Universal wage floors and targeted hikes for historically low-wage states are central to the revised wage notification under VB–G RAM G Act, 2025. Discuss how this approach addresses equity concerns while posing new administrative challenges.

Q. Universal wage floors and targeted hikes for historically low-wage states are central to the revised wage notification under VB–G RAM G Act, 2025. Discuss how this approach addresses equity concerns while posing new administrative challenges. (15 marks, 250 words)

The revised wage notification (effective 1 July 2026) under the VB–G RAM G Act, 2025 — successor to MGNREGA — sets a ₹300 universal floor and an average hike above 10%, twinning uniform protection with targeted correction for lagging states [1][2].

How it advances equity - Universal floor ends sub-₹300 notifications, shielding the most marginalised rural workers and aligning the programme with dignity-of-labour and Article 21 livelihood jurisprudence [2]. - Targeted hikes of 15–25% for historically low-wage states — UP, Bihar, Jharkhand, West Bengal, Assam, Arunachal Pradesh, Himachal Pradesh — narrow inter-state disparity, an explicit corrective-equity lens [2]. - Purchasing-power boost in low-income regions raises rural consumption demand, reinforcing inclusive growth [2]. - Retained 125-day guarantee and unemployment allowance sustain a minimum income safety net [3].

New administrative challenges - Fiscal strain from 60:40 funding (against MGNREGA's ~90:10): richer states absorb a heavier wage bill, risking friction in Centre-State fiscal relations [3]. - Agricultural pause (up to 60 days) demands states officially notify suspension windows, adding procedure and risking off-season access for landless labour [3]. - Delivery integrity — biometric attendance, geospatial mapping and weekly disclosures raise the compliance burden even as the admin cap rises to 9% [1]. - Migration-linked wage arbitrage may intensify as differentials shrink unevenly.

By fusing a protective floor with graduated correction, the notification operationalises horizontal equity in the Viksit Bharat 2047 vision; realising it needs strengthened state capacity and cooperative-federal fiscal support so equity gains are not lost to implementation gaps.

(~250 words)

Sources: 1. Viksit Bharat–G RAM G Act, 2025 — Commencement & Background, PIB — 125-day guarantee, 9% admin cap, Viksit Gram Panchayat Plans, MGNREGA repeal 2. Government Notifies Revised Wage Rates under VB–G RAM G Act, 2025, PIB (PRID 2279660) — ₹300 floor, >10% average hike, 15–25% targeted state hikes 3. VB–G RAM G Bill, 2025 — Bill Track & Summary, PRS Legislative Research — 60:40 funding, agricultural pause, unemployment allowance, technology mandates