Year: 2017 | Month: December | Volume 4 | Issue 2

Impact of MGNREGA Scheme on Employment and Income: A Case Study of Himachal Pradesh

Kiran Lata1* and Virender Kumar2
DOI:10.5958/2394-8159.2017.00016.0

Abstract:

The present study evaluated the impact of Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) scheme on employment and income generation in Kangra district of Himachal Pradesh. Since the performance of the district in implementation of MNREGS has been lauded, therefore, it was felt imperative to examine the impact of scheme on employment, income and consumption pattern of beneficiaries and to see whether it has been able to uplift the living standards of the people or not. The primary data were collected from 90 households (60 beneficiaries and 30 non-beneficiaries) selected randomly in Chandropa panchayat of Panchrukhi block in Kangra district. The results indicated that all the mandatory guidelines of the scheme were found to be followed properly except for the provision of 100 days of employment and payment of wages on weekly basis to the workers. An increase of 78.47 per cent was noticed in the employment generated in case of beneficiary households. The income of beneficiary households was found to be higher by 12.29 per cent with working under MNREGS as compared to income without MNREGS. A reduction in the coefficient of variation with respect to employment (55.24 to 33.07 per cent), income (71.99 to 62.59 per cent) and pattern of consumption expenditure (29.15 to 26.09 per cent in physical terms and 28.23 to 26.57 per cent in monetary terms) was also observed. The pertinent problems pinpointed by local functionaries were insufficient and untimely flow of funds by higher authorities and were non-provision of 100 days employment and delay in payment of wages as reported by the households. Therefore, there is need to strengthen sufficient and timely release of funds to Panchayats by higher authorities and provision of 100 days employment and timely payment of wages to workers by the Panchayat representatives.



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