Minimum wages in MGNREGA

Minimum wages in MGNREGA

Question: On 7th January 2019, the recommendations of the Committee selected for review Minimum wages in MGNREGA are under consideration & is in consultation with which department of the government?
(a) Ministry of Finance
(b) Ministry of Rural development
(c) Ministry of Defence
(d) Ministry of Human resource & development
Answer: (a)
Related facts:

  • Wage rates for workers under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), 2005 are revised annually based on Consumer Price Index-Agricultural Labourers (CPI-AL) by the Central Government. The recommendations of the Committee are under consideration & are in consultation with the Ministry of Finance.
  • Wages paid are based on measurement of work done i.e. piece rate basis and every state has its own defined schedule of rates based on which the work output is defined and used to calculate the wage of MGNREGA beneficiaries.
  • The Committee recommended using Consumer Price Index-Rural instead of the existing CPI-AL for revising MGNREGA wages every year. The Committee also recommended use of annual average instead of the existing practice of using December month index only.

Links:
http://pib.nic.in/newsite/PrintRelease.aspx?relid=187258