Skip to main content

Non-SC, non-ST workers face brunt of delay in NREGA wage payment: LibTech report

By Rajiv Shah 

A new report by non-profit LibTech India, which comprises of engineers, activists and social scientists as its members, has objected to what inordinate delay in wage payments in the rural jobs scheme under the National Rural Employment Guarantee Act (NREGA) to the rural workers belonging to the non-scheduled caste (SC) and non-scheduled tribe (ST) categories.
Claiming to engage with workers, civil society organisations, and the government on public services delivery at large, and NREGA in particular, the report, titled “Heavy Wait”, seeks to analyse wage payment delays under NREGA from April to September 2021. The Government of India decided on March 2, 2021, through a circular, to change the payment system so that payments would be made separately based on the caste of workers (SC, ST, and ‘Others’).
Giving its explanation for the new caste-based system of payment, while the Ministry of Rural Development (MoRD), Government of India, is quoted as stating that this was done “for better accounting purposes”, a senior Ministry official has been cited as insisting, “While the Act does not distinguish between APL and BPL and vulnerable/non-vulnerable, we have to intelligently communicate to the district/block/GP authorities to learn to target.”
According to LibTech, “As we found, not only has it created massive administrative hassle for computer operators but has also caused tension among workers along caste and religious lines. Such technical intervention has not created any social protection. Tinkering with the payment process without consultation and playing with the universality of the programme sends a concerning signal given that there is a precedence of attacking the universality of NREGA.”
It insists, “Across States, there are reports that the caste-based segregation of Funds Transfer Order (FTOs) has led to increased work for government functionaries in blocks, increased friction amongst different castes, and even led to communal tensions in areas where the ‘Other’ population is predominantly Muslim.”
LibTech says, the Government of India is reportedly reconsidering the caste based segregation of FTOs, and “rightly so”, since “such a move is urgently needed”, though regretting, “As on date, there has been no official communication to rescind the caste-based FTO segregation.”
Segregation of FTOs has led to increased friction between castes and communal tensions in areas where Other population is predominantly Muslim
The law provides for a two tier clearance for NREGA payments. On completion of work, an FTO with worker details is digitally sent to the Central government by panchayat/block. This is called Stage 1 and it’s the State’s responsibility. The Central government processes the FTOs and transfers wages directly to the workers’ accounts. 
This is called Stage 2, which is entirely the Central government’s responsibility. Stage 1 must be completed in 8 days and Stage 2 must be completed within 7 days after Stage 1. Workers are entitled to delay compensation for each day’s delay beyond 15 days.
Offering figures of delay caused to the Other category in payment of NREGA wages, LibTech says, the breakup of the two stages of clearance suggests that the percentage of Stage 1 and Stage 2 transactions is lowest for Other categories at 26% and 51% respectively, and highest for SCs at 46% and 80% respectively.
Noting that this “highlights the differentiation in delays across caste categories”, the report asserts, an analysis of the monthly trend of the three castes shows that, while in April the percentage of transactions getting processed for Stages 1 and 2 was higher for the Other castes, “the picture changed substantially in the subsequent months.”
Thus, “Throughout, from May to September, workers of the Other category faced significantly higher delays compared to SCs and STs.” In fact, “The Stage 2 delays increased sharply from July to September for Others. In September, while nearly 75% of the SC and ST payments were completed in 15 days, only 25% payments of the Other category were completed in 15 days.”
At the same time, LibTech notices “great deal of variation in the relative performance of payments to different caste groups amongst the states.” Thus, “In Jharkhand, Madhya Pradesh and Odisha, percentage of payments taking more than 7, 15 and 30 days is much higher for Other castes and similar for SCs and STs. In Chhattisgarh and Uttar Pradesh, percent of payments taking more than 7, 15 and 30 days is much higher for STs and similar for Other castes and SCs. In Karnataka and West Bengal, percent of payments taking more than 7 days is highest for other categories followed by SCs and STs.”
Based on random sample of 10% of FTOs from 1 block per district per state for 10 states – Bihar, Chhattisgarh, Jharkhand, Karnataka, Kerala, Madhya Pradesh, Odisha, Rajasthan, Uttar Pradesh, and West Bengal – between April, 2021 and September, 2021, the report finds, overall, 44% of the transactions exceeded the 15 days period – during which the payments should be made. In 14% of cases, the delay was beyond 30 days. “Some of the poorer states suffer higher delays”, it adds.

Comments

Unknown said…
Division between poorest people on cast and religion base. Very dangerous path. Plpl.highlight in known alternate media.


