MGNREGS Wage Rates Revised for Different States

• 29 Mar 2024

Why in News?

Recently, wages under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) have been revised, with hikes ranging between 4 and 10% for different states.

Key Points

• Haryana has the highest wage rate for unskilled workers under the scheme at Rs 374 a day, while Arunachal Pradesh and Nagaland have the lowest at Rs 234.
• The increases have been made on the 2023 wage rates under the scheme that is aimed at enhancing the livelihood security of households in rural areas by providing at least 100 days of guaranteed wage employment in a financial year to every household whose adult members volunteer to do unskilled manual work.

Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS)

• About: It is one of the largest work guarantee programmes in the world.
• Launch:
  • It was launched on 2^nd February 2006
  • The Mahatma Gandhi National Rural Employment Guarantee Act was passed on 23^rd August 2005.
• Objective:
  • The primary objective of the scheme is to guarantee 100 days of employment in every financial year to adult members of any rural household willing to do public work-related unskilled manual work.
• Legal Right to Work:
  • Unlike earlier employment guarantee schemes, the act aims at addressing the causes of chronic poverty through a rights-based framework.
  • At least one-third of beneficiaries have to be women.
  • Wages must be paid according to the statutory minimum wages specified for agricultural labourers in the state under the Minimum Wages Act, 1948.
• Demand-Driven Scheme:
  • The most important part of MGNREGA’s design is its legally-backed guarantee for any rural adult to get work within 15 days of demanding it, failing which an ‘unemployment allowance’ must be given.
  • This demand-driven scheme enables the self-selection of workers.
• Decentralized Planning:
  • There is an emphasis on strengthening the process of decentralisation by giving a significant role in Panchayati Raj Institutions (PRIs) in planning and implementing these works.
  • The act mandates Gram sabhas to recommend the works that are to be undertaken and at least 50% of the works must be executed by them.