Skip to main content

Deficit in wage payments reaches Rs 481 crore: Additional Rs 40k sought for NREGA

By A Representative

The civil rights organization, People's Action for Employment Guarantee (PAEG), which has released three trackers over the last two months claimint to focus on "core issues" and "performance" of the National Rural Employment Guarantee Act (NREGA) amidst the COVID-19 crisis, has estimated that, as on September 9, 2020, five months in the current financial year (2020-21), there is already a deficit of Rs 481 crore for providing jobs to the rural poor.
Given this situation, a PAEG statement, providing details of the actual allocation and the amount spent on NREGA in 2020-21, said, “Unless the additional promised amount of Rs 40,000 crores is released immediately, delays in wage payments that have already begun will compound the woes of the marginalised.”
Wondering there is a shift in Government of India (GoI) policy, PAEG conceded, till now it was treating NREGA as a supply-driven programme instead of a demand-based employment guarantee scheme. However, for the first time in six years, it recognised, albeit because of the special situation arising out of the Covid crisis, the importance of the scheme, leading to the allocation of Rs 40,000 crore, in addition to the original allocation of Rs 60,000 crore.
“So far this year, timely and adequate allocation of funds has implied timely payment of wages”, it said. However, it pointed out, “While in absolute terms, this is the highest ever allocation, but the financial year (FY) began with pending wage liabilities of around Rs 16,000 crore.”
Hence, it said, “Fresh allocation for the current FY is actually around Rs 84,000 crore. Even considering Rs 1 lakh crore as the allocation, as a percentage of the GDP (~0.48%), it is still like what it was in 2010-11. Even before the half-way mark in this FY, about Rs 64,000 crore have already been spent”, suggesting, GoI urgently needs to allocate more funds." 
This is required because, it said, “The unplanned lockdown has resulted in a massive crisis of livelihood and high levels of food insecurity. Having endured severe hostility and distress, the majority of migrant workers returned home to their villages over the lockdown period and many are yet to return to cities.”
It added, “With limited employment opportunities in rural India, the only viable dignified livelihood option for many of these migrants as well as the rest of the rural poor, is the NREGA.” Things failed to picked up initially amidst lockdown because over the last six years, NREGA was “routinely under-funded, resulting in it becoming a de facto supply driven programme, with massive delays in wage payments.”
“In several states, the NREGA wages have been below the minimum wages which has discouraged workers from seeking employment in the programme”, PAEG said, adding, the problem further got compoinded because of the move “away from community asset creation to promotion of material-intensive, individual assets”, adversely impacting the generation of adequate employment for landless workers.”

Comments

TRENDING

Countrywide protest by gig workers puts spotlight on algorithmic exploitation

By A Representative   A nationwide protest led largely by women gig and platform workers was held across several states on February 3, with the Gig & Platform Service Workers Union (GIPSWU) claiming the mobilisation as a success and a strong assertion of workers’ rights against what it described as widespread exploitation by digital platform companies. Demonstrations took place in Delhi, Rajasthan, Karnataka, Maharashtra and other states, covering major cities including New Delhi, Jaipur, Bengaluru and Mumbai, along with multiple districts across the country.

Swami Vivekananda's views on caste and sexuality were 'painfully' regressive

By Bhaskar Sur* Swami Vivekananda now belongs more to the modern Hindu mythology than reality. It makes a daunting job to discover the real human being who knew unemployment, humiliation of losing a teaching job for 'incompetence', longed in vain for the bliss of a happy conjugal life only to suffer the consequent frustration.

'Gandhi Talks': Cinema that dares to be quiet, where music, image and silence speak

By Vikas Meshram   In today’s digital age, where reels and short videos dominate attention spans, watching a silent film for over two hours feels almost like an act of resistance. Directed by Kishor Pandurang Belekar, “Gandhi Talks” is a bold cinematic experiment that turns silence into language and wordlessness into a powerful storytelling device. The film is not mere entertainment; it is an experience that pushes the viewer inward, compelling reflection on life, values, and society.

CFA flags ‘welfare retreat’ in Union Budget 2026–27, alleges corporate bias

By Jag Jivan  The advocacy group Centre for Financial Accountability (CFA) has sharply criticised the Union Budget 2026–27 , calling it a “budget sans kartavya” that weakens public welfare while favouring private corporations, even as inequality, climate risks and social distress deepen across the country.

Budget 2026 focuses on pharma and medical tourism, overlooks public health needs: JSAI

By A Representative   Jan Swasthya Abhiyan India (JSAI) has criticised the Union Budget 2026, stating that it overlooks core public health needs while prioritising the pharmaceutical industry, private healthcare, medical tourism, public-private partnerships, and exports related to AYUSH systems. In a press note issued from New Delhi, the public health network said that primary healthcare services and public health infrastructure continue to remain underfunded despite repeated policy assurances.

The Epstein shock, global power games and India’s foreign policy dilemma

By Vidya Bhushan Rawat*  The “Epstein” tsunami has jolted establishments everywhere. Politicians, bureaucrats, billionaires, celebrities, intellectuals, academics, religious gurus, and preachers—all appear to be under scrutiny, even dismantled. At first glance, it may seem like a story cutting across left, right, centre, Democrats, Republicans, socialists, capitalists—every label one can think of. Much of it, of course, is gossip, as people seek solace in the possible inclusion of names they personally dislike. 

Gujarat No 1 in Govt of India pushed report? Not in labour, infrastructure, economy

By Rajiv Shah A report by a top Delhi-based think tank, National Council of Applied Economic Research (NCAER), prepared under the direct leadership of Amitabh Kant, ex-secretary, Department of Industrial Policy and Promotion (DIPP), Government of India, has claims that Gujarat ranks No 1 in the NCAER State Investment Potential Index (N-SIPI), though there is a dig. N-SIPI has been divided into two separate indices. The first one includes five “pillars” based on which the index has been arrived it. These pillars are: labour, infrastructure, economic conditions, political stability and governance, and perceptions of a good business climate. It is called N-SIPI 21, as it includes a survey of 21 states out of 29.

Gujarat agate worker, who fought against bondage, died of silicosis, won compensation

Raju Parmar By Jagdish Patel* This is about an agate worker of Khambhat in Central Gujarat. Born in a Vankar family, Raju Parmar first visited our weekly OPD clinic in Shakarpur on March 4, 2009. Aged 45 then, he was assigned OPD No 199/03/2009. He was referred to the Cardiac Care Centre, Khambhat, to get chest X-ray free of charge. Accordingly, he got it done and submitted his report. At that time he was working in an agate crushing unit of one Kishan Bhil.

Planning failures? Mysuru’s traditional water networks decline as city expands

By Prajna Kumaraswamy, Mansee Bal Bhargava   The tropical land–water-scape of India shapes every settlement through lakes, ponds, wetlands, and rivers. Mysuru (Mysore) is a city profoundly shaped by both natural and humanly constructed water systems. For generations, it has carried a collective identity tied to the seasonal rhythms of the monsoon, the life-giving presence of the Cauvery and Kabini rivers , and the intricate network of lakes and ponds that dot the cityscape. Water transcends being merely a resource; it is part of collective memory, embedded in place names, agricultural heritage, and the very land beneath our feet. In an era of rapid urbanization and climate-induced land–water transformations, understanding this profound relationship with the land–water-scape is strategic for sustainability, resilience, and even survival.