A parliamentary panel has raised serious concerns over persistent delays in wage payments under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), urging the Union government to implement systemic reforms, enhance wage rates, and expand the scheme’s coverage to better support rural workers.
In its eighth report tabled in Parliament on Thursday, April 3, the Standing Committee on Rural Development and Panchayati Raj noted that despite digital advancements, lakhs of rural workers continue to face long waits for wage disbursals, reported The New Indian Express.
The panel called for immediate measures to rectify systemic inefficiencies and ensure the timely release of funds to beneficiaries.
According to the committee, delays in wage payments are causing significant financial distress among rural households that rely on MGNREGS for their livelihood.
The Indian Express reported that to address this, the committee recommended revising the wage structure to a minimum of Rs 400 per day and increasing the guaranteed number of workdays from the current 100 to at least 150 days annually.
Currently, MGNREGS wages vary across states, ranging from Rs 241 to Rs 400 per day. However, the panel emphasized that these rates are inadequate in the face of rising inflation and urged a revision that aligns with current economic conditions.
The committee also highlighted a worrying trend of declining budgetary allocations for MGNREGS, despite a surge in demand for jobs under the scheme. It recommended stronger financial backing, especially in light of inflation-adjusted estimates.
According to a recent statement by the NREGA Sangharsh Morcha, the 2025–26 budget allocation for MGNREGS, when adjusted for inflation, is effectively Rs 4,000 crore lower than the previous year. The scheme’s share of the GDP has dropped from 0.26% in 2024–25 to 0.24% in the latest budget.
Apart from wage and employment concerns, the report called for improved social audits, better grievance redressal mechanisms, and greater inclusion of women workers. It also addressed the inadequacy of pension amounts under the National Social Assistance Programme (NSAP), stating that the current rates are insufficient to meet basic needs. The committee urged the government to enhance pension payouts and reinforce social security measures for vulnerable populations.
Under the MGNREG Act, rural households are entitled to 100 days of wage employment each year. However, implementation challenges, funding shortfalls, and systemic delays continue to undermine the scheme’s effectiveness, the panel warned.
The committee’s recommendations are expected to add pressure on the government to revisit the structure and funding of one of India’s most crucial rural employment programmes.
In its eighth report tabled in Parliament on Thursday, April 3, the Standing Committee on Rural Development and Panchayati Raj noted that despite digital advancements, lakhs of rural workers continue to face long waits for wage disbursals, reported The New Indian Express.
The panel called for immediate measures to rectify systemic inefficiencies and ensure the timely release of funds to beneficiaries.
According to the committee, delays in wage payments are causing significant financial distress among rural households that rely on MGNREGS for their livelihood.
The Indian Express reported that to address this, the committee recommended revising the wage structure to a minimum of Rs 400 per day and increasing the guaranteed number of workdays from the current 100 to at least 150 days annually.
Currently, MGNREGS wages vary across states, ranging from Rs 241 to Rs 400 per day. However, the panel emphasized that these rates are inadequate in the face of rising inflation and urged a revision that aligns with current economic conditions.
The committee also highlighted a worrying trend of declining budgetary allocations for MGNREGS, despite a surge in demand for jobs under the scheme. It recommended stronger financial backing, especially in light of inflation-adjusted estimates.
According to a recent statement by the NREGA Sangharsh Morcha, the 2025–26 budget allocation for MGNREGS, when adjusted for inflation, is effectively Rs 4,000 crore lower than the previous year. The scheme’s share of the GDP has dropped from 0.26% in 2024–25 to 0.24% in the latest budget.
Apart from wage and employment concerns, the report called for improved social audits, better grievance redressal mechanisms, and greater inclusion of women workers. It also addressed the inadequacy of pension amounts under the National Social Assistance Programme (NSAP), stating that the current rates are insufficient to meet basic needs. The committee urged the government to enhance pension payouts and reinforce social security measures for vulnerable populations.
Under the MGNREG Act, rural households are entitled to 100 days of wage employment each year. However, implementation challenges, funding shortfalls, and systemic delays continue to undermine the scheme’s effectiveness, the panel warned.
The committee’s recommendations are expected to add pressure on the government to revisit the structure and funding of one of India’s most crucial rural employment programmes.
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