effects of mgnregs on the lives of beneficiaries in malappuram district of kerala, india- a case...

7/31/2019 Effects of MGNREGS on the lives of beneficiaries in Malappuram District of Kerala, India- A Case Study

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Effects of MGNREGS (Mahatma Gandhi National

Rural Employment Guarantee Scheme) on the lives of

beneficiaries in Malappuram District of Kerala, India

A case study

Rosemary Varkey M., MSW

MGNREGS: A case study from Malappuram District of Kerala, India Rosemary Varkey M.


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ACKNOWLEDGEMENT

I would like to extend my gratitude to the faculty members of Rajagiri College of Social Sciences,

who trained me to be a Professional Social Worker. I worked as an assistant in the project

Monitoring and Streamlining Convergence between MGNREGS and Ongoing Schemes of Other

Ministries in Malappuram District of Kerala undertaken by CSD (Council for Social

Development), Hyderabad. I am immensely grateful to the Project Director for his guidance. The

help extended by the officials in DRDA (District Rural Development Authority), Malappuram was

inevitable for this study. I am grateful to the Block Development Officers and MGNREGS staff of

Tirur, Nilambur and Ponnani Block Panchayaths, and panchayath officials and staff of Thalakad,

Thriprancode, Chungathara, Edappal and Thavanur panchayaths for assisting me in collecting the

data. Very special thanks to all the MGNREGS beneficiaries who gave their consent to be a part

of this study. The support given by my family members, teachers and friends are always the

strength behind every success of mine. Along with them I gratefully remember the guidance and

help bestowed on me by my co-workers.



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CONTENTS PAGE NO.

Abstract 4

Preface 5

List of Tables and Illustrations 7

Introduction 8

MGNREGS and Malappuram 12

Research Methodology 19

Data Analysis & Interpretation 20

Major Findings 31

Conclusion 38

Appendices

References 39

Tool of Data Collection - Interview schedule 40



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ABSTRACT

This study tries to understand the implication of a revolutionary scheme like MGNREGS in the

context of Kerala. It aims at understanding the factors that influenced the beneficiaries to go for

works under MGNREGS, though its wage rate is comparatively low. The immediate results

brought about by the implementation of the scheme on the lives of beneficiaries are especially

observed, since those are most likely the results for which the beneficiaries went for work. It is

analyzed whether the notion of employment of the common people, especially women, is altered as

a result of the scheme. Hitherto achievement of the schemes two-fold objectives, its

implementation mechanism, and beneficiaries utilization of the entitlements given by the scheme

are also included. The case studies from sample district helps in understanding the role played by

the scheme on the lives of beneficiaries. This study is throws some light on the curious

phenomenon of beneficiary enrollment in massive scale, though the wage rate is low in comparison

with the market wage rate.



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PREFACE

Kerala is a state that achieved significant socio-economic progress in India. The states

achievement in education and health, awakened political and public consciousness of the people,

increased female literacy, strong decentralized governance etc. are considered as the contributing

factors behind this accomplishment. The state is thickly populated and remittances of emigrants

from abroad (especially Gulf countries), supports nearly 25% of its economy. Earlier, two-third of

the population depended on agriculture and its allied sectors for their survival. Now the economy

of the state has increasingly been dependent on service sector.

Unemployment and underemployment are major problems in the state. Many educated youth arefinding it difficult to obtain a job according to their educational qualification. The high registration

in employment exchanges indicate the jobseekers preference to white collar jobs that is

considered as more dignified than manual labour. The number of practically landless poor is very

high in Kerala. Since land reform was implemented more than a generation ago, the homesteads

given to nearly three lakh families have now been partitioned or sold out and a large number of the

poor have nothing more than their house plots, diminishing the prospect of self-employment. The

falling agriculture labour opportunities and the shrinkage of government job prospects have

complicated the poverty situation. Collapse of traditional industries (coir, handloom, handicraft

etc.) which employ around 5.5 lakh people from the poorer sections of the society, due to

mechanization, introduction of synthetic alternatives and unfair trades aggravates the situation

further. Other contributing factors affecting the wage employment scenario in Kerala are the

presence of migrant labourers who are ready to do any labour with comparatively low wage and

the ever-increasing menace of alcoholism in the state and the resultant burden of womenfolk to

earn for the family along with performing the role of nurturer.

