ANALYSIS OF MGNREGP IN TAMIL NADU (2011-12 TO 2018-19)

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International Journal of Management (IJM)
Volume 11, Issue 12, December 2020, pp. 4212-4218, Article ID: IJM_11_12_401
Available online at https://iaeme.com/Home/issue/IJM?Volume=11&Issue=12
ISSN Print: 0976-6502 and ISSN Online: 0976-6510
DOI: https://doi.org/10.34218/IJM.11.12.2020.401
© IAEME Publication Scopus Indexed
ANALYSIS OF MGNREGP IN TAMIL NADU
(2011-12 TO 2018-19)
Dr. P. Natarajamurthy
Associate Professors, Department of Economics, Bharathidasan University,
Tiruchirappalli, Tamil Nadu, India
Dr. N. Prasanna
Associate Professors, Department of Economics, Bharathidasan University,
Tiruchirappalli, Tamil Nadu, India
ABSTRACT
The MGNREGP is an important strategy in the current economic context of global
economic crisis and national economic slowdown, where raising aggregate demand is
a major task for the government. Fiscal policy that provides more wage income directly
to unskilled workers in the rural areas is likely to be much more effective in increasing
aggregate incomes than other forms of public spending. Simultaneously, the manual
work provided by the act creates sustainable assets that promote the economic and
infrastructure development of the village. The main objective of the study is to analyse
the various aspects of MGNEGP in Tamil Nadu, like job cards applied and issued,
households and persons work demanded and allotted, percentage of caste-wise job
cards issued, labour expenditure per household and person, and percentage of labour
expenditure to material expenditure.
Key words: MGNEGP, Tamilnadu, economic
Cite this Article: P. Natarajamurthy and N. Prasanna, Analysis of MGNREGP in Tamil
Nadu (2011-12 to 2018-19), International Journal of Management (IJM), 11(12), 2020,
pp. 4212-4218.
https://iaeme.com/Home/issue/IJM?Volume=11&Issue=12
1. INTRODUCTION
Poverty is an intolerable human condition that should not continue for a long time. In order to
develop the country, the first and foremost task is to eliminate poverty and reduce the social
imbalances. According to the Global Hunger Index 2020 India now ranks 94th out of 107
countries in terms of hunger, and continues to be in the ‘severe’ hunger category and 14 percent
of India’s population is undernourished. Poverty is majorly a rural problem. Large number of
poorest people live in semi-arid tropical regions. The main factor which influences poverty is
unemployment in India especially in rural areas. One huge programme focusing on employment

Analysis of MGNREGP in Tamil Nadu (2011-12 to 2018-19)
in India is the Mahatma Gandhi National Rural Employment Guarantee Programme
(MGNREGP).
MGNREGP was implemented under the Mahatma Gandhi National Rural Employment
Guarantee Act (MGNREGA), which is one of the most progressive legislations enacted in India
since independence. It guarantees 100 days of employment to each household at a minimum
prescribed rate. The Act aims to provide employment to more than 20 million households, out
of which more than 50 per cent of the beneficiaries come from Scheduled Castes/Scheduled
Tribes (SC/ST) households. India has had very rich experience in the implementation of anti-
poverty programmes, yet, poverty persists. After independence and particularly from the Fifth
Five Year Plans onwards, Government of India has initiated several rural development
programmes for raising rural employment and alleviation of rural poverty. The country has been
implementing both wage employment and asset distribution programmes, as the benefits of
development do not automatically reach the poorest of the poor.
The MGNREGP is an important strategy in the current economic context of global
economic crisis and national economic slowdown, where raising aggregate demand is a major
task for the government. Fiscal policy that provides more wage income directly to unskilled
workers in the rural areas is likely to be much more effective in increasing aggregate incomes
than other forms of public spending. Simultaneously, the manual work provided by the act
creates sustainable assets that promote the economic and infrastructure development of the
village.
The main objective of the study is to analyse the various aspects of MGNEGP in Tamil
Nadu, like job cards applied and issued, households and persons work demanded and allotted,
percentage of caste-wise job cards issued, labour expenditure per household and person, and
percentage of labour expenditure to material expenditure. The study used secondary data
accessed from the Government of India website during the period 2011-12 to 2020-21. The
Percentage, Average, Percentage change over the year and Per capita analyses were used.
2. REVIEW OF LITERATURE
Sharma and Sharma (2011) have emphasized the importance of Government’s wage
employment schemes. From the wage employment schemes people get multiple level of
benefits, i.e., income generation, maintain livelihood and assets creation.
Sanyal (2011) emphasizes the historical importance of MGNREGA and the criticism of
earlier rural employment programmes. The MGNREGP is the largest employment guarantee
programme in the world. It is a great move towards generating the right to work in a country
with a population over a billion with an ambition to build durable assets and basic rural
infrastructural facilities in the country.
Chakradhar Buddha and Diego Maiorano (2014) concludes India's scheduled tribes are
among the most deprived socio-economic groups and the Mahatma Gandhi National Rural
Employment Guarantee scheme has great potential in tribal areas. This article lists measures
that could radically improve implementation of the scheme in tribal areas.
Pamecha and Sharma (2015) Studies on ‘Socio-Economic Impact of MGNREGA- A Study
Undertaken in the Village of Dungarpur District of Rajasthan’. The study assessed the socio-
economic impact of employment guarantee scheme of MGNREGA on the life of beneficiaries
of Dungarpur district. The study examines the changing expenditure pattern of the job card
holders and also tried to observe the socio-economic condition of migrant people. Mostly males
were more migrated rather than women. Mostly respondents agree that the contribution of
MGNEGRA in their annual income is positive.

