News:Government has planned to link MGNREGA scheme wages to an updated inflation index.This is aimed at increasing wages and reviving rural demand.
What is MGNREGA?
- The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is an employment guarantee act
- It was introduced in 2005 through the National Rural Employment Guarantee Act,2005.
- The Act aims to enhance livelihood security in rural areas by providing at least 100 days of guaranteed wage employment in a financial year to every household whose adult members volunteer to do unskilled manual work.
- Ministry of Rural Development (MRD),Government of India in association with state governments monitors the implementation of the scheme.
Features of the act:
- Demand driven scheme:Worker to be hired when he demands and not when the Government wants it.
- Gram Panchayat is mandated to provide employment within 15 days of work application failing which worker is entitled to unemployment allowance
- Payment of wages within 15 days of competition of work failing which worker is entitled to delay compensation of 0.05%/ day of wages earned.
Concerns with the scheme:
- Insufficient budget allocation
- Poor wages rate
- Delay in wage payments
- Fabrication of job cards:Payments to fictitious workers
- Ineffective grievance redressal
- Large number of incomplete work
- Poor quality of assets created.
Measures to be taken:
- Proper and timely allocation of funds
- Ensuring minimum wages for workers
- Effective monitoring of projects
- Ensuring employment to rural households as per demand for work.
- Proper job card verification
- Ensuring efficient grievance redressal mechanism.