The document outlines the key aspects of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), India's job guarantee scheme. It provides details on the objectives, eligibility criteria, employment process, entitlements such as wages and unemployment allowance, implementation structure at the district, block and village levels, selection of works, funding patterns, oversight councils and funds, transparency measures, and operational guidelines. The scheme aims to enhance rural livelihood security by providing at least 100 days of guaranteed wage employment per household annually.

1. 1

2. Objective
To enhance the livelihood security of the
households in rural areas of the country
by providing at least one hundred days
of guaranteed wage employment to
every household whose adult members
volunteer to do unskilled manual work.
2

3. Eligibility
• Rural areas notified by the Central Government.
• 150 NFFWP Districts. 50 more districts to be
decided by Planning Commission.
• Legal Obligation to cover entire country within five
years.
• All rural households.
• Local residence.
3

4. Process
Demand Based Employment
• A rural household can demand at least 100 days of
guaranteed employment in a financial year.
• Household has to get registered with the Gram
Panchayat. All names of adult members can be
registered.
• Gram Panchayat will issue a job card. Job card is
for the Household.
• Within household entitlement of 100 days every
registered household member will apply for work.
4

5. Process
Time Bound Guaranteed Employment
• Work to be given within 15 days of the date when
demanded for as many days as demanded (at one
stretch not less than 14 days)
• Gram Panchayat will allot employment and keep
record of it.
• Local Employment within a radius of 5 kilometers
of local residence. If not, extra-wages at the rate of
10% of the wage would be provided towards
additional transport and living expenses.
5

6. Entitlements
Unemployment Allowance
• If employment is not provided within 15 days
from the date from which the applicant seeks
employment a daily unemployment
allowance, in cash has to be paid.
• Allowance to be paid at the rate of 1/4th of the
minimum wages for the first 30 days and at
the rate of half of the minimum wages for the
subsequent days of the financial year.
6

7. Entitlements
Humane & Equitable conditions of work
• Worksite facilities as drinking water, emergency
health care, Creche (where 5 children come)
timely payment of wages: Within a week, not
later than a fortnight.
• Ex Gratia payment of Rs. 25,000 in cases of
death or disability.
• Timely payment of wages : Within a week, not
later than a fortnight.
• At least 1/3rd beneficiaries – women.
7

8. Entitlements
Wage Rate
• Statutory minimum wage rates for agricultural
workers fixed by the respective State
Governments would be applicable.
• The Central Government enabled to fix the wage
rate, from time to time, for the purposes of this
Act notwithstanding anything contained in the
Minimum Wages Act. Wage rate not to be below
Rs. 60 per man day.
• The Central Government may notify different
rates for different areas.
8

9. Entitlements
Payment of Wages
• Labour to receive wages weekly and in any
case not later than a fortnight.
• Wages may be paid wholly in cash or partly
in kind. Provided that at least 25% of the
wages must be paid in cash.
• Provision to be made, under the rules, for
payment of part of the cash wages on a daily
basis to the labourers.
9

10. Implementation Structure
District Level
• State Government to designate a District
Programme Coordinator who will be either
the Chief Executive Officer (CEO) of the
District Panchayat or the Collector of the
District, or any other district level officer of
equivalent rank.
10

11. Implementation Structure
Block Level
• State Government to appoint a Programme Officer
(of the rank of BDO) exclusively for administering
the scheme in the area.
• The Programme Officer would be responsible to the
District Programme Coordinator.
• Centre to meet the salary cost of the Programme
Officers and Supporting staff.
11

12. Implementation Structure
Panchayat Raj Institutions
• Principal role of Panchayats at all levels for
Planning, Implementation and Monitoring
• District Programme Coordinator and Block
Programme Coordinator to assist the PRIs
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13. Roles & Responsibilities
Village Level-
• Gram Sabha
- Recommendation of works to be taken up
• Monitor execution of works by Gram
Panchayat.
• Social Audit.
13

14. Gram Panchayat Level
• Register the household.
• Issue job card.
• Register Demand for work.
• Allotment of employment opportunities within 15
days.
• To execute at least fifty percent of the works in
terms of cost in its area.
14

