Work generated under NREGS rises in September after 3-month fall

New Delhi: Labor generated under the Rural Employment Guarantee Scheme rebounded in September after three straight months of decline, raising concerns about the stability of the labor market.

According to data from the Ministry of Rural Development’s website, 14.2 million households received jobs under the Mahatma Gandhi National Rural Employment Guarantee program in September, up 3.6% from August. At 175.7 million, the number of working days generated was 5.08% higher than in the previous month.

The number of households that found work under the program was 18.6 million in April, 26.1 million in May, 27.5 million in June, 17.6 million in July and 13.7 million in August. The number of working days was 285.8 million in April and 435.1 million in May, before falling three straight months to 421.8 million in June, 235.2 million in July and 167.2 million in August.

The latest numbers point to a possible weakness in the job market from the previous month, prompting workers to opt for jobs under the Job Guarantee Scheme.

A senior government official told ET that after discussions over revised estimates for the budget, the center could give the Mgnrega an additional allocation as demand for work under the program is picking up again and remains well above pre-Covid levels.

“We have already spent over 70% of the allocated budget under the program in seven months and expect work generation under the program to exceed initial estimates,” the official said. Mgnrega is a demand-driven program and the government is committed to providing funds for it, the official added.

The government has so far released ₹52,833.21 billion, which is 72.4% of the ₹73,000 crore allocated for the current fiscal year.

https://economictimes.indiatimes.com/news/economy/indicators/work-generated-under-nregs-rises-in-september-after-3-month-fall/articleshow/94926471.cms Work generated under NREGS rises in September after 3-month fall

Russell Falcon

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