MGNREGA Wages Still Hindered by Aadhaar Payment System Challenges

A new report reveals that 27% of MGNREGA workers remain ineligible for the Aadhaar-based payment system, claiming it’s less efficient than the bank account system. The report calls for restoring funds in West Bengal, which have been stalled due to compliance issues, affecting employment significantly.

MGNREGA workers continue to face challenges with the Aadhaar-based payment system, with 27% deemed ineligible, according to a new report by Libtech India. The report criticizes the system as less efficient than traditional bank payments and calls for urgent restoration of funds in West Bengal, blocked for over three years.

The BJP-led central government and the TMC government in West Bengal are at odds over the halted funds, linked to alleged irregularities. The situation remains tense, significantly impacting employment levels despite a rise in registered households under MGNREGA.

The Rural Development Ministry claims stoppages comply with provisions under Section 27 of the MGNREGA law. However, the Calcutta High Court highlighted the illegality of indefinite suspension. Reports confirm a dramatic decline in employment indicators and urge budgetary adjustments for recovery.

(With inputs from agencies.)