Hyderabad

The Cabinet Sub-Committee headed by Irrigation Minister N. Uttam Kumar Reddy has favoured a cautious approach towards the Central Government's proposed rural employment legislation Viksit Bharat - Guarantee for Rozgar and Ajeevika Mission Grameen (VB- G RAM G).

The committee expressed concerns over provisions of the new legislation as they could adversely affect the State’s interests and weaken the protection available to weaker sections. The committee held its first meeting at the Secretariat on Sunday.

To begin with, the Cabinet panel has resolved to express its dissent over “significant omissions and commissions” in the proposed framework of the Act. It deliberated on various options available in this direction. The committee members were concerned that the proposed legislation sought to replace the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) with the VB-G RAM G Act from July 1.

Some provisions of the proposed legislation could dilute the role of State Governments in planning and implementing employment guarantee programmes while increasing financial liabilities on States. Adoption of the new Act could place the rural poor at a disadvantage in accessing employment opportunities and livelihood.

The Cabinet panel examined the concerns raised by several non-BJP-ruled States and certain northeastern States regarding the additional fiscal burden that could be imposed on the State. It was pointed out that some States, including Himachal Pradesh, had not yet accepted the new framework.

The committee, according to senior officials, was expected to recommend a series of amendments aimed at safeguarding the interests of workers, self-help groups, rural households, small and marginal farmers and other vulnerable sections. It would likely stress the need for States to retain adequate flexibility in designing and implementing programmes suited to local socio-economic conditions.

The committee is said to be firm on recommending that the Government emphasise the principles of cooperative federalism, greater fiscal support from the Centre and stronger safeguards for rural livelihoods.