Coming Back to MNREGA

Context: Mahatma Gandhi National Rural Employment Guarantee Act Programme, (MGNREGA) being the world’s largest social welfare programme, should not be seen as the “living monument of failure”, instead used as a tool for uplifting poverty and generating employment opportunities.

Issues in MGNREGA 

• Minimum daily wage enhancement: lower than the minimum wage in several states and union territories.
• Government’s claims of an increase in annual household income: Presumptions are based on the employment generated in 100 days of work against the actual 45-50 days.
• Total fund allocation for MGNREGA: under fiscal stimulus package is inclusive of payment for previous dues also.
• MGNREGA employment: declining day by day.

Way Forward

• Ensure a full 100 days of work: for each registered worker.
• Revise and link wages to the rural consumer price index: 375 a day against present, Rs 202 a day is which is 40-50% lower than the average unskilled daily wage.
• Fast clearance of all wages: i.e within 15 days from the day work is done as stipulated in the Act. 
• Extension of unemployment allowance period.
• Replicate model of successful states in terms of MGNREGA implementation like West Bengal (in top 3 states in terms of person-days of work).