Latest news with #MNREGS
Mint
2 days ago
- Business
- Mint
Demand for MNREGS jobs up, but may decline soon
Demand for unskilled jobs under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) rose in May and spilled into the early part of June. Economists, however, said the clamour for jobs does not necessarily indicate a rise in rural distress, and that demand will wane once monsoon picks up and farmers start sowing. According to the latest data from the rural development ministry, 28.39 million rural households sought work under the scheme in May, against 27.18 million a year earlier. In the first seven days of June, demand touched 13.48 million, compared with 26.40 million in all of June 2024. The increase in demand in May and June came after demand cooled the previous month. In April, demand under MNREGS fell to 20.12 million from 21.52 million a year earlier. The job guarantee programme assures up to 100 days of unskilled manual work annually to any adult in a rural household seeking employment. Demand for work typically rises when opportunities in farm or non-farm sectors decline. Demand for jobs under MGNREGS typically rises during lean seasons when farming and construction activities decline, a government official said on the condition of anonymity. "Rural conditions are likely to improve in the coming months with forecasts of a better monsoon this year. However, uneven rainfall distribution remains a concern and will need close monitoring," the person added. The latest data comes against the backdrop of robust rural consumption underpinning India's gross domestic product (GDP) growth of 7.4% for Q4 FY25 and an overall GDP growth rate of 6.5% for FY25. According to the National Statistics Office, rural consumption rebounded strongly in Q4, driven by improved agricultural output and rising incomes, significantly boosting overall GDP growth even as urban demand remained subdued. 'The rise in MGNREGS job demand is likely due to the pre-sowing phase,' said Madan Sabnavis, chief economist at Bank of Baroda. 'Once sowing begins, the numbers should decline, only to rise again ahead of the kharif harvest. It's a seasonal trend and not indicative of any distress," he added. In FY25, demand for jobs under MGNREGS peaked in May 2024, followed by a steady decline over the rest of the year. While an above-normal monsoon and early rains in FY26 bode well for the rural economy, economists said that the spatial distribution of rainfall must be closely monitored, especially as excess rains could hurt production in states where onions and potatoes are grown. "The earlier-than anticipated arrival of monsoon and its spatial distribution needs to be monitored closely as these perishable items have a cobweb impact on prices," Bank of Baroda said in a 5 June research note. "Thus, vigilance is required for any weather-related disruptions on prices in the coming days," it added. Spokespersons for the ministries of finance and rural development did not respond to emailed queries seeking comment. Interestingly, the Centre has kept allocations for FY26 at ₹ 86,000 crore, unchanged from the last fiscal. However, the official mentioned above had earlier said the Centre will review its accounts around September-October to evaluate if additional funding is needed for certain schemes, including MGNREGS. 'If needed, allocations for MGNREGS could be revised—but only after the half-yearly review and based on the scheme's funding requirements," the official had said. To be sure, last December, the Parliamentary Standing Committee on Rural Development and Panchayati Raj had urged the government to consider revising and increasing wage rates under the MGNREGS. The panel urged the rural development ministry to consult all stakeholders and revise MGNREGS wage rates, which have lagged behind inflation, stressing the urgent need for a fair and sustainable overhaul to protect rural workers' livelihoods. India's economic growth has moderated in recent quarters, weighed down by a mix of domestic and global factors. While GDP growth showed signs of recovery in the March quarter with a 7.4% surge—up from 6.2% in the previous quarter —FY25 growth at 6.5% fell well short of FY24's revised 9.2% expansion. "The RBI retained their growth forecast at 6.5% y-o-y for FY26, noting strong agricultural sector growth and rural demand, and a resilient services sector underpinning a recovery in urban demand," Goldman Sachs said in a 6 June report. "However, the governor also highlighted upside risks to the inflation outlook from weather and US 'reciprocal' tariff-related uncertainty," it added.
Time of India
6 days ago
- Business
- Time of India
To streamline food grain distribution, UP to construct 75-100 Annapurna Bhawans in each district
Lucknow: In a bid to streamline the Public Distribution System (PDS) and enhancing the accessibility of food grains through ration shops, the UP cabinet on Tuesday announced the construction of ration shops/Annapurna Bhawan using alternate financial means. Besides Mahatma Gandhi National Rural Employment Guarantee Scheme (MNREGS), these buildings will be constructed under various central and state govt schemes such as Sansad Nidhi, Vidhayak Nidhi, Tourism Development Funds, and Bundelkhand Vikas Nidhi, or through any other govt-approved scheme. The construction aims to ensure the smooth and permanent availability of food grains to eligible cardholders. In areas where such funding schemes are unavailable, arrangements will be made through the department of food and civil supplies by utilizing departmental savings. The govt has planned an annual construction of 75 to 100 Annapurna Bhawan across each district, depending on local needs and feasibility. Along with construction a provision has been made for the maintenance and upkeep of these buildings to ensure their long-term utility. This initiative is expected to enhance the efficiency and reliability of the PDS, especially in rural and underdeveloped regions, by providing permanent structures for ration distribution.
