**Policy Summary: MGNREGA Employment Generation (July 25, 2025)**
As of July 21, 2025, the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) has provided employment to 3.83 crore households, generating a total of 106.77 crore persondays in the current financial year (2025-26). The scheme is demand-driven, guaranteeing wage payments within 15 days of work completion.
To ensure timely payments, the Government of India has implemented a Standard Operating Procedure (SOP) for all States/UTs, defining timelines for each stage of wage payment. The Ministry of Rural Development, in conjunction with States/UTs, is actively working to improve payment timeliness, including advising states to generate pay orders promptly.
Key steps taken to ensure timely wage payments include:
* Improvement of the National Electronic Fund Management System (NeFMS).
* Intensive consultations with State Governments and stakeholders.
* Verification of pending and delay compensation claims.
* Formulation of a Standard Operating Procedure for monitoring timely payment and delay compensation.
* Periodic reviews of timely payment and delay compensation with States/UTs.
Technological interventions for ensuring timely payments:
* **Direct Benefit Transfer (DBT):** Wages are directly transferred to workers' bank accounts, minimizing intermediaries and misappropriation. Nearly 100% of funds are managed electronically via DBT.
* **Aadhaar Payment Bridge System (APBS):** Benefits are credited directly into bank accounts based on workers' Aadhaar numbers, improving targeting, efficiency, and reducing payment delays.
* **National Mobile Monitoring System (NMMS):** Real-time attendance capture using geotagged photographs ensures accurate and timely recording, facilitating timely wage payments.
To enhance awareness and access to the scheme, the Central Government has initiated measures such as:
* Information, Education, and Communication (IEC) campaigns, including wall paintings.
* Expansion of the demand registration system.
* Participatory planning and approval in Gram Sabhas.
* Organization of Rozgar Diwas.
As per Section 7(1) of the Mahatma Gandhi National Rural Employment Guarantee Act, if employment is not provided within fifteen days of application, the applicant is entitled to a daily unemployment allowance.
This information was provided by Minister of State for Rural Development Shri Kamlesh Paswan in a written reply in Rajya Sabha.
Key Entities Referenced
Ministry of Rural Development: The government ministry responsible for rural development programs.
Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS): A demand-driven wage employment scheme in India, providing a fallback option for rural households.
Government of India: The central government of India, responsible for issuing SOPs and ensuring timely payments.
StatesUTs: Refers to all States and Union Territories within India. These entities work with the Ministry to implement MGNREGS.
National Electronic Fund Management System (NeFMS): A system for managing funds electronically to ensure timely wage payments under MGNREGS.
Direct Benefit Transfer (DBT): A mechanism for transferring wages directly from the central account to workers' bank accounts.
Aadhaar Payment Bridge System (APBS): A system where benefits are credited directly into bank accounts based on the Aadhaar of the workers under Mahatma Gandhi NREGS.
Mahatma Gandhi National Rural Employment Guarantee Act, 2005: The legal framework that mandates employment guarantee and unemployment allowance under MGNREGS.
Ministry of Rural Development
EMPLOYMENT GENERATION UNDER MGNREGA
Posted On: 25 JUL 2025 5:52PM by PIB Delhi
Mahatma Gandhi National Rural Employment Guarantee Scheme (Mahatma Gandhi NREGS) is a demand
driven wage employment Scheme. In current financial year 2025-26 (as on 21.07.2025), a total number of
3.83 crore household availed employment and a total of 106.77 crore persondays have been generated under
Scheme.
As per the provisions of the Act, beneficiaries are entitled to receive wage payments within 15 days of work
completion. In order to ensure timely payment, the Government of India has issued a comprehensive Standard
Operating Procedure (SOP) to all States/UTs, which defines fixed timelines for each stage of the wage
payment process—from muster roll uploading to FTO approval. The Ministry along with the States/UTs has
been making concerted efforts for improving the timely payment of wages. States/UTs have been advised to
generate pay orders in time.
The Ministry has taken various steps to ensure timely payment of wages to workers under the Mahatma
Gandhi National Rural Employment Guarantee Scheme (MGNREGS). These include:
Improvement of National Electronic Fund Management System (Ne-FMS)
(cid:108)
Intensive consultation with State Governments and other stakeholders for ensuring timely payment
(cid:108)
of wages, verification of pending and delay compensation claims etc.
Formulation of Standard Operating Procedure for monitoring of timely payment and payment of
(cid:108)
delay compensation.
Reviewing the status of timely payment and payment of delay compensation with the States/ UTs
(cid:108)
during periodic meetings, Performance Review Committee meetings, Mid-term Reviews etc.
Further, continued efforts have been undertaken by the Ministry through various technological interventions
for ensuring timely payments of wages. Some of the key interventions include:
Direct Benefit Transfer (DBT): Wages are transferred directly from the central account to
(cid:108)
workers’ bank accounts, minimizing the role of intermediaries and reducing fund misappropriation.
This has proven to be effective in enhancing transparency and preventing leakages. Almost 100%
of the funds are managed electronically with the wage payment made entirely through Direct
Benefit Transfer (DBT) protocol.
Aadhaar Payment Bridge System (APBS): APBS conversion is a major reform process where
(cid:108)
benefits are credited directly into the bank accounts based on the Aadhaar of the workers under
Mahatma Gandhi NREGS, preferably Aadhaar Based Payments, cutting several layers in the
delivery process. APBS helps in better targeting, increasing the efficiency of the system and
reducing the delays in payments, ensuring greater inclusion by curbing leakages thereby promoting
greater accountability and transparency.
National Mobile Monitoring System (NMMS): Real-time attendance capture through geo-tagged
(cid:108)
photographs at the worksite ensures accurate and timely recording of attendance, which helps in
timely payment of wages.
Here it may be noted that Mahatma Gandhi NREGS is a demand-driven wage employment scheme. It is a
fall-back option when no better employment opportunity is available. To provide adequate employment
opportunities to willing rural households under Mahatma Gandhi NREGS, the Central Government has
initiated several measures to generate awareness about the scheme. These include, (i) to initiate appropriate
Information Education and Communication (IEC) campaigns including wall paintings for the widedissemination of the provisions of the Mahatma Gandhi National Rural Employment Guarantee Act, 2005, (ii)
to expand scope and coverage of demand registration system to ensure that demand for work under Mahatma
Gandhi NREGA does not go unregistered, (iii) prepare plans in a participatory mode and approve them in the
Gram Sabha, (iv) Organization of ‘Rozgar Diwas’.
As per Section 7(1) of Mahatma Gandhi National Rural Employment Guarantee Act, “If an applicant for
employment under the Scheme is not provided such employment within fifteen days of receipt of his
application seeking employment or from the date on which the employment has been sought in the case of an
advance application, whichever is later, he shall be entitled to a daily unemployment allowance in accordance
with this section."
This information was given by Minister of State for Rural Development Shri Kamlesh Paswan in a written
reply in Rajya Sabha today.
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RC/ KSR/AR
(Release ID: 2148473)