The revised daily wage for NREGS workers is still lower than the minimum wages paid in several States. A CONTROVERSY seems to have surfaced between the Prime Minister's Office and the National Advisory Council (NAC) on the issue of wages under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). The NAC has been arguing for some time that there should be parity between wages under the National Rural Employment...
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30% pay hike for workers under NREGS
The Central government has revised wages of agricultural labourers under the Mahatma Gandhi National Rural Employment Guarantee Scheme. The new wages are based on the consumer price index (CPI), as suggested by Prime Minister Manmohan Singh, and are retrospectively effective from January 1, 2011. Linking wages to CPI has enhanced them from 17% to 30%. The revised salaries will benefit over 50 million people across India. The base wage, which was...
More »Maximum Dithering for Minimum Wages!
Even though the Central Government agreed to link the wages paid under MG-NREGA to the Consumer Price Index for Agricultural Labourers (CPIAL), it shied away from paying statutory minimum wages in various states of India. Their logic for this: Lack of clarity on who will bear the extra financial burden—the Centre or the states? A letter from the Prime Minister Manmohan Singh to UPA and NAC Chairperson Sonia Gandhi dated 31...
More »From inadequate to appalling
It was bad enough that the National Advisory Council in its recommendation of October 2010 proposed a food security Bill that diluted the principle of a universal right to food. It is appalling now that the C. Rangarajan Committee seeks to truncate that proposal, and legally establish a narrowly targeted public distribution system on the grounds of feasibility. Their argument is a false argument for more reasons than one. First,...
More »Rural job scheme minimum wage revised, risking inflation spiral by Ruhi Tewari & Asit Ranjan Mishra
In a move that brings relief to the rural workforce, but risks creating an inflation spiral, the government on Thursday revised the minimum wages paid for its flagship job guarantee scheme by linking them to the Consumer Price Index for agricultural labour (CPI-AL) for each individual state. Such a price spiral, in case it actually emerges, could roil the electoral prospects of the Congress in the key contests to the state...
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