MGNREGS: Ministry Addresses Misconceptions Amid Employment Fluctuations

The Ministry of Rural Development refutes claims of reduced job creation under MGNREGS, stating the scheme remains adaptable and well-funded. Despite a reported decline, the Ministry emphasizes robust infrastructure like Aadhaar-based payments and real-time monitoring, ensuring efficiency and transparency. Allocation has risen, with wage increases also implemented.

In light of reports suggesting a 16 percent drop in employment generation under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) in the first half of the year, the Ministry of Rural Development (MoRD) has issued a clarification emphasizing the program's resilience. The Ministry confirmed that MGNREGS is adequately funded to adapt to the fluctuating demand for rural labor, generating an impressive 2,923 crore person-days from FY 2014-15 to FY 2024-25 compared to 1,660 crore person-days from FY 2006-07 to FY 2013-14.

The Ministry underscored the scheme's demand-driven nature, explaining that employment targets are not predetermined. States and union territories have the flexibility to seek additional labor budgets as required. The reported employment drop is attributed to natural demand fluctuations, with the Ministry highlighting ongoing efforts such as Direct Benefit Transfer (DBT) and Aadhaar-based payments to ensure transparency. By employing the Aadhaar-Based Payment System, workers' wages are directly credited, bypassing intermediaries. As of now, 99.3 percent of active MGNREGS workers are Aadhaar-seeded, which reduces transaction delays significantly. Alternative payment methods, like the National Automated Clearing House, ensure efficiency if Aadhaar-based transactions fail.

Addressing job card deletions, the Ministry clarified that these are performed only after verification to eliminate duplicates or inactive cards due to relocation or the cardholder's death. In FY 2024-25 alone, 32.28 lakh job cards were canceled following verification. The Ministry also pointed to the deployment of the National Mobile Monitoring System (NMMS) for capturing real-time attendance via geo-tagging at worksites, with 95.66 percent attendance recorded. For areas lacking connectivity, offline options and manual attendance are available.

The Ministry countered budget cut claims, noting a record allocation of Rs 86,000 crore for FY 2024-25, marking the highest funding since the scheme's inception. The Ministry also announced a 7 percent wage hike, with the average minimum wage increasing from Rs 155 in FY 2013-14 to Rs 279 in FY 2024-25. Additionally, 97 percent of Fund Transfer Orders are promptly generated, with compensation rules in place across 27 states and union territories to ensure timely wage delivery.

(With inputs from agencies.)