P. Natarajamurthy and N. Prasanna
De and Jana (2013) in their research with the title of ‘Implementation of MGNREGA in
Rural West Bengal: A Case Study of Sonamukhi Block, Bankura District, West Bengal’
analysed the impact of the programme on the targeted beneficiaries and reread the current status
of implementation of the MGNREGA scheme in Sonamukhi block. A well-structured open
ended and clarified interview schedule was used to collect data and found that NREGA target
of poverty was satisfactory. Every respondents express their willingness to work under the
scheme.
3. RESULTS AND DISCUSSION
Table 1 provides the job card applied and issued details for Tamil Nadu from the year 2011-12
to 2018-19, the difference between job card applied and issued was worked out. The job card
applied ranges from 80,10,977 to 93,44,972 and the job cards issued ranges from 79,04,990 to
92,28,418. The difference between applied job cards and issued job cards shows a vast increase
from 48,519 in the year 2011-12 to 1,35,191 in 2018-19. Which indicates higher demand by the
jobs for the people and lower supply for the jobs for the people.
Table 1 Job Card Applied and Issued in Tamil Nadu (2011-12 to 2018-19)
Year
Total Households
applied for Job Cards
Total Job Cards
issued
Difference
2011-12 84,19,826 83,71,307 48519
2012-13 93,44,972 92,28,418 116554
2013-14 85,98,545 84,97,290 101255
2014-15 83,40,268 82,24,953 115315
2015-16 86,06,114 84,80,013 126101
2016-17 80,10,977 79,04,990 105987
2017-18 80,82,248 79,64,884 117364
2018-19 83,08,437 81,73,246 135191
Source: nregarep2.nic.in
Table 2 shows the total households demanded work and allotted works through MGNREGP
in Tamil Nadu from 2011-12 to 2018-19, the difference between total households demanded
work and allotted works were calculated for every year. The lowest households demanded work
in the study period was 56,81,511 in the year 2014-15, while the highest wok demanded was
71,05,314 in the year 2012-13. The total households allotted work was lowest in the year 2014-
15 at 56,79,707, while the highest allotted was 71,04,257 in the year 2012-13. The difference
between total households demanded and allotted was lowest in the year 2018-19 (164), while
the highest was observed in the year 2011-12 (1715). It was observed from the table, there is
wide fluctuations in the difference between total households demanded work and total work
allotted to the works, which could be addressed and make it minimum.
Table 2 Households Demanded and Allotted Works in Tamil Nadu (2011-12 to 2018-19)
Year
Total Households
demanded work
Total
Households
allotted work
Difference
2011-12 63,75,637 63,73,922 1715
2012-13 71,05,314 71,04,257 1057
2013-14 63,09,175 63,08,449 726
2014-15 56,81,511 56,79,707 1804
2015-16 60,94,229 60,93,481 748
2016-17 62,95,522 62,95,196 326
2017-18 58,55,644 58,55,204 440
2018-19 58,34,288 58,34,124 164

