Mahatma Gandhi National Rural Employment Guarantee Act - MGNREGA


 
 
Concept Explanation
 

Mahatma Gandhi National Rural Employment Guarantee Act - MGNREGA

MAHATMA GANDHI NATIONAL RURAL EMPLOYMENT GUARANTEE ACT: National Rural Employment Guarantee Act 2005, later renamed as "Mahatma Gandhi National Rural Employment Guarantee Act", MGNREGA, is an Indian labour law and social security measure that aims to guarantee the 'right to work'. It aims to enhance livelihood security in rural areas by providing at least 100 days of wage employment in a financial year to every household whose adult members volunteer to do unskilled manual work.

The Gram Panchayats were nominated to implement the MGNREGA across India. Initially, the minimum wages that were to be given to labourers were Rs. 100 per day. The Government of India revised the wages on a later date in accordance to state labour employment conventions. Currently, the minimum wages are being determined by the State Government, with Rs. 163 being the minimum in Bihar and Rs. 50o being the minimum in Kerala. The National Rural Employment  Guarantee Act of 2005 is effective in all states across India, except Jammu and Kashmir.

Objectives:

  • It aims to provide at least 100 days of guaranteed non-skilled manual employment to rural workers every year so that rural households are able to sustain themselves.
  • The core aim of the MGNREGA scheme is to ensure that there is a source of livelihood for the economically weaker section of the population.
  • The MGNREGA also aims to proactively include the weaker section into the society.
  • This scheme also targets to strengthen Panchayati Raj establishments across India.
  • Features:

  • It includes time bound employment guarantee and wage payment within 15 days.
  • It has incentive-disincentive structure for the State Governments for providing employment, as 90 per cent of the cost for employment provided is to be borne by the Centre or payment of unemployment allowance at their own cost.
  • The Act mandates 33 percent participation of women.
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