Before Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), which

guaranteed 100 days of wage employment in a financial year as a right to every household whose

adult member volunteer to do unskilled manual labour, implementation of wage employment



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schemes in Kerala was concentrated mainly on road construction as in other states. Since the wage

for labour is more than any other states in India, a wage employment scheme in Kerala always

shows peculiarity in the nature of its implementation. This study tries to understand the implication

of a revolutionary scheme like MGNREGS in the context of Kerala.

The research aims at understanding the factors that influenced the beneficiaries to go for works

under MGNREGS, though its wage rate is comparatively low. The immediate results brought

about by the implementation of the scheme on the lives of beneficiaries are especially observed,

since those are most likely the results for which the beneficiaries went for work. It is analyzed

whether the notion of employment of the common people, especially women, is altered as a result

of the scheme. Hitherto achievement of the schemes two-fold objectives, its implementation

mechanism, and beneficiaries utilization of the entitlements given by the scheme are alsoincluded. The case studies from sample district helps in understanding the role played by the

scheme on the lives of beneficiaries.

Though the wage rate is comparatively low, it is seen that beneficiary enrollment for the scheme is

in massive scale. This study is mainly intended to understand this curious phenomenon. This is an

apt time to study the qualitative changes brought about by the scheme, since the results of the

works carried out related to rural assets creation has just begun to show up. Also, new initiativeslike convergence of the scheme with other departments are being discussed increasingly nowadays.

Studying the effects of the scheme helps in understanding whether it, with its rights-based

approach, really addresses the menace of rural poverty.



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LIST OF TABLES AND ILLUSTRATIONS


Illustration Title Page No.Figure 1 No. of job cards issued during 2008-10 (Dec, 2009) 16

Figure 2 Distribution of Expenditure from May 08 to Dec 09 16

Figure 3 Expenditure growth during 2008-10(Dec, 09) 17

Table 1 Assets created during 2008-10(Jan) 19

Figure 4 Proportional Expenditure on Assets Creation 2008-10 19

Figure 5 Participation of Different Castes 24

Figure 6 Religion wise Participation 24

Figure 7 Gender in NREGS Participants 25

Figure 8 Age Groups of Participants 25

Figure 9 Educational level of NREGS Participants 26

Figure 10 Landholding of NREGS Participants 26

Figure 11 Market Wage Rate in Malappuram District 27

Table 2 Indebtedness of NREGS Workers 28

Figure 12 Sources of Awareness 29

Table 3 Awareness Level 29

Figure 13 Delay in Wage Payment 31

Table 4 Participants Satisfaction Level 31

Table 5 Reasons for Participating in NREGS Works 32

Table 6 Purpose on which the NREGS Wages were spent 33

Figure 14 Personal level reasons to take up MNREGS work 38


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INTRODUCTION

Kerala is a state that achieved significant socio-economic progress in India. There is a Kerala

model of development in the Development Economics. In spite of the decreased growth in

production and industrial sector and decreased per capita GDP, the high standard of living (HDI)of the people is considered as a paradox in the theory of Economics. The states achievement in

education and health, awakened political and public consciousness of the people, increased female

literacy, strong decentralized governance etc. are considered as the contributing factors behind this

accomplishment. The state is thickly populated and remittances of emigrants from abroad

(especially Gulf countries), supports nearly 25% of its economy. Earlier, two-third of the

population depended on agriculture and its allied sectors for their survival. Now the economy of

the state has increasingly been dependent on service sector. 28.4% of the population is

categorized as below poverty line (BPL survey, 1997) while it is 36.3% in the country. The

number of practically landless poor is very high in Kerala. Since land reforms was implemented

more than a generation ago, the homesteads given to nearly three lakh families have now been

partitioned or sold out and a large number of the poor have nothing more than their house plots.

Unemployment and underemployment is a major problem in the state. Many educated youth are

finding it difficult to obtain a job according to their educational qualification. The high registration

in employment exchanges indicate the jobseekers preference to white collar jobs that is

considered as more dignified than manual labour. The falling agriculture labour opportunities and

the shrinkage of government job prospects have further complicated the poverty situation.

Extortionate wages demanded by educated and awakened labourers caused farmers to keep their

agricultural fields fallow unless they are convinced about the return. From 90s onwards, area

under paddy has been on the decline up to 50%. Uncertainty in prices of the cash crops that is

highly dependent on the external factors like export- import decisions of the governments

worldwide also contributed to the decline. Collapse of traditional industries (coir, handloom,handicraft etc.) which employ around 5.5 lakh people from the poorer sections of the society, due

to mechanization, introduction of synthetic alternatives and unfair trades aggravates the situation

further.



