The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) was notified in September, 2005. The Act provides guaranteed 100 days of wage employment in a financial year to every rural household whose adult members volunteer to do unskilled manual work at the notified wage rate.

Objectives of the Act

i. Providing not less than one hundred days of unskilled manual work as a guaranteed employment in a financial year to every household in rural areas as per demand, resulting in creation of productive assets of prescribed quality and durability.

ii. Strengthening the livelihood resource base of the poor.

iii. Proactively ensuring social inclusion.

iv. Strengthening Panchayat Raj Institutions.

Implementation

MGNREGS is in implementation in 32 rural districts in Telangana (excluding Hyderabad)covering 438 erstwhile mandals and 12751 rural Gram Panchayats of the State. 51.3 lakh jobcards issued to 1.12crore individuals.

Funding Pattern

• The Central Government shall pay 100% of the wage payments, 75% of the material payment and 6% Administrative expenditure.

• The State Government shall pay 25% of the material payments, Unemployment allowance and State Council expenditure.