{"id":20148,"date":"2018-05-16T18:21:06","date_gmt":"2018-05-16T12:51:06","guid":{"rendered":"http:\/\/blog.forumias.com\/?p=20148"},"modified":"2021-01-05T16:03:22","modified_gmt":"2021-01-05T10:33:22","slug":"critical-analysis-of-mgnrega","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/critical-analysis-of-mgnrega\/","title":{"rendered":"Critical Analysis of MGNREGA"},"content":{"rendered":"<p><strong><u>Context:<\/u><\/strong><\/p>\n<p>Swaraj Abhiyan has filed a Public Interest Litigation in Supreme Court concerning the violation of various provisions of the MGREGA.<\/p>\n<p><strong><u>What is MGNREGA?<\/u><\/strong><\/p>\n<ul>\n<li>The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is a employment guarantee act<\/li>\n<li>It was introduced in 2005 through the National Rural Employment Guarantee Act, 2005.<\/li>\n<li>In 2010, NREGA renamed as MGNREGA<\/li>\n<\/ul>\n<p><strong><u>Aim:<\/u><\/strong><\/p>\n<p>To enhance livelihood security of household in rural areas of India<\/p>\n<p><strong><u>Objectives:<\/u><\/strong><\/p>\n<ol>\n<li>To provide guaranteed <strong>100 days of wage employment<\/strong> per year to each rural household<\/li>\n<li>Creation of durable rural assets<\/li>\n<li>Social inclusion of women, SCs and STs<\/li>\n<li>Strengthen the Panchayati Raj Institutions<\/li>\n<\/ol>\n<p><strong><u>Coverage:<\/u><\/strong><\/p>\n<ul>\n<li>The Act currently covers all districts with the <strong>exception of those that have a 100% urban population<\/strong>.<\/li>\n<\/ul>\n<p><strong><u>Key Features:<\/u><\/strong><\/p>\n<ol>\n<li><strong>Demand driven scheme:<\/strong> Worker to be hired when he demands and not when the Government wants it.<\/li>\n<li>Gram Panchayat is mandated to provide employment with 15 days of work application, failing which worker is entitled to unemployment allowance<\/li>\n<li>Payment of wages within 15 days of competition of work, failing which worker is entitled to delay compensation of 0.05%\/ day of wages earned<\/li>\n<li>Minimum one-third of the workers should be women<\/li>\n<li>Wages to be paid according to the Minimum Wages Act 1948 for agricultural labourers in the State<\/li>\n<li>Social Audit to be done by Gram Sabha<\/li>\n<\/ol>\n<p><strong>Recent developments:<\/strong><\/p>\n<ul>\n<li><strong>Direct Benefit Transfer<\/strong>: Wages are electronically transferred to the worker\u2019s bank\/ post office accounts through National Electronic Fund Management System (NeFMS)<\/li>\n<li><strong>GeoMGNREGA:<\/strong> Geo-tagging all assets created under MGNREGA<\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><strong><u><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-20149 size-full\" src=\"https:\/\/i0.wp.com\/blog.forumias.com\/wp-content\/uploads\/2018\/05\/man.jpg?resize=569%2C526\" alt=\"\" width=\"569\" height=\"526\" srcset=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/05\/man.jpg?w=569&amp;ssl=1 569w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/05\/man.jpg?resize=150%2C139&amp;ssl=1 150w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/05\/man.jpg?resize=300%2C277&amp;ssl=1 300w\" sizes=\"auto, (max-width: 569px) 100vw, 569px\" \/><\/u><\/strong><\/p>\n<p><strong><u>A<\/u><\/strong><strong><u>chievements:<\/u><\/strong><\/p>\n<ol>\n<li>MGNREGA has been a powerful instrument for empowerment of poor women through its effect on <strong>livelihood security and social protection<\/strong>. In FY2015-16 out of the total employment through MGNREGA, 56% was generated for women.<\/li>\n<li>Reduced distressed rural to urban migration and also seasonal migration by <strong>providing work closer to home and decent working conditions.<\/strong><\/li>\n<li>Has helped in the upliftment of SCs and STs through<strong> creation<\/strong> of <strong>livelihood opportunities<\/strong>. The percentage of Scheduled Caste workers has consistently been about 20% and Scheduled Tribe workers has been about 17%<\/li>\n<li>Sustainable assets have been created linked to conservation of natural resources and has helped in overall development of Gram Panchayats.<\/li>\n<li><strong>Payment of wages through bank accounts\/ post office<\/strong> has led to large <strong>financial inclusion<\/strong> of the poor.