E-Paper
Govt readies for spike in MGNREGS demand
It is among the activities, including the conditional reopening of industries in rural areas, that the Centre has allowed outside the so-called Covid-19 containment zones from April 20. The lockdown was extended until May 3 earlier this week.
The Centre is preparing for a surge in the demand for jobs under the flagship Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) as tens of thousands of migrant workers left jobless by the lockdown imposed to check the Covid-19 spread have returned to their homes.
The MGNREGS will restart on Monday with a focus on irrigation and water conservation works. It is among the activities, including the conditional reopening of industries in rural areas, that the Centre has allowed outside the so-called Covid-19 containment zones from April 20. The lockdown was extended until May 3 earlier this week.
The government has made an initial provision for 2807.6 million person-days of work—the highest ever—under the flagship scheme for the financial year (FY) 2020-21 with unemployment rising due to the Covid-19 pandemic.
The MGNREGS last year generated 2767.6 million person-days of work largely due to drought in parts of India. This year, despite predictions of a normal monsoon, the Centre has arranged for more MGNREGS work.
Between FY 2018-19 and FY 2016-17, the world’s largest job guarantee scheme generated 2565.6 million, 2313.1 million and 2209.3 million person-days of work.
Officials said the higher person days of work may also push the government to inject more money into the scheme; the government has to pay higher wages due to an upward revision from April 1.
The Centre has announced between Rs 13 and Rs 34 increase in wages under the scheme, which is the highest in six years. There was no wage increase last year in 10 states. In one case, the wage rate was lowered. The new wages will help 128 million MGNREGS workers.
Union rural development minister Narendra Singh Tomar reviewed his ministry’s flagship schemes on Thursday and cleared the release of Rs 7,300 crore under the MGNREGS to clear pending dues for FY 2019-20 and to meet wages due for the first fortnight of FY 2020-2021.
According to officials aware of the matter, Tomar advised his ministry to help four million people, who have received some money under the rural housing scheme or Pradhan Mantri Gramin Awaas Yojana, to quickly complete building their houses. The Centre has so far released Rs 800.63 crore to the states out of Rs 19,500 crore budget under the scheme, they added.
The officials said the focus, however, remains sharply on MGNREGS. They indicated that large projects that involve many workers might be avoided for some time to adhere to the social distancing norms in place to beat the pandemic. Work like building farm ponds, cattle sheds or houses under the PMAYG will be pushed, for now, the officials said.
Himanshu, an economist at New Delhi’s Jawaharlal Nehru University who uses only one name, said it is clear that the government will have to pump in more funds as a huge section of Indian workforce will see MGNREGS as its lifeline in this situation.
Economist Reetika Khera said the government should consider paying wages even if some people are unwilling to go to work because of the health risks involved. “We also have to bear in mind that like us, the MGNREGS workers will be nervous about joining work that involves gatherings. This will be an impediment to claiming their legal right. In this situation, the government should give 10 days of wages to every MGNREGS worker for three months. Further, the government must fix the issue of failed and diverted payments arising due to the Aadhaar-payment bridge system.”
