MGNREGA Employment Guarantee

The Mahatma Gandhi National Rural Employment Guarantee Act, 2005 creates a legal, demand-based guarantee of wage employment in rural areas. It entitles every rural household whose adult members volunteer for unskilled manual work to at least 100 days of such employment in each financial year, subject to the Act's procedures.

Who holds the entitlement

The entitlement belongs to a rural household, not separately to every individual member. Adult members willing to perform unskilled manual work may register with the Gram Panchayat, obtain a job card and submit a demand for work.

• The guarantee applies in rural areas notified under the Act.
• The ceiling of 100 days is calculated for the household collectively in a financial year.
• Because employment follows an application, MGNREGA is a demand-driven programme rather than a fixed beneficiary allocation.

Time-bound guarantee and compensation

Under Section 3, employment must be provided within 15 days of receiving an application or from the date on which employment is sought, whichever is later. If work is not provided within this period, the applicant becomes entitled to an unemployment allowance under Section 7, subject to the Act and the state scheme.

• The unemployment allowance is payable by the State Government.
• Wages must ordinarily be paid weekly and, in any case, within a fortnight after the work is done.

Conditions protecting access

Work should ordinarily be provided within 5 km of the applicant's village. If it is provided farther away, the worker is entitled to an additional 10 per cent of the wage rate for extra transport and living expenses.

• Priority must be given to women so that at least one-third of beneficiaries are women who have registered and requested work.
• The statutory design links employment with worksite facilities, transparency measures and social audit.

How UPSC asks this