Mahatma Gandhi National Rural Development Act, 2005 (MGNREGA)

IN NEWS:

• Demand for work under the MGNREGA has more than doubled in this fiscal, so far, due to the COVID-19 lockdown and about 42 per cent of the total allocation of Rs 1.01 lakh crore for the employment scheme has already been distributed.

ABOUT THE ACT:

• MGNREGA, is the largest work guarantee programme in the world.
• It was enacted in 2005 with the primary objective of guaranteeing 100 days of wage employment per year to rural households.

Key features:

• Legal right to work: Unlike earlier employment guarantee schemes, the Act provides a legal right to employment for adult members of rural households. Employment must be provided with 15 days of being demanded failing which an ‘unemployment allowance’ must be given.
• Wages must be paid according to the wages specified for agricultural labourers in the state under the Minimum Wages Act, 1948.
• At present, wage rates are determined by the central government but vary across states, ranging from Rs 135 per day to Rs 214 per day.
• Gram Sabhas must recommend the works that are to be undertaken and at least 50% of the works must be executed by them. Social audits are conducted by gram sabhas to enable the community to monitor the implementation of the scheme.
• The central government bears 100% of the cost of unskilled labour, 75% of the cost of semi-skilled and skilled labour, 75% of the cost of materials and 6% of the administrative costs.

PRELIMS QUESTION:

Q. With reference to provisions made under The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005 and MGNREGA scheme, consider the following statements:

1. The wages paid under the act are uniform nationally and is paid according to the Minimum wages act,1948.
2. The act empowers Gramsabha with the responsibility of social audit of works undertaken under the scheme.
3. The entire cost of the scheme is borne by the central government.

Which of the statements given above is/are correct:

1. 1 and 3 only
2. 2 only
3. 2 and 3 only
4. All of the above

Answer to Prelims question