Table 3 throws light on the total persons demanded work and allotted work through
MGNREGP in Tamil Nadu from 2011-12 to 2018-19, the difference between demanded work
and allotted work for persons were calculated for every year. The persons demanded work in
the study period was lowest at 69,36,173 in the year 2018-19, while the it was highest at
1,07,42,196 in the year 2012-13. The total persons allotted work was lowest in the year
2017-18 by 69,08,936, while the highest was 1,07,40,310 in the year 2012-13. The difference
between total persons demanded work and allotted work was lowest in the year 2018-19 (185)
while the highest was observed in the year 2014-15 (3951). The difference between total
persons demanded work and total persons allotted work was reduced significantly in the year
2018-19, which shows government was taking some initiatives in reducing the difference.
Table 3 Persons Demanded and Allotted Works in Tamil Nadu (2011-12 to 2018-19)
Year
Total persons
demanded work
Total persons
Allotted work
Difference
2011-12 98,07,662 98,04,557 3105
2012-13 1,07,42,196 1,07,40,310 1886
2013-14 87,80,123 87,78,265 1858
2014-15 70,10,533 70,06,582 3951
2015-16 75,61,561 75,59,151 2410
2016-17 77,68,980 77,68,298 682
2017-18 69,09,924 69,08,938 986
2018-19 69,36,173 69,35,988 185
Table 4 exhibits the caste-wise Job cards issued in Tamil Nadu during 2011-12 to 2018-19.
During the study period, the percentage difference between highest and lowest job cards issued
for SC, ST and Non-SC/ST was 2.52, 0.11 and 2.18 respectively. The average percentage caste-
wise job cards issued for SC, ST and Non-SC/ST was 27.66, 1.56 and 70.79 respectively.
Table 4 Percentage of Caste wise Job Card Issued to SC, ST, and Non-SC/ST (2011-12 to 2018-19)
Year SC % to total
ST % to
Total
Non-
SC/ST %
to Total
Total
2011-12 26.75 1.60 71.65 100
2012-13 28.95 1.58 69.47 100
2013-14 28.80 1.61 69.60 100
2014-15 28.37 1.60 70.04 100
2015-16 27.66 1.56 70.78 100
2016-17 27.39 1.50 71.11 100
2017-18 26.90 1.51 71.59 100
2018-19 26.43 1.52 72.06 100
Difference between
Maximum and
Minimum 2.52 0.11 2.18
Average 27.66 1.56 70.79
Table 5 provides the Labour Expenditure per household in Tamil Nadu during 2011-12 to
2018-19. The lowest Labour Expenditure per Household was Rs. 43,69.1 in the year
2011-12, while the maximum Labour Expenditure per household was Rs. 9123.4 in the year
2017-18. However, the Labour Expenditure per Household was increasing steadily up to
2017-18, then there was a drastic fall in the year 2018-19 by 18.97 per cent compared to the

previous year. The average Labour Expenditure per household in Tamil Nadu during 2011-12
to 2020-21 was Rs. 6908.41. It was observed from the table, that the percentage over the years
of Expenditure in Households allotted was wide fluctuated. In the study period, three years was
registered a negative change, it implies that the Labour Expenditure spent by government was
lesser than the previous year’s respectively, which could not be in the future.
Table 5 Labour Expenditure per Household in Tamil Nadu (2011-12 to 2018-19)
Year
Total
Households
Allotted
work
Labour Exp.
(in Lakhs)
Expenditure per
Households
allotted
Percentage
change over
the years
2011-12 63,73,922 2,78482 4369.1 -
2012-13 71,04,257 3,94,149 5548.1 26.98
2013-14 63,08,449 3,64,069 5771.1 4.02
2014-15 56,79,707 3,12,021 5493.6 -4.81
2015-16 60,93,481 4,63,338 7603.8 38.41
2016-17 62,95,196 4,44,766 7065.2 -7.08
2017-18 58,55,204 5,34,194 9123.4 29.13
2018-19 58,34,124 4,31,276 7392.3 -18.97
Average 6545.83
Table 6 shows the Labour Expenditure per Person in Tamil Nadu during 2011-12 to 2018-
19. The lowest Labour Expenditure per Person was Rs. 2840.3 in the year 2011-12, while the
highest Labour Expenditure per Person was Rs. 7731.9 in the year 2017-18. However, the
Labour Expenditure per Person was not consistent during the study period. The percentage of
Labour Expenditure per Person was highest at 29.20 for the year 2012-13 followed by 28.57 in
2015-16, and 13.01 in 2012-13. The average Labour Expenditure per Person in Tamil Nadu
during 2011-12 to 2018-19 was 5114.44. The fluctuation of Labour Expenditure per Person was
lesser than Labour Expenditure per Households, which shows the government was giving
importance to persons than the Households, it may lead to exclude some households.
Table 6 Labour Expenditure per Person in Tamil Nadu (2011-12 to 2018-19)
Year
Total persons
Allotted work
Labour Exp.
(in Lakhs)
Expenditure
per Persons
allotted
Percentage
change over
the years
2011-12 98,04,557 2,78482 2840.3 -
2012-13 1,07,40,310 3,94,149 3669.8 29.20
2013-14 87,78,265 3,64,069 4147.4 13.01
2014-15 70,06,582 3,12,021 4453.3 7.38
2015-16 75,59,151 4,63,338 6129.5 28.57
2016-17 77,68,298 4,44,766 5725.4 7.06
2017-18 69,08,938 5,34,194 7731.9 1.44
2018-19 69,35,988 4,31,276 6217.9 2.75
Average 5114.44
Table 7 exhibits the percentage of Material Expenditure to Labour Expenditure in Tamil
Nadu during the period 2011-12 to 2018-19. The Material Expenditure increased steadily from
Rs. Zero in the year 2011-12 to Rs. 1,12,965 Lakhs in the year 2018-19. The percentage of
Material Expenditure to Labour Expenditure shot up to 21.77 in 2015-16 and reached the peak

