Published by MBA Skool Team, Published on October 30, 2010

When we talk about HR we think about companies,organizations,head hunting companies,recruitement,placements,packages etc but have we ever thought what about the jobs of thousands of people who are unemployed in the country.Which HR department looks after it ?


NREGA is one of the best schemes launched ever in India. It was formulated in 2005. The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is an Indian job guarantee scheme, enacted by legislation on August 25, 2005. The scheme provides a legal guarantee for one hundred days of employment in every financial year to adult members of any rural household willing to do public work-related unskilled manual work at the statutory minimum wage of Rs.100 per day.


Dr. Jean Drèze, a Belgian born economist, at the Delhi School of Economics, has been a major influence on this project.

What exactly is this project ?

1) It provides legal guarantee of 100 days work to every rural house hold whose adult member volunteer to do un-skilled manual work.

2) If an applicant is not provided employment within 15 days he / she shall be entitled to unemployment allowance.

3) Rural Employment Guarantee Scheme is demand -driven instead of being supply-driven .


Conditions for Guaranteed Rural Employment under the scheme :-

1. Registration to be made at the level of Gram Panchayat for issuance of job cards.

2. Duty of the Gram Panchayat to issue the job card after making such an enquiry as it may deem fit.

3. The registration for not less than 5 years and to be renewed from time to time.

4. Every job card holder entitled to apply for unskilled manual work under the scheme.

5. All registered persons belonging to a house hold entitled to employment in accordance with the scheme for as many days as each applicant may request, subject to a maximum of 100 days per house hold in a given financial year.

6. Such job to be provided within a period of 15 days of the receipt of an application or from the date he/she seeks work in case of advance application whichever is later.

What kind of work is included in NREGA ? Skilled or unskilled ? Specialized or unspecialized ? Physical or knowledge based ?

1. The focus of the scheme shall be on the following works in their order of priority:-

i) Water conservation and water harvesting.

ii) Drought proofing (including afforestration and tree plantation.

iii) Irrigation canals including micro and minor irrigation works.

iv) Provision of irrigation facility to land owned by households belonging to the scheduled Castes/Schedule Tribes or to land of beneficiaries of land reforms or that of the beneficiaries under the IAH of Govt.l India.

v) Renovation of traditional water bodies including desalting of tanks.

vi) Land Development.

vii) Flood control and protection works including drainage in water logged areas.

viii) Rural connectivity to provide all weather access and

ix) Any other work which may be notified by the Central Government in consultation with the State government.

2. Creation of durable assets and strengthening the livelihood resource base o f the rural poor shall be an important object of the scheme.

3. The works taken up under the scheme shall be in rural areas.

4. The state council shall prepare a list of preferred works for different areas based on their ability to create durable assets.

5. The scheme shall be subject to appropriate arrangements as may be laid down by the State Government under the rules issued by it for proper maintenance of the public assets created under the scheme.

6. Under no circumstances shall the labourers be paid less than the wage rate, notified by the State Government.

7. When wages are directly linked with the quantity of work, the wages shall be paid according to the scheme of rates fixed by the state government for different types of work in every years, in consultation with the state council.

8. The schedule of rates of wages for unskilled labourers shall be so fixed that a person working for 7 hours would normally earn a wage equal to the wage rate.

9. The cost of material component of projects including the wages of the skilled and semi skilled workers taken up under the scheme shall not exceed 40% of the total project costs.

10. It shall be open to the programme officer and Gram Panchayat to direct any person who applied for employment under the scheme to do work of any type permissible under it.

11. The scheme shall not permit engaging any contractor for implementation of the projects under it.

12. As far as practicable, a task funded under the scheme shall be performed by using manual labour and not machines.

13. Every scheme shall contain adequate provisions for ensuring transparency and accountability at all levels of implementation.

14. Provisions for regular ins pection and supervision of works taken up under the scheme shall be made to ensure proper quality of work as well as to ensure that the total wages paid for the completion of the work is commensurate with the quality and quantity of work done..

15. The District Programme Coordinator, The Programme Officer and the Gram Panchayat implementing the scheme shall prepare annually a report containing the facts and figures and achievements relating to the implementation of the scheme within his or its jurisdiction and a copy of the same shall be made available to the public on demand and on payment of such free as may be specified in the scheme.

16. All accounts and records relating to the scheme shall be made available for public scrutiny and any person desirous of obtaining copy or relevant extracts therefrom may be provided such copies of extracts on demand and after paying such fee as may be specified in the scheme.

17. A copy of the muster rolls of each scheme or project under a scheme shall be made available in the office of the Gram Panchayat and Programme Officer for inspection by any person interested after paying such fee as may be specified in the scheme.

NREGA is an excellent scheme.A very detailed study has been done before implementing it.Few points which are worth mentioning are like

1) The facilities of safe drinking water, shade for children and periods of rest, first-aid box with adequate material for emergency treatment for minor injuries and other health hazards connected with the work being performed shall be provided at the work site.

2) In case the number of children below the age of six years accompanying the women working at any site are five or more, provisions shall be made to depute one of such women worker to look after such children.

3) If any personal injury is caused by accident to a child accompanying any person who is employed under a Scheme, such person shall be entitled to, free of charge, such medical treatment for the child as may be specified in the Scheme and in case of death or disablement, through an exgratia payment as may be determined by the State

4) In case of every employment under the Scheme, there shall be no discrimination solely on the ground of gender and the provisions of the Equal Remuneration Act, 1976 (25 of 1976), shall be complied with

After studying NREGA in detail it seems how principles of management can be applicable at a very high level for a country.NREGA is a perfect example of managing a big issue of unemployment in rural India.

If someone wants to see an example of a live HR project implemented in a big way,NREGA is the project.

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