Mahatma Gandhi National Rural Employment Guarantee Act [ Detailed Analysis - Economics ]
MGNREGA stands for Mahatma Gandhi National Rural employment Guarantee Act, formally known as NGERA, National Rural Employment Guarantee Act. This is an Indian job guarantee scheme, which was enacted by legislation on 25th August 2005. It provides legal guarantee of employment for 100 days in every financial year to adult member of a household willing to do unskilled manual work at a minimum wage of Rs120.
- In 2011 despite its good intentions, MNGERA had a controversy about corrupt officers, deficit financing etc.
MGNREGA in Detail
Circumstances to Withhold the Allowance Payment
- If the applicant does not show up during employment period.
- If the adult family members or the employee itself has received 100 days of work in financial year.
- If the employee has earned total wage of 100 days in a financial year.
Final objectives of MGNREGA
Works Provided by MGNREGA
- Construction of Gram Panchayat Bhawan and Bharat Nirman Rajiv Gandhi Sewa Kendras.
- Harvesting and conservation of water.
- Rural connectivity that will open access to rural areas in all weathers
- Tree plantation, afforestation and other drought proofing work
- Flood control and draining of water logged areas
- Development of irrigation canals and minor and micro irrigation works
- Land development
- De-silting of tanks and renovation of traditional water bodies.
Key Features of MGNREGA
Data on MGNREGA
- On 2nd February 2006, implementation of MGNREGA took place with 200 districts. By 1st April 2008, all districts over India were covered under MGNREGA
- Rs 1,10,000 crore has been sent till date for wage payment
- Around 1200 crore people have been employed so far
- Since then around 10 crore new post new post offices/bank accounts have been created
- There has been an 81% increase in per person-day wage till now.
- Women employees are accounting for 47%.
- Around 12 crore job card are issued till now.
Why did MGNREGA fail?
Despite being a highly ambitious and noble scheme with millions spent for the purpose of increasing economic security, MGNREGA has some serious problems.
- Published on: September 22, 2016