labour budgets are prepared starting at the gram panchayat level.
Siddaramaiah also flagged the revised funding pattern as a major burden on states. The Centre-state cost-sharing ratio has shifted from 90:10 to 60:40 under the new framework. He warned that states could be held fully liable for any expenditure beyond their normative allocation, making the employment guarantee dependent on a state's fiscal capacity rather than actual worker demand.
Potential for Increased Distress and Exclusion
The letter also highlighted several other contentious clauses. Siddaramaiah opposed the requirement to pre-notify a 60-day no-work period during peak agricultural seasons, warning this could reduce employment opportunities, suppress local wages, and potentially increase distress migration from rural areas.
He asserted that the new framework shifts the approach from a "right to work" to "work only if permitted". He expressed concerns that it curtails year-round employment and increases reliance on technology and contractor-led projects, which could exclude marginalized communities who benefited from MGNREGA's community-based works.
Calling the implementation arbitrary and rushed, Siddaramaiah said it violated constitutional provisions mandating consultation with states. He also objected to the removal of Mahatma Gandhi's name from the law, noting that MGNREGA is a globally recognised programme rooted in the principles of Gram Swaraj and Antyodaya.