January 16, 2023
Reddy Mohith

MGNREGA - Mahatma Gandhi National Rural Employment Guarantee Act

Rich and poor are two of the most significant differences every country faces today, particularly India. To comprehend these distinctions, one must go back a few decades. And the Indian government initiated MGNREGA to bridge the rich-poor divide (Mahatma Gandhi National Rural Employment Guarantee Act).

What is MGNREGA?

The Indian government passed the Mahatma Gandhi National Rural Employment Act (MGNREGA) in August 2005, which usually was called National Rural Employment Guarantee Act (NREGA) in September 2005. These acts establish the Indian people's right to work. As a result, MGNREGA is recognized in India as a labor law and a security measure.


The MGNREGA act was presented by the Minister of Rural Development, Raghuvansh Prasad Singh, and enacted by the Parliament of India. The primary goal of passing the statement is to provide livelihood security to people living in rural areas by providing wage employment to every household adult who volunteers to perform unskilled manual labor for at least 100 days in a fiscal year.

However, former Prime Minister P. V. Narasimha Rao laid the groundwork for this action in 1991. After several sessions, the Indian Parliament approved the MGNREGA proposal, primarily implemented in 625 districts across several Indian states. So, based on the results of the first trial, every community in several Indian states got introduced to MGNREGA on April 1st, 2008.

Concerning the MGNREGA, the Indian government called it the world's most innovative social security and massive public works program. In contrast, the World Bank called it a shining example of rural development.

Implementation of MGNREGA

The Indian government implemented the act in collaboration with the state governments. Similarly, the state government promotes it through gram panchayats (GPs). Aside from economic security and rural assets, the MGNREGA aims to safeguard the environment, encourage rural women, decrease rural-urban migration, support social equity, and ensure accountability and transparency in principle execution, work allocation, finance pattern, monitoring, and evaluation. Contractors are not permitted to work for the program to be successfully implemented.

One of MNNREGA's strengths is its emphasis on women's empowerment. One-third of the employee work is reserved for women in the program to empower women by paying men and women the same wage. MGNREGA may be the best source for the nation's youth to find work - to gain experience for higher-level jobs or earn a living. Another advantage of MGNREGA is that it allows people to negotiate their wages based on market conditions.

Although it is getting implemented, there are several controversies. Despite this, MGNREGA is one of the best rural development schemes launched by the Indian government. Rural people can survive day-to-day life and stop emigrating to urban areas for work under MGNREGA. MGNREGA not only creates but also supports job opportunities.

Implementation Status

1. Approximately 200 districts were introduced to the program in 2006-07, with another 130 communities added to the list in the fiscal year 2007-08.

2. The MGNREGA program was extended to all rural areas of the country in April 2008, encompassing all states and union territories, 614 districts, 6,096 blocks, and 2.65 lakh gram panchayats.

3. The scheme covered 648 districts, 6,849 blocks, and 2,50,441 gram panchayats in 2015-16.

Goals and Objectives

1. The primary goal of MGNREGA is to improve people's lives in rural areas by providing wage employment for at least 100 days per fiscal year for adults 18 years and older who volunteer to do unskilled manual labor.

2. To build long-lasting assets such as roads, ponds, and canals.

Note: After filing for employment, the applicant should be able to find work within 5 kilometers within 5 days to earn the minimum wage. When a job is not available, the applicant should receive unemployment benefits within 15 days of applying.

As a result, if the government fails to provide work, the system should be obligated to provide unemployment benefits, which will be a legal entitlement to obtain employment under the MGNREGA.


1. Is the Employment Guarantee Act (MGNREGA) limited to a specific state or district?

No, MGNREGA intends to roll out the program in every rural area.

2. Who are the key stakeholders in the Employment Guarantee Act (MGNREGA)?

Wage earners, three-tier Panchayati Raj institutions (PRIs), gram Sabha (GS), Program Officers at the Block level, district program coordinator (DPC), state government, MoRD, civil society, and others are the key stakeholders.

3. What are wage seekers' rights in MGNREGAS?

Registration application, receiving a job card (JC), work application, receiving a dated receipt for the application made, time selection, the duration for applied work, 15 days of employment, drinking water, and first aid facilities on the worksite are a few of the rights granted to wage-seekers under the MGNREGA.


Last In First Out (LIFO): Overview and Differences
GST Rates and HSN Code for Chalk
GST Under RCM on Commission Charged on Global Sales by E-marketplace Websites

Related Blog Post