Rs. 10,000 cr. more allotted for MGNREGS

Rs. 10,000 cr. more allotted for MGNREGS

Part of: Prelims and GS-II – Policies and interventions 

Context The Finance Ministry has allocated additional funds of Rs. 10,000 crore as an interim measure for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) after it ran out of funds allocated in the budget.

Consequences of Lack of funds 

• Suppression of demand for work
• Delayed payment of wages to workers. 
• Constrain economic recovery

What is Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)?

• It was notified in 2005.
• Goal – To improve the livelihood security of people in rural areas.
• Universal scheme guaranteeing 100 days of wage employment in a year to every rural household that expresses a demand. 
• It aims to guarantee the ‘Right to Work’.
• Implemented by: Gram panchayat.
• The failure of provision for employment within 15 days of the receipt of a job application will result in the payment of unemployment allowance to the job seekers.
• Employment is to be provided within 5 km of an applicant’s residence
• Employment under MGNREGA is a legal entitlement