of 26.19 in the year 2018-19, which implies that, the main aim of providing employment was
slowly moving towards capital intensive one.
Table 7 Percentage of Material Expenditure to Labour Expenditure in Tamil Nadu (2011-12 to 2018-19)
Year
Labour Exp.
(in Lakhs)
Material Exp. (in
Lakhs)
Percentage of
Material
Expenditure to
Labour
Expenditure
2011-12 278482 0 0.00
2012-13 3,94,149 2 0.001
2013-14 3,64,069 475 0.13
2014-15 3,12,021 21,168 6.78
2015-16 4,63,338 1,00,850 21.77
2016-17 4,44,766 87,810 19.74
2017-18 5,34,194 61,435 11.50
2018-19 4,31,276 1,12,965 26.19
4. CONCLUSION
The MGNREGP started only 15 years ago, but the difference between in the total households
applied for job cards and job cards issued had increased from 48,519 to 1,35,191, i.e., about
three times in the study period, while the difference in, total households demanded for works
and total works allotted; total persons demanded and allotted were marginal. The percentage of
caste-wise job cards issued to the total job cards issued was found consistent in the study period
in all the categories, namely SC, ST and Non-SC/ST. Labour expenditure per house hold
witnessed a wide variation in the percentage change over the years in Tamil Nadu in the study
period and ranged from -18.97 per cent to 38.41 per cent. Likewise, the labour expenditure per
person also found wide variations from 1.44 per cent to 29.20 per cent. The material expenditure
was zero in the year 2011-12 and reached to the peak of Rs. 1,12,965 Lakhs with huge
fluctuations in the study period.
To conclude, the reasons for the difference in job card applied and issued needs to identified
and narrowed down as much as possible, likewise the reasons for increasing material
expenditure should be checked, otherwise from the above findings, it could be said that the
largest rural employment programme in the world would move from labour intensive to capital
intensive works, which would be totally against to the basic aim of the programme.
REFERENCES
[1] Chakradhar Buddha Diego Maiorano (2014), “MGNREGA in Andhra Pradesh's Tribal Areas”,
Economic and Political Weekly, 49(51), pp.15-17
[2] De and Jana (2013), “Implementation of MGNREGA in Rural West Bengal: A Case Study of
Sonamukhi Block, Bankura District, West Bengal”, Asian Journal of Multidimensional
Research, 2(6), pp.17-30.
[3] Pamecha and Sharma (2015), “Socio-Economic Impact of MGNREGA- A Study Undertaken
in the Village of Dungarpur District of Rajasthan”, International Journal for Scientific and
Research Punlications, 5(1), pp. 1-4.

[4] Sharma, Sudhir and Sharma, Jogriti (2011), “Financial and Social Inclusion through
MGNREGS in the State of Madhya Pradesh”, The Indian Journal, Special Issue, December, pp.
550-559.
[5] Sanyal, Subhashree (2011), “Rural Employment Generation Programmes in India: An
Analytical Review”, Kurukshetra, 59(3), pp.15-17.

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