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Resource centre on India's rural distress
 
 

99% MGNREGA funds "exhausted", Govt of India makes no additional sanctions: Study

-Counterview.net

A letter, addressed to Prime Minister Narendra Modi, and prepared by senior activists led by Aruna Roy on behalf of the Peoples’ Action for Employment Guarantee (PAEG), and signed, among others, by 80 members of Parliament, has regretted that, despite repeated public statements by his government promising employment and job creation that will boost the country’s growth, the country’s only employment guarantee programme, Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), “is being systematically undermined.”

The letter states, “Illegal restrictions on its budget allocation, severe payment delays and low wages are crippling the program and depriving people in distress of one of their most important legally supported structures”, urging him to strengthen MGNREGA as an “urgent priority” to deal with the current rural and agrarian crisis.

The letter demands “adequate and timely funds are provided to meet work demand” under NREGS, insisting, with wages under the scheme should not be “less that statutory minimum wage” of the state. It also asks PM to ensure that “wage payment delays beyond 15 days are separately calculated, disclosed and compensation paid.”

The letter follows an analytical note on the working of MGNREGA by PAEG, which says that more than 99% of MGNREGA funds have been exhausted, and no additional funds have been sanctioned, pointing out, “This has brought the programme to a complete halt at a time when rural India is undergoing acute distress with massive unemployment, declining farm incomes and rising inequality.”

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