The Hindu
29-05-2025
- Politics
- The Hindu
MGNREGS workers demand payment of wage arrears
Demanding immediate release of wage arrears by the government, Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) workers staged a protest at their workplaces at Panasalapadu and Losingi villages in Anakapalli district on Wednesday. Addressing the workers, Andhra Pradesh Vyavasaya Karmika Sangam (A.P. Agricultural Workers Sangam) vice-president K. Govinda Rao said that 27 lakh daily wage workers and their families across the State were struggling as their wages of ₹8,500 crore have not been paid by the government. The salaries of 15,000 employees, recruited under the scheme from the village to the State-level, have not been paid their salaries for the past three months, he alleged. Workers in rural areas are dependent on MNREGS for a livelihood during the summer months and their wages have to be paid within 15 days of the completion of the work. The technical assistants, field assistants recruited at the Mandal Computer Centres, for the supervision of MNREGS works, and various levels of employees recruited at the State-level have not been paid their salaries for the past few months, Mr. Govinda Rao alleged. The workers would organise an agitation after a week if the wage arrears were not cleared by then, he added.
Indian Express
28-05-2025
- Politics
- Indian Express
Gujarat BJP minister kept out of PM Modi's events, noose tightens after sons' arrest
As the who's who of the Gujarat government lined up alongside Prime Minister Narendra Modi during his two-day visit to Vadodara and Dahod ending Tuesday, Minister of State Bachubhai Khabad was conspicuous by his absence. While this has heightened the buzz about the imminent exit of Khabad, whose two sons have been arrested in an alleged MNREGS scam, from the Bhupendra Patel Cabinet, this won't be without a fight. Sources said the decision not to involve Khabad, an MLA from Devgadh Baria, in Modi's visit was taken last week at a series of closed-door meetings held by Dahod district Guardian Minister Kuber Dindor, seen to be Khabad's close aide. 'After the arrests (of Khabad's sons), there was no way Modi would have taken kindly to his presence on stage. It is only natural that he had to stay away. Although he protested, it was the party's as well as the government's decision,' a BJP state executive member, who attended the Dahod event, said. With the pressure mounting for his ouster, Khabad also gave Wednesday's Cabinet meeting a miss. Khabad's sons Balvantsinh and Kiran were arrested on May 17 and 19 respectively over their alleged involvement in a Rs 71 crore MGNREGS scam, pertaining to irregularities in payments for incomplete projects under the scheme. In two villages in Devgadh Baria taluka and one in Dhanpur taluka, several metres of road construction were allegedly left incomplete, but payments were still made to 'unauthorised agencies' using forged completion certificates, between April 2021 and December 2024. Khabad posted two videos last week defending his sons and claiming that they had 'done no wrong', and denied any plans to step down. Instead, he cited the 'transparent' works undertaken by the departments he helmed. The leader said Khabad should have waited to see the party's reaction, 'at least till the probe was completed'. 'His statement on preparing for Modi's visit and social media posts on inspecting the venues was unwarranted,' the leader said. Last week, after skipping the Cabinet meeting, Khabad said he had sent a 'report of absence' to CM Patel explaining that he was 'busy arranging numbers' for the PM's visit to Dahod. BJP leaders said that his exclusion from Modi's events was a clear signal of what lies ahead for Khabad, though he has reportedly turned down advice to step down. 'Now, it is likely that a Cabinet reshuffle will take place where Khabad and a couple of ministers, who have embarrassed the party, will be shown the door. Khabad will also be asked to quit as the district in-charge of Mahisagar,' a party leader said. Another leader said Khabad's stubbornness has also resulted in friction between party heavyweights like Dindor and the Bhabhor brothers – Lok Sabha MP Jaswantsinh Bhabhor and Limkheda MLA Shailesh Bhabhor – who were seen interacting with the PM during his Gujarat events. Admitting that the buzz about an alleged scam had been around for months, with the Congress also raising it on the floor of the Assembly, a BJP leader said the real jolt for the party was the arrest of Khabad's sons. 'Balvantsinh and Kiran filing anticipatory bail applications even when they were not directly named in the FIR further embarrassed the government… The alleged irregularities came to light during a central inspection of the Rural Development Authority of MGNREGA projects following which more villages from the region have come forward to make similar claims. The damage could have been contained if the duo had not taken impulsive actions,' a BJP leader said. Khabad has seemingly been stung more by the arrest of his younger son Kiran, who he was reportedly grooming to be his political heir. 'Kiran cannot be seen in isolation as he manages his father's affairs in his constituency. Only if the probe exonerates the sons, will Khabad have a substantial ground to defend himself,' a local BJP leader said.
Time of India
22-05-2025
- Politics
- Time of India
Maha agriculture minister bats for trial use of HT-tolerant cotton seeds
1 2 Nagpur: The state's agriculture minister Manikrao Kokate has called for allowing use of herbicide-tolerant cotton seeds, at least on a trial basis, for farmers to assess their impact. The seeds cannot be legally used by farmers as they await approval from the Genetic Engineering Appraisal Committee (GEAC), which works under the ministry of environment, said Kokate as he addressed Union minister for agriculture Shivraj Singh Chouhan at a function to launch One Nation, One Agriculture, One Team mission recently. Kokate acknowledged that even as it may be illegal to use the seed at present, the herbicide-tolerant variety has already made its way into villages from Gujarat through black marketeers. Farmers prefer it as it reduces the cost of labour since weeds can be killed by spraying herbicide. He also mentioned that there is a labour shortage in the hinterland. This can be addressed by mechanisation. "A machine to pluck cotton is being developed. Alternatively, farmhands can be covered under Mahatma Gandhi National Rural Employment Scheme (MNREGS) on a partial basis," he said.
