The need for a million worksites now

Newspaper Rainbow Series 25th May 2020 Save

Context: Averting a humanitarian disaster in India calls for an explosion of NREGA work in the next few weeks

Impact of COVID on migrants workers:

No Food: Azim Premji University (APU) Survey claims around 74% of the poor households are consuming less food today than before the lockdown.
Financial Stress: Another study claimed that 90% reported “financial stress”.

Need for MGNREGA Reform:

Insufficiency of PDS: For those who are covered, the PDS cannot ensure adequate nutrition

It still excludes around 500 million people living in poverty. They urgently need to earn cash beyond small mercies.

Unprecedented demand: Demand for MGNREGA work has increased despite low wages as there is nothing better on the cards.

Non-empowered workers: Their inability to initiate work applications by themselves leads to a situation where NREGA works attract the workers as opposed to it being a demand-based work.

Vulnerable to leakages: The digital payment system has merely changed the modalities of corruption. High rejection rate and cumbersome process in KYC norms challenge the process.

Wage issues: Wages are still low, and payments are still far from timely and reliable.
Right v/s Obligation: it has now become an obligation as no-one can be employed unless his or her name has been entered in advance in the e-muster rolls.

Steps to be taken:

Large scale opening of MGNREGA works on proactive basis: creating major worksite in each village, employment throughout monsoon etc.
Veritable explosion of NREGA work: expanding the list of works, hiring more gram rozgar sevaks, mobilising para-teachers, simplifying process etc.
Switch to cash payment: it will help timely and reliable payment, reduce the problems related to workers extracting wages from banks.
Although they are little more vulnerable to leakages than digital payment.