The document presents a review and analysis of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) program across five Indian states and the country as a whole. It finds that states like Rajasthan, Andhra Pradesh, and Tamil Nadu have had greater success due to factors like involvement of self-help groups, civil society organizations, and panchayati raj institutions. However, states like Gujarat and Jharkhand have faced challenges with timely wage payments, awareness, and rural institutional capacity. The analysis is based on secondary data from MGNREGA program sources on outcomes such as number of households completing 100 days of work, average person-days of employment, and women

1. Review of MNREGA in India
Comparing Data of 5 Select States
with the Overall Performance of the
Country
PRESENTED BY - NISHANT KUMAR
II YEAR Integrated M.SC. ECONOMICS
I120412
Seminar - Microeconomics
Nishant Kumar October 12, 2014

2. What is MGNREGA?
 The Mahatma Gandhi National Rural Employment
Guarantee Act (MGNREGA) is an Indian law that aims to
guarantee the 'right to work' and ensure livelihood security
in rural areas by providing at least 100 days of
guaranteed wage employment in a financial year to every
household whose adult members volunteer to do unskilled
manual work.
• MGNREGA was notified on 2nd February 2006 in 200 districts,
extended to additional 130 districts in April 2007 and thereafter
notified in the remaining rural areas of the country in April 2008
. The Act spans 619 districts , 6400 Blocks , 6 lakh villages and
around 2.35 lakh village Panchayats.
Nishant Kumar October 12, 2014

3. Nishant Kumar October 12, 2014

4. History Review
 India has three decades of experience in implementing
employment generation programmes. The concept of
creating employment in public works is not new.
 It must be remembered that the NREGA was enacted
after a long struggle by agricultural labourers , in
different parts of the Maharashtra Legislature Council,
who inspired the Employment Guarantee Scheme in
response to the three - year drought in Maharashtra
between 1972 and 1974.
Nishant Kumar October 12, 2014

5. KEY PROCESSES
Application for job card
Issue of job card
Demand for employment
Work allocation
Payment of wages
Selection of works
Approval of shelf of
projects
Informing village PRI
Preparation of estimates
And approvals
Verification
Acknowledgement of
demand
Maintenance of muster roll
Nishant Kumar October 12, 2014

6. Objective of the ACT
 Generating Productive Assets
 Protecting the Environment
 Rural empowerment of Women
 Reducing Rural-Urban Migration
 Fostering Social equity
 Development initiative
 Public investments for creation of durable assets
Nishant Kumar October 12, 2014

7. Objective of Study
Analysing the performance of MNREGA in select
states with the overall performance of all states. The
states which have been analyzed are:
 Gujarat
 Tamil Nadu
 Rajasthan
 Jharkhand
 Andhra Pradesh
Nishant Kumar October 12, 2014

8. Methodology & Data Source
 This study uses mainly secondary data.
 For assessing the performance of MGNREGA in 5
States with the Overall Performance of the Country .
 These 5 states are chosen on the basis of their social
and economic performance. Percentage HHs who have
completed 100 days, Average persondays per HH,% of
Women participation and Work Completion Rate has
been analysed show the trend.
 Data has been taken from nrega.nic.in.
Nishant Kumar October 12, 2014

9. 20
18
16
14
12
10
8
6
4
2
0
% of HHs who have completed 100 Days
2012-2013 2013-2014
Nation
al
Gujara
t
Rajast
han
A.P
T.N
JHK
%
Nishant Kumar October 12, 2014
source:nrega.nic.in

10. AVERAGE PERSONDAYS PER
HOUSEHOLD(in days)
70
60
50
40
30
20
10
0
2011-2012 2012-2013 2013-2014
National
Average
Persondays
Gujarat
Rajasthan
A.P
Nishant Kumar October 12, 2014
source:nrega.nic.in

11. 90
80
70
60
50
40
30
20
10
0
2011-2012 2012-2013 2013-2014
National Women
Participants(Persond
ays)
Gujarat
Rajasthan
Nishant Kumar October 12, 2014
source:nrega.nic.in

12. 100
90
80
70
60
50
40
30
20
10
0
2011-2012 2012-2013 2013-2014
National Work
Completion
Rate
Gujarat
Rajasthan
A.P
Work Completion Rate(in
%)
Nishant Kumar October 12, 2014
source:nrega.nic.in

