The government has given a big gift to workers under the ‘Mahatma Gandhi National Rural Employment Guarantee Scheme’ (MGNREGA).
MGNREGA wage rates have been increased by 3 to 10 percent by the Central Government. A notification was issued about this on Thursday, March 28th.
The increased wage rates for MGNREGA workers, effective from April 1, 2024, are part of the changes made before the Lok Sabha elections for the financial year 2024-25.
The rise in MGNREGA wages mirrors the increase seen in the previous financial year.
As per the notification, the wage rates for 2024-25 have risen by at least 3 percent in Uttar Pradesh and Uttarakhand compared to 2023-24.
In contrast, Goa has seen the highest increase in MGNREGA wages, with rates going up by 10.6 percent.
This adjustment in rates comes amidst a backdrop of controversy surrounding fund allocation to states such as West Bengal.
The Centre notifies the latest revision in MGNREGA wages pic.twitter.com/gcq2mrFWn7
— ANI (@ANI) March 28, 2024
MGNREGA budget increased
On February 1, 2024, Finance Minister Nirmala Sitharaman presented the national budget.
In this budget, she announced an increase in the allocation for MGNREGA.
The budget for MGNREGA was around Rs 60,000 crore in the fiscal year 2023-24, and it has been raised to Rs 86,000 crore for the fiscal year 2024-25.
Permission sought from Election Commission for MGNREGA notification
Business Standard reported that sources mentioned the Rural Development Ministry had asked for permission from the Election Commission before announcing the labor rates.
This was because the Model Code of Conduct is currently in effect across the country due to the Lok Sabha elections.
After receiving approval from the Commission, the Ministry promptly issued a notification about the raised wages. It’s important to note that adjusting wage rates is a routine procedure.
Indications to increase wages were given in Parliament
In a recent report presented in Parliament, the Parliamentary Standing Committee on Rural Development and Panchayati Raj highlighted the differences in MGNREGA wage rates across states.
The committee expressed concern that the current wages are inadequate considering the rising living costs.
Additionally, the Parliamentary Standing Committee referred to the findings of the Central Government committee known as the ‘Anup Satpathy Committee’ on minimum wages.
This committee recommended a daily wage of Rs 375 under the MNREGA program, indicating a potential wage increase by the government.
What is MNREGA?
The MGNREGA program began in 2005 under the Ministry of Rural Development.
It is considered one of the biggest employment guarantee schemes globally.
In this program, the government sets a minimum wage for hiring people from rural areas.
The tasks performed under MGNREGA are unskilled and include activities like digging pits and building drains. The program ensures legal assurance of 100 days of work annually.
