The effectiveness of the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) for the fiscal year 2024–2025 has been called into question by a recent study conducted by LibTech India
Main Insights of the Report
Rise in Coverage: The count of registered households within MGNREGS grew by 8.6%, from 13.80 crore in FY 2023–24 to 14.98 crore in FY 2024–25.
Decrease in Employment Days: Although there was an increase in registration, persondays dropped by 7.1%. Average employment per household fell from 52.42 days to 50.18 days, a decline of 4.3%.
Only around 7% of households obtained the complete 100 days of work promised by the Act.
Regional Disparities: States such as Odisha (34.8%), Tamil Nadu (25.1%), and Rajasthan (15.9%) experienced a significant drop in employment days, whereas Maharashtra (39.7%), Himachal Pradesh (14.8%), and Bihar (13.3%) reported rises.
Obstacles Impacting MGNREGS Implementation
Budget Limitations: The Union government set aside merely ₹86,000 crore for MGNREGS in FY 2024-25, which is substantially less than the ₹2.64 lakh crore suggested by People’s Action for Employment Guarantee (PAEG).
Tardy Salary Payments: Ongoing postponements in salary distribution have deterred involvement in the program.
Elevated Deletion Numbers: From 2022 to 2024, 7.8 crore employees were expelled from the program, whereas merely 1.92 crore were included, raising worries regarding accessibility.
Main Characteristics of MGNREGA (2005)
– Employment Assurance: Provides 100 days of paid work to rural families.
– Financial Arrangement: 90:10 (Central & State Government)
– Legal Right: Employees possess a legal claim to work according to the Act.
– Payment is given if tasks are not allocated within 15 days of request.
– Compensation and Jobsite Amenities: Salaries should be disbursed within 15 days after the completion of work.
Worksites need to offer essential amenities such as drinking water, shade, and first aid.
Main Goals
– Asset Development: Emphasizes long-lasting and efficient rural assets like water conservation systems, roadways, and irrigation infrastructure.
– Social Inclusion: Emphasizes job opportunities for women, Scheduled Castes (SCs), and Scheduled Tribes (STs).
– Decentralized Planning: Enhances Panchayati Raj Institutions (PRIs) by engaging them in both planning and execution.
Execution and Effect
– Countrywide Access: First introduced in 200 districts in 2006, it was subsequently broadened to include all rural districts.
– Women's Participation: The engagement of women in MGNREGA increased from 48% in FY 2013-14 to more than 58% in FY 2024-25.
– Rural Asset Development: More than 8.07 crore rural assets have been established through the program.
Path Ahead
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