<\/li>\n<li>The average daily wage rate of farm workers has grown sharply after MGNREGA<\/li>\n<\/ol>\n<p><strong><u>Issues:<\/u><\/strong><\/p>\n<ol>\n<li><strong><u>Insufficient budget allocation:<\/u><\/strong><\/li>\n<\/ol>\n<ul>\n<li>Increase in nominal budget but actual budget (after adjusting inflation) decreased over years<\/li>\n<li>Though allocated 55,000 crore, the actual value of budget allocation of 2018-19 is much lower than that of 2010-11<\/li>\n<li>In 2018, Rs 7,000 crore has been allocated from \u201cExtra Budgetary Resources (EBR)\u201d. Annual outlay remains same as 2017-18<\/li>\n<\/ul>\n<ol start=\"2\">\n<li><strong><u>Shift to Supply-driven programme:<\/u><\/strong><\/li>\n<\/ol>\n<ul>\n<li>State submits Labour Budget to the Centre- A labour budget contains <strong><em>anticipated labour demand for the next financial year.<\/em><\/strong><\/li>\n<li>The Centre through the arbitrary \u201c<strong>Approved Labour Budget<\/strong>\u201d has reduced the number of days of work and put a cap on funds through the National Electronic Fund Management System<\/li>\n<li>According to Ne-FMS guidelines, states won\u2019t be allowed to generate employment above the limits agreed by Approved labour Budget<\/li>\n<li>This has made the programme supply-driven<\/li>\n<\/ul>\n<ol start=\"3\">\n<li><strong><u>Poor wages rate:<\/u><\/strong><\/li>\n<\/ol>\n<ul>\n<li>Stagnation of wage rate due to delinking MGNREGA wage rates from Minimum Wages Act, 1948<\/li>\n<li>MGNREGA wages are lower than minimum wages in most states<\/li>\n<li>This could push marginalized section to take up vulnerable and hazardous jobs<\/li>\n<\/ul>\n<p><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-20150 size-full\" src=\"https:\/\/i0.wp.com\/blog.forumias.com\/wp-content\/uploads\/2018\/05\/most.jpg?resize=318%2C276\" alt=\"\" width=\"318\" height=\"276\" srcset=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/05\/most.jpg?w=318&amp;ssl=1 318w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/05\/most.jpg?resize=150%2C130&amp;ssl=1 150w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/05\/most.jpg?resize=300%2C260&amp;ssl=1 300w\" sizes=\"auto, (max-width: 318px) 100vw, 318px\" \/><\/p>\n<ol start=\"4\">\n<li><strong><u>Delay in wage payments:<\/u><\/strong><\/li>\n<\/ol>\n<ul>\n<li>Delayed payments increased from 39% in 2012-13 to 73% in 2014-15<\/li>\n<li>32% of payments in first 2quarters of FY17-18 were on time<\/li>\n<li>As of 2016-17, total amount of wage pending is Rs. 11000 crore<\/li>\n<li>In current financial year, 25% of Funds Transfer Order (FTOs) pertaining to wage payment from January to April is pending to be processed by Centre<\/li>\n<\/ul>\n<ol start=\"5\">\n<li>Non-payment of unemployment allowance<\/li>\n<li>Partial compensation for delayed payment<\/li>\n<li>Distortion in labour market<\/li>\n<li>Fabrication of job cards: Payments to fictitious workers<\/li>\n<li>Infrequent social audits<\/li>\n<li>Ineffective grievance redressal<\/li>\n<li>Insufficient involvement of Panchayati Raj institutions<\/li>\n<li>Large number of incomplete work<\/li>\n<li>Poor quality of assets created<\/li>\n<\/ol>\n<p><strong><u>Measures to be taken:<\/u><\/strong><\/p>\n<ol>\n<li>Proper and timely allocation of funds<\/li>\n<li>Ensuring minimum wages for workers<\/li>\n<li>Effective monitoring of projects<\/li>\n<li>Ensuring employment to rural households as per demand for work.<\/li>\n<li>Proper job card verification<\/li>\n<li>Ensuring efficient grievance redressal mechanism<\/li>\n<\/ol>\n","protected":false},"excerpt":{"rendered":"<p>Context: Swaraj Abhiyan has filed a Public Interest Litigation in Supreme Court concerning the violation of various provisions of the MGREGA. What is MGNREGA? The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is a employment guarantee act It was introduced in 2005 through the National Rural Employment Guarantee Act, 2005. In 2010, NREGA renamed&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/critical-analysis-of-mgnrega\/\">Continue reading <span class=\"screen-reader-text\">Critical Analysis of MGNREGA<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":20151,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[27],"tags":[],"class_list":["post-20148","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-featured-editorials","entry"],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2018\/05\/mgn-759.jpg?fit=1009%2C561&ssl=1","views":{"total":2906,"cached_at":""},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/20148","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=20148"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/20148\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media\/20151"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=20148"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=20148"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=20148"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}