15. Block & District Level
• Intermediate Panchayat
• Approve plan of works.
• Monitor and Supervise gram panchayat works.
• District Panchayat.
• Approve and finalize Block wise shelf of Project.
• Monitor & Supervise.
15

16. Programme Officer
• To assist Intermediate Panchayat.
• Match demand with employment opportunities.
• Prepare block plan & approval from Intermediate
Panchayat.
• Monitoring of Projects.
• Sanction & payment of unemployment allowance.
• Ensure prompt and fair payment of wages.
• Ensure regular social audit.
• Handle complaints.
• Any other functions assigned. 16

17. District Programme Coordinator
• Consolidate Plan proposals of Intermediate
Panchayats to submit to district Panchayat. Prepare a
Labour Budget for sanction by District Panchayat.
• Will accord administrative and technical sanction
overall responsibility for implementation.
• Coordinate with Programme Officers.
• Review, Monitor supervise.
• Redress grievances.
17

18. Selection of Works
Type of work
Water conservation and water harvesting
1-Drought proofing (Including afforestation & tree plantation.
2-Irrigation canals including micro & minor irrigation works.
• Provision of irrigation facility to land owned by households
belonging to scheduled castes and scheduled tribes
beneficiaries of India Awas Yojana and Land reforms
• Renovation of traditional water bodies, including desilting of
tanks.
• Land Development.
• Flood control and protection works, including drainage in
water logged areas.
• Rural connectivity to provide all weather access.
• Any other work which may be notified by the central Govt.
in consultation with the state Governments. 18

19. Selection of Works
• New works under the scheme would be
commenced only if (a) at least 50 labourers
become available for the work, and (b) the works
cannot be absorbed in any ongoing work.
Exception for works in hilly areas and
afforestaion works.
• Material component of the works including the
wages of skilled and semi-skilled labourers not to
exceed 40% of the total cost.
• Ban on Contractors and Discouraging use of
Labour Displacing Machines.
19

20. Selection Process
• Gram Sabha to recommend works to Gram
Panchayat.
• On basis of recommendations of Gram Sabha to
prepare a development plan.
• Programme Officer to coordinate plan proposals
for approval by Intermediate Panchayat.
• Plan must identify implementation Agency.
• Intermediate Panchayat to approve the block plan
and forward it to District Panchayat.
• District Panchayat to approve and finalise Block
wise shelf of Projects. 20

21. Implementation Agencies
• Shelf of Projects to be kept ready with each implementing
agency, with AS/TS, so that work can be started on demand
• Implementation Agency :
Gram Panchayat : 50% of works in terms of total cost of
work in a gram panchayat
21

22. Implementation Agencies
Other implementing agencies:
Departments of Central or State Government, the
other Panchayat Raj Institutions, Non-
Government Organizations or any other local
authority or government undertaking
22

23. Transparency and Accountability
Need to establish mechanisms to ensure transparency
and accountability at all levels. The mechanisms would
include-
• Inspections by the concerned officers.
• Social audit.
• Periodical audit of expenditure under the Scheme.
• Making accounts and records relating to the Scheme
available for public scrutiny, and
• Payment of wages before the community.
23

24. Grievance Redressal Mechanisms
• Appropriate mechanisms need to be established at
the district and the Block level to redress
grievances of applicants relating to their
entitlements’ under the Scheme, in particular, with
regard to-
• Default by the Gram Panchayat and the
Programme Officer in providing employment,
• Non-payment of unemployment allowance,
• Non-payment of wages due,
• Facilities to be provided at the work sites, and
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• Discrimination and harassment of women.