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Before NREGS, implementation of wage employment schemes in Kerala was concentrated mainly

on road construction as in other states. Since the wage for labour is more than any other states in

India, a wage employment scheme in Kerala always shows peculiarity in the nature of its

implementation. This study tries to understand the implication of a scheme like NREGS in the

context of Kerala.

NREGS Implementation in Kerala

The NREGS was initiated in two districts of the state on February 2006 in the backdrop of serious

agrarian crisis- Wayanad and Palakkad. The following are the key findings of an impact

assessment of the scheme for the year 2005-07 in these two districts, done by Centre for Rural

Management (CRM), Kottayam.

Excessive registration of households was noted.

94.78 % of the households demanded received employment.

Analysing the socio-economic profile of beneficiaries clearly indicate that they belong to

the target group of the scheme.

Flood control and protection, renovation of traditional water bodies, micro irrigation and

water conservation and harvesting are the thrust areas of work.

Rural connectivity was given the least priority.

No unemployment allowance was provided to the eligible non-beneficiaries.

Majority of the non-beneficiaries are eligible for either work or unemployment allowance.

Several regulatory measures were taken to control the demand for job and avoid payment

of unemployment allowance.

Presence of vibrant Panchayati Raj Institutions, particularly, the Gram Panchayats, during

the scheme execution has been noted.

Active involvement of Kudumbasree volunteers during the scheme.

Average number of work received by a NREGS worker in the State is 39.15 days.



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Considering the improvement of annual family income, 14 percent beneficiary households

in Palakkad and 13 percent in Wayanad could cross the limit of Rs.22,000, owing to the

intervention of NREGS.

The results of NREGS on the rural poor in NREGS districts in elevating the income of

beneficiary household was easily visible unlike previous wage employment programmes. No involvement of contractors during the scheme execution.

Less use of machinery during the works.

Quality of work carried out under NREGS is Good.

Several positive impacts have been noted. The scheme resulted in checking migration,

reducing household indebtedness, improving soil/water conservation and enhancing

agricultural productivity.

Less transparency is noted during sanction of works. A slight improvement in transparency during the implementation of works.

Several systems/institutions/procedures were developed to smoothen the scheme execution.

However, adequate attempts are not made to sustain them.

Lack of co-ordination with line departments/agencies during the plan formulation and

implementation.

No synergy with other rural development programmes.

Preparation and use of District Perspective Plan and Work-Time-Motion study was notundertaken.

Absence of a scientific and realistic labour budgeting.

No social audit was undertaken so far.

Efforts are being initiated to implement SGRY in the non-NREGS districts in the State

from the year 2007-08, which could be viewed as contagious effect of NREGS.

CRM observes that major defects identified during previous Wage Employment Programmes werealmost absent in the MNREGS governance in the State. They highlight that provision of equal

wages to men and women, non-involvement of contractors, very limited use of machinery,

adherence to wage-material ratio, absence of muster roll manipulations, etc. were almost alien

during the scheme execution in both the districts. Increased women participation and supervisory



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role performed by Kudumbashree and active involvement of Gram Panchayats as implementing

agencies, are other salient features of NREGS governance in Kerala. They underline the shifting of

priority from rural connectivity to long-term sustainability projects on land, water and bio-mass

after the introduction of the scheme. Based on statistical analysis, CRM concludes that the scheme

has been turned to be a relatively better strategy to address poverty than its predecessor schemes.

In April 2008, NREGS was expanded to all other districts of the state. From the official website

launched by the Ministry of Rural development, the rapid changes brought about by the scheme in

rural areas can be understood. Until March 2010, about 2.5 households have been provided

employment and the person-days of employment generated touched 3 crore mark.

Following is a description of MNREGS implementation in Malappuram, the most populated

district of India and considered as the most backward district in Kerala.



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NREGS AND MALAPPURAM

Malappuram- Profile

Malappuram, as its name literally means, is the land of hills. Located in the northern part of the

state, it has a geographical area of 3350 sq. kms of which 28.5 percent is covered by forests. Thedistrict has more or less the same climatic conditions prevalent elsewhere the state, viz. dry season

from December to February, hot season from March to May, the Southwest Monsoon from June to

September and the North East Monsoon from October to November. Three great rivers flowing

through it - the Chaliyar, the Kadalundi and the Bharathappuzha, enrich it. Like most of the other

districts of the state, Malappuram too consists of three natural divisions; lowland, midland and

highland. The low land stretches along the coast of Arabian Sea (70 Kms) the midland, where

luxuriant growth of coconut trees can be