‘No curtailment in demand for funds under MGNREGA’

‘No curtailment in demand for funds under MGNREGA’

Context:

• No curtailment in demand for funds under MGNREGA, says Government to Supreme Court.

Why in news?

• The Centre told the Supreme Court on Thursday that the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) was a “demand-driven scheme” and it has not curtailed the demand for funds made by the States.

Arguments:

In favour:

• Attorney General (AG) K K Venugopal told a bench that there were no instances where the Centre has either capped number of days of employment under the Act or not released funds to the states.
• The MGNREGA is a demand-driven scheme and at no stage, the demand (of the states for funds) has been curtailed by the Union of India.
• Venugopal put forwards the arguments while countering the submissions of advocate Prashant Bhushan, appearing for the NGO-turned-political party Swaraj Abhiyan.

Against:

• Bhushan claimed in the court that the Centre has no authority in law to reduce the “person days” from the projection made by the states under the Act.
• Due of lack of funds, the states were unable to give employment to the people.
• State is denying statutory rights to the people by not providing 100 days of employment.

Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA):

• It is a social security scheme that attempts to provide employment and livelihood to rural labourers in the country.
• The scheme was designed to provide any adult who registers for rural employment a minimum job guarantee of 100 days each financial year.
• This includes non-skilled work, making it one-of-its-kind across the world.
• The MGNREGA is an entitlement to work that every adult citizen holds. In case such employment is not provided within 15 days of registration, the applicant becomes eligible for an unemployment allowance.