25. Funding Pattern
Central Government Share
• Unskilled wage component of the cost of the scheme.
• Seventy five percent of the material component
including the wages of skilled and semi-skilled workers.
•Administrative expenses, which may include-
• Salary and allowance of Programme Officer and
their supporting staff.
• Administrative expenses of the Central Council,
• Capacity building of Gram Panchayats,
• Facilities to be provided to the labourers, and
• such other items as may be decided by the central
Government.
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26. Funding Pattern
State Government’s Liabilities
• Twenty five per cent of the material component
including the wages of skilled and semi-skilled
workers of the Scheme,
• Unemployment allowance payable under the
provision of the Act,
• Administrative expenses of the State Council.
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27. Employment Guarantee Funds & Councils
• Central Government shall establish a National
Employment Guarantee Fund,
• State may also establish State Employment
Guarantee Funds.
• Provision for Central and State Employment
Guarantee Councils to-
• Periodically review, supervise and monitor
the implementation of the Scheme.
• Widely publicize the Scheme and
• Advise the concerned Governments on all
matters concerning the implementation of
the Act from time to time in their areas
27

28. Employment Guarantee Scheme
• After the enactment of the Act, each State
Government to prepare a Scheme within six months
to operationalize the provisions of this Act.
• Centre will issue broad Guidelines.
28

29. Operational Issues for Discussion
Planning
• Perspective Plan (NFFWP) reorient towards EGS
• Approval by Gram Sabha/Panchayats
• Works Manual of Prototype
works/Designs/estimates
• Schedule of Rural Rates
• An annual Shelf of Projects (with AS/TS) with
implementing agencies
• Publicize Approved Works
• Works to start on Demand
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30. Operational Issues for Discussion
Management
• Personnel
• Designate District Coordinator
• Position Programme Officer
- Deputation
- Contract
• Identify Supportive Staff
• Plan 2% use for managerial needs
30

31. Operational Issues for Discussion
Management
Capacity Building
• Train District and sub-district officials
• PRIs
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32. Management : Funds
• Budget Provision for state share : 10%
• Provision for Unemployment Allowance
• Separate Accounts at each operational level
• State employment guarantee fund
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33. Management: Monitoring System
• Need to review existing MIS to include EGS
requirements
• Need to examine possibility of computerizing
operations and key records like muster rolls, job
card Registrations.
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34. Management : Accountability System
• Right to Information Act will apply :
Access to Public Records
• Social Audit Systems need to be worked out
• Web site for disseminating information
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35. Communication
• Disseminate information on the Act
• Sustained multi media communication targeting
different stakeholders and partners
• Need to reach out to the intended beneficiaries,
and mobilize demand
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36. Suggestions Sought
Guidelines being framed.
Suggestions sought, specifically on
• Registration Process
• Design of Job Card
• Social Audit
36

37. Pre- Launch Check List
• 1. Planning
• State EGS notification
• - Including finalization of registration process, Job
Card Design, charter of roles and responsibilities for
each agency, Social Audit mechanisms.
• State Rules
• Perspective Plans
• Annual Plans with detailed AS/TS and Shelf of Projects
• Plan Approval
• Gram Sabha/GP/IP/DP
• State Works Manual
• Publish approved works
• Issue schedule of Rural Rates
• Demand Estimation
37

38. • 2. Communication
• Multi Media Campaign targeting different stake holders
• Community Mobilisation
• 3. Management
• Personnel
• -Identification and Positioning key personnel
• Structures:
• Setting up local vigilance and monitoring committees
• Activising Gram Sabhas
• Ensuring PRIs and other management agencies have
basic wherewithal
• State Council
38

39. • 4. Training
• Government Personnel
• PRIs
• Local vigilance Committees
• Orienting Gram Sabhas
• Any other implementing or monitoring, or
social audit agency
39

40. • 5. Monitoring, vigilance and
Accountability
• Operationalising a computerized
MIS
• Clear outcome indicators
• Establishing social audit
mechanisms
• Identifying key action points under
RTI
40

41. • 6. Funds
• Budget Estimate to be
communicated to GOI
• State EGS Fund
• State EGS Budget Head
• Accounts at District/ Sub-district
levels
• Fund Transfer to Dist /sub-
district .Account (if needed)
• Onward transfer to IA
41

42. 7- Printing of Forms and Registers
• Printing of application forms for
registration (optional)
• Printing of Job Cards
• Printing of Registers to be
maintained at
GP/PO/District/Implementing
Agency level
• Printing of Muster roll forms
42

43. • 8- Codification System for
Registration
• Codification system of BPL
Census 2002 may be followed and
may be made available upto each
Panchayat.
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