TRENDING

When a lake becomes real estate: The mismanagement of Hyderabad’s waterbodies

By Dr Mansee Bal Bhargava*  Misunderstood, misinterpreted and misguided governance and management of urban lakes in India —illustrated here through Hyderabad —demands urgent attention from Urban Local Bodies (ULBs), the political establishment, the judiciary, the builder–developer lobby, and most importantly, the citizens of Hyderabad. Fundamental misconceptions about urban lakes have shaped policies and practices that systematically misuse, abuse and ultimately erase them—often in the name of urban development.

'Serious violation of international law': US pressure on Mexico to stop oil shipments to Cuba

By Vijay Prashad   In January 2026, US President Donald Trump declared Cuba to be an “unusual and extraordinary threat” to US security—a designation that allows the United States government to use sweeping economic restrictions traditionally reserved for national security adversaries. The US blockade against Cuba began in the 1960s, right after the Cuban Revolution of 1959 but has tightened over the years. Without any mandate from the United Nations Security Council—which permits sanctions under strict conditions—the United States has operated an illegal, unilateral blockade that tries to force countries from around the world to stop doing basic commerce with Cuba. The new restrictions focus on oil. The United States government has threatened tariffs and sanctions on any country that sells or transports oil to Cuba.

When grief becomes grace: Kerala's quiet revolution in organ donation

By Vidya Bhushan Rawat*  Kerala is an important model for understanding India's diversity precisely because the religious and cultural plurality it has witnessed over centuries brought together traditions and good practices from across the world. Kerala had India's first communist government, was the first state where a duly elected government was dismissed, and remains the first state to achieve near-total literacy. It is also a land where Christianity and Islam took root before they spread to Europe and other parts of the world. Kerala has deep historic rationalist and secular traditions.

Bangladesh goes to polls as press freedom concerns surface

By Nava Thakuria*  As Bangladesh heads for its 13th Parliamentary election and a referendum on the July National Charter simultaneously on Thursday (12 February 2026), interim government chief Professor Muhammad Yunus has urged all participating candidates to rise above personal and party interests and prioritize the greater interests of the Muslim-majority nation, regardless of the poll outcomes. 

Beyond the conflict: Experts outline roadmap for humane street dog solutions

By A Representative   In a direct response to the rising polarization surrounding India’s street dog population, a high-level coalition of parliamentarians, legal experts, and civil society leaders gathered in the capital to propose a unified national framework for humane animal management. The emergency deliberations were sparked by a recent Suo Moto judgment that has significantly deepened the divide between animal welfare advocates and those calling for the removal of community dogs, a tension that has recently escalated into reported violence against both animals and their caretakers in states like Telangana.

Why 20 years later, Rang De Basanti feels less like cinema, more like warning

By Mohd Ziyaullah Khan*  This Republic Day , the Rang De Basanti , starring Aamir Khan , completed 20 years since its release. I first watched it in a single-screen theatre in my city—at a time when multiplexes were only just beginning to appear and our town was still waiting for one. It remains my favourite film, and I often revisit it on OTT platforms or television around Independence Day or Republic Day, when the air is thick with rehearsed patriotism. A few days ago, I noticed it streaming again on Jio Hotstar . Released in 2006, it is a film I have watched many times over the years. Yet, like all powerful cinema, returning to it at different stages of life offers a different experience. Twenty years ago, I found it deeply inspiring. In 2026, watching it again felt suffocating. At its core, the film follows a group of Delhi University friends who challenge the might of the central government after one of their own, a flight lieutenant, is killed in a MiG aircraft crash alleged...

Stray dogs, an epsilon (ϵ) problem: Of child labour, and the art of misplaced priorities

By Bhaskaran Raman  The Greek alphabet ϵ (epsilon) is used in maths and science to denote a quantity which is not zero, but extremely small *** Since the Supreme Court's interim order on the issue of stray dogs came out on 07 Nov 2025, there have been a range of opinion pieces speaking for the voiceless. Most of them take the stance that there is a "problem" with stray dogs, but that we need a humane solution. I agree with this broadly, but I think we need new terminology to talk about this. 

A. R. Rahman's ‘Yethu’ goes viral, celebrating Tamil music on the world stage

By Syed Ali Mujtaba*  Good news for Tamil music lovers—the Mozart of Madras is back in the Tamil music industry with his song “Yethu” from the film “Moonwalk.” The track has climbed international charts, once again placing A. R. Rahman on the global stage.

Constitution vs. mining: The trial of environmental justice in Pachama Dadar

By Raj Kumar Sinha*  The auction process for the Pachama Dadar bauxite block in Balaghat district, Madhya Pradesh, was initiated in 2023. Yet a closer examination of the Environmental Impact Assessment (EIA) report submitted for this proposed mining project reveals serious procedural and substantive failures that call into question the legitimacy of the entire exercise.