Rural Development Ministry Increased MNREGA Wages

The Ministry of Rural Development revised the wage rates for workers under the Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA). The wage rates were increased with effect from 1 January 2011 following the UPA Chairperson, Sonia Gandhi’s pitching for a hike in wages for labourers and the recommendations of the National Advisory Council and after consultations with the different Ministries. The MNREGA wages were increased by 17-30 per cent. The wages were increased on the basis of Consumer Price Index for the agricultural labour calculated on the basis of Rs 100 or the actual wage rate, whichever is higher as on 1 April 2009. Wages would be enhanced every year as per the indexing and every five years the base of Rs 100 will be revised based on recommendations of the Pranob Sen Committee.