Congress MP Denounces New Employment Law's Impact on State Economies

Congress MP KC Venugopal criticized the VB G RAM G act for stripping away the right to employment. He argued the new law places unjust financial burdens on states, like Kerala, shifting 40% of wage costs to them, contrasted with the previous system where the Centre covered 100%.


Devdiscourse News Desk | Updated: 13-01-2026 13:44 IST | Created: 13-01-2026 13:44 IST
Congress MP Denounces New Employment Law's Impact on State Economies
Congress MP KC Venugopal (Photo: ANI) . Image Credit: ANI
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Congress Member of Parliament KC Venugopal has voiced severe criticism against the recently implemented VB G RAM G act, arguing that it effectively strips citizens of their right to employment. Highlighting the changes in funding responsibility, Venugopal pointed out that, under previous legislation, the central government was responsible for 100% of the wage component. However, under the new stipulations, states are now required to shoulder a significant 40% of the financial burden.

Venugopal expressed concern that this legislative shift would heavily strain state treasuries, citing Kerala's impending need to allocate ₹2,000 crore to fulfill these new obligations. He further contended that the act symbolizes a departure from Mahatma Gandhi's principles, accusing the act's proponents of attempting to erase Gandhi's ideology in favor of an agenda aligned with the Rashtriya Swayamsevak Sangh (RSS).

The Congress leader also critiqued Kerala's Chief Minister for allegedly furthering RSS goals by signing agreements like the PM SHRI scheme without adequate consultation with coalition partners, including the Communist Party of India. Venugopal questioned the Chief Minister's moral authority to solicit opposition support for protests against the central government, given these actions.

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