Undertake survey to assess MGNREGA effectiveness

Context

• The Parliamentary Standing Committee on Rural Development has recommended an independent survey to assess the effectiveness of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) and its shortcomings.

• This survey, the panel said, should focus on worker satisfaction, wage delays, participation trends, and financial irregularities within the scheme.

• The panel also stressed the need to revamp the scheme, keeping in view the “changing times and emerging challenges”. “This committee urges the Ministry to explore the options that could increase the number of guaranteed working days under MGNREGA to at least 150 days from the current 100 days,” the report said.

• The parliamentary panel also pointed out that the scheme has been plagued by chronic delays in wage payments, leading to uncertainty for the workers. It has recommended that the current compensation rate for delayed wages should be increased.

MGNREGA

• MGNREGA is a social security scheme guaranteeing 100 days of work to any rural household willing to do public work-related unskilled manual work at the statutory minimum wage.

• The Ministry of Rural Development (MRD) is monitoring the entire implementation of this scheme in association with state governments.

• The wages are revised according to the Consumer Price Index-Agricultural Labourers (CPI-AL).

• The act obligates the state to give rural households work on demand.

• The applicant becomes eligible for an unemployment allowance if such employment is not provided within 15 days of registration.

• The employment will be provided within a radius of 5 km. If it is >5 km, an extra wage will be paid.

• Under the act, priority shall be given to women, and at least one-third of the beneficiaries shall be women who have registered and requested work.

• Social Audit must be done by the Gram Sabha.

• 100% of the unskilled labour cost and 75% of the material cost (including wages of skilled and semi-skilled workers) of the programme is borne by the Centre.

• Under the MGNREGS, wages of unskilled workers must be paid within 15 days; if there is a delay, the Centre has to compensate them.