The country is running various schemes for the benefit of its people. Through these schemes, the government provides different types of benefits to the citizens. Additionally, the government is also undertaking numerous initiatives to create employment opportunities. One such scheme is MGNREGS, which benefits people from economically weaker sections of society. Recently, an important update regarding MNREGA has emerged. This article will briefly discuss MGNREGS and its impact on rural employment and poverty alleviation.

What is the MGNREGS Yojana?

MGNREGS, or the Mahatma Gandhi National Rural Employment Guarantee Scheme, is the world’s largest job guarantee program, initiated in 2005 by the Ministry of Rural Development. This scheme provides a legal assurance of 100 days of employment annually to adult members of rural households willing to perform unskilled manual labour associated with public works, ensuring they are paid the statutory minimum wage. As of the financial year 2023-24, the scheme has 14.32 crore active workers, making it a cornerstone for rural employment and economic development.

Objective:

This act was introduced to improve the purchasing power of rural people, primarily by providing semi-skilled or unskilled work to individuals living below the poverty line in rural India. It aims to bridge the gap between the rich and the poor in the country.

Achievements in 2022-23:

  • 11.37 crore households received employment.
  • 289.24 crore person-days of employment were generated, out of which:
  • 56.19% were for women.
  • 19.75% were for Scheduled Castes (SC).
  • 17.47% were for Scheduled Tribes (ST).

Impact on Rural Employment & Poverty Alleviation

1. Employment Guarantee:

Adult members of rural households are guaranteed at least 100 days of wages annually, improving the economic condition of villagers.

2. Engagement in Public Works:

Villagers are involved in public works, such as building roads, canals, ponds, wells, water harvesting structures, drought relief, and flood control infrastructure.

3. Minimum Wages:

Workers receive minimum wages, increasing the bargaining power of rural labourers.

4. Unemployment Allowance:

Applicants receive an unemployment allowance if they do not get work within 15 days of applying.

5. Reduced Migration:

The scheme has significantly reduced the migration of villagers to urban areas for work.

6. Improved Standard of Living:

The scheme has enhanced the standard of living for rural residents.

7. Clean Environment:

Villagers live in a cleaner environment due to infrastructure and developmental activities under the scheme.

Initiatives under MGNREGS:

  • Amrit Sarovar: At least 75 Amrit Sarovars (ponds) are being built or renovated in each district to increase the availability of surface and groundwater.
  • Jaldoot App: Launched in September 2022, this app measures water levels in gram panchayats through 2-3 selected open wells twice a year.
  • Lokpal for MNREGA: The Lokpal App, launched in February 2022, helps report and classify complaints about MNREGA implementation efficiently.

FAQS

1. Has the female labour force participation rate also increased?

Yes, the female labour force participation rate has increased. According to a report by the Ministry of Statistics and Programme Implementation, released on October 9, 2023, the rate rose from 32.8% in 2021-22 to 37.0% in 2023, showing significant improvement.

2. What is the key difference between MGNREGS and earlier employment guarantee schemes?

MGNREGS is based on a rights-based framework and aims to address the root causes of extreme poverty, unlike earlier schemes.

3. What percentage of MGNREGS beneficiaries should be women?

At least one-third of the beneficiaries should be women.

4. How are wages determined under MGNREGS?

Wages are paid according to the statutory minimum wages specified for agricultural labourers in the state under the Minimum Wages Act, of  1948.

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