Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)

Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA)

Part of: Prelims and GS-III -Economy 

Context: Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) workers are still waiting for almost Rs. 3,360 crore in pending wage payments.

• The largest pending payments are in West Bengal, Uttar Pradesh and Rajasthan.

Key takeaways 

• The Centre reduced its budget allocation for the rural jobs scheme by 25%.
• If these pending wage and material payment liabilities are carried forward into the next financial year, it will further reduce the amount of money available to pay workers next year.

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

• Mahatma Gandhi National Rural Employment Guarantee Act (NREGA) was notified in 2005.
• Goal – To improve the livelihood security of people in rural areas.
• It is a 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’.
• Every registered household receives a Job Card (JC) to track their work completed.
• The scheme is implemented by the 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

News Source: TH