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LATEST NEWS UPDATES | 'Crucial Lifeline': 80 Academics Ask Modi to Increase Funds for MGNREGA

'Crucial Lifeline': 80 Academics Ask Modi to Increase Funds for MGNREGA

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published Published on Nov 24, 2021   modified Modified on Nov 25, 2021

-TheWire.in

"Lack of funds results in suppression of demand for work and delayed payment of wages to workers. These are violations of the Act; they also constrain economic recovery."

New Delhi: A group of 80 economists and other academics has written an open letter to Prime Minister Narendra Modi, requesting him to immediately release adequate funds for the Mahatma Gandhi National Rural Employment Guarantee Act. As employment and wage levels struggle to return to pre-pandemic levels, they argue, this scheme has served as a lifeline for the rural poor.

Funds allocation for the scheme, the signatories point out, was in fact cut by close to 30% in the second year of the pandemic, despite burgeoning demand for work under the MGNREGA. “Lack of funds results in suppression of demand for work and delayed payment of wages to workers. These are violations of the Act; they also constrain economic recovery.”

Workers are already owed pending dues to the tune of over Rs 1,121 crore.

Studies have found that significant amounts of this demand is going unmet, the letter continues. “Without further increase in funds, the programme will also be unable to meet its promise of providing 100 days of work to every household that demands it: over 51 per cent of households employed under MGNREGA this year got work for 30 days or less, and less than 10 per cent were employed for more than 80 days.”

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TheWire.in, 24 November, 2021, https://thewire.in/government/crucial-lifeline-80-academics-ask-modi-to-increase-funds-for-mgnrega


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