MGNREGS Wage Revision: Parliamentary Panel Recommendations
Why in the news
A parliamentary committee pressed the government to raise MGNREGS wages to match the rising cost of living and voiced displeasure that earlier recommendations went unheeded.
Key recommendations
- Revise wage rates in view of inflation.
- Adopt a uniform wage rate across all States and UTs, since the scheme is centrally funded.
- Rework the wage formula: the present link to the CPI for agricultural labourers does not reflect inflation well.
- Release West Bengal’s rightful dues for eligible years, except the year under court dispute.
| Item | Figure |
|---|---|
| Lowest wage | ₹234 (Nagaland, Arunachal Pradesh) |
| Highest wage | ₹374 (Haryana, Sikkim) |
| Pending liabilities (Feb 15) | ₹23,446.27 crore |
| Of which wage dues | ₹12,219.18 crore |
| Allocation this fiscal | ₹86,000 crore |
| Left for new work | ₹62,553.73 crore |
Concerns
- Clearing old dues eats into this year’s allocation, weakening the scheme.
- The Centre froze West Bengal funds over corruption allegations, citing Section 27 of MGNREGA, 2005, which caused distress migration.
- The Trinamool Congress protested; Chief Minister Mamata Banerjee wrote to the Centre and launched a state rural job scheme, Karmashree.
Exam angle
- Full form: Mahatma Gandhi National Rural Employment Guarantee Scheme.
- Wage indexation: CPI for agricultural labourers.
- Legal provision used to stop funds: Section 27 of MGNREGA, 2005.