13. Notified Wage Rate Vs Min. Agr.
Wage Rate(in Rs.)
180
160
140
120
100
80
60
40
20
0
MGNREGA WAGE
2011-2012
MIN. AGR. WAGE
RATE 2011-2012
Nishant Kumar October 12, 2014
source:nrega.nic.in

14. FINDINGS
Nishant Kumar October 12, 2014

15. Factor for Low Performance of
MGNREGA in INDIA
 Delay in Payments – inadequate staff, irregular flow of
funds. States have failed to disburse wages within 15 days
as mandated by MGNREGA. In addition, workers are not
compensated for a delay in payment of wages.
 Lack of awareness – lack of awareness about rights &
entitlements and inability to submit written applications
 Poor states have higher demand for work but a lesser
capacity to implement MGNREGA effectively because of
institutional factors and end up with greater unmet demand
for work.
 Insufficient involvement of PRI1s. a large amount of
funds allocated for MGNREGA have remained
underutilised due to involvement of PRIs
1.PRI-PRI Panchayati Raj Institution
Nishant Kumar October 12, 2014

16. Reason for Good Performance of
MNREGA IN Rajasthan, A.P AND T.N
 Self-Help Groups and Civil Society Organisations
encouraging women, SC and ST participation in
MGNREGA.
 Civil Society organisations, NGOs, Political
representatives, Civil Servants and Workers of Rajasthan
and Andhra Pradesh collectively organise social audits to
prevent mass corruption under the MGNREGA.
 In these states, three-tier PRI played a important role for
implementation of MGNREGA .
 These states have successfully employed computerization
and e-governance mechanisms which helps widespread
reach. For example, funds are being transferred
electronically .
Nishant Kumar October 12, 2014

17. Continued
 In Rajasthan , The MGNREGA permits wage
payments on daily rate as well as on piece rate.
Existence of Peer Monitoring system and Mate
Monitoring system helps in better supervision by the
authorities.
 MGNREGA has reduced traditional gender wage
discrimination.
 In the Worksites there are facilities of rest room,
crèche facilities for the workers babies, safe water and
FIRST AID KIT.
Nishant Kumar October 12, 2014

18. Cause For Bad Performance of
MGNREGA in Gujarat and
Jharkhand
 Misfit: A competitive local labour market, with several
employment opportunities outside MGNREGA also
offers limited scope for MGNREGA to influence the
labour market. WMNREGA<wLOCAL.
 Potentially Significant Impact: wage payment delays
prompted villagers to seek employment outside
MGNREGA since they depended heavily on wage
payments made weekly.
 In Jharkhand, insufficient involvement of PRIs(First
election was conducted in Nov 2010).
 State government do not take necessary steps to
implement the policies suggested by the central
Government.
 Lack of Gram Rojgar Sevak.
Nishant Kumar October 12, 2014

19. Suggestions
• The MGNREGA should be linked with other
developmental programmes like Drought Prone Area
Programme, National Horticulture Mission etc.
• To ensure greater dissemination of information and
participation of rural people at every stage of MGNREGA,
form planning and execution, the role of Civil Society
Organisations should be emphasized.
 Opening of Help Centres in all blocks which will create
awareness on basic entitlements, processes and procedures
for accessing entitlements under MGNREGA.
 The focus of the programme has been on grassroots
mobilisation for securing the rights of MGNREGA
workers.
Nishant Kumar October 12, 2014

20. CONCLUSION:
 Performance of MGNREGA in a particular state can be
expected to depend on the quality of governance.
 The training of mates has certainly helped to protect the
entitlements of labourers - in the sense of provision of
mandatory worksite facilities, as well as protecting them
from corrupt practices.
 Frequent meetings, high participation at the Gram
Sabhas(GS) convened for planning MGNREGA works
further increase the implementation of the Scheme at the
village level in many places.
 In Industrial states people are not motivated to work under
the MGNREGA due to less wage rate.
Nishant Kumar October 12, 2014

21. References
 MGNREGA SAMEEKSHA, An Anthology of
Research Studies on the MGNREGA,2005, Ministry
of Rural Development,GOI.
 Reetika Khera (July 2009): “Group Measurement” of
NREGA work: The Jalore Experiment, Working Paper
No. 180.
 Neera Burra, Transparency and accountability in
employment programmes: the case of NREGA in
Andhra Pradesh
Nishant Kumar October 12, 2014

22. Thank You
Nishant Kumar October 12, 2014