Employment days under Mahatma Gandhi National Employment Guarantee Scheme at a five-year low

Source: The post is based on the article “Employment days under Mahatma Gandhi National Employment Guarantee Scheme at a five-year low” published in The Hindu on 23rd January 2023.

What is the News?

The average days of employment provided per household under the Mahatma Gandhi National Employment Guarantee Scheme (MGNREGS) are at a five-year low for this financial year.

What is MGNREGA?

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What were the average days of employment under MGNREGA in 2022-23?

The average days of employment provided per household under MGNREGA was 42 days in 2022-23 while it was 50 days in 2021-22, 52 days in 2020-21, 48 days in 2019-20 and 51 days in 2018-19.

Why is there a decline in employment under MGNREGA?

Activists allege that the MGNREGA has been plagued by systemic problems that are disincentivizing participation. These problems are: 

– Choking of funds: This has led to suppression of work demand and delays in wage payments.

– Technical complexities: The introduction of unnecessary technical complexities like an app for attendance at worksites has caused more hardships for workers who will be more dissuaded going forward.

– States dismal policies: With less than two-months for the financial year to close, there are at least nine States and union territories which have utilised less than 70% of projected person days.

– Budgetary cuts: With low utilisation, financial outlay for the underperforming States is expected to further shrink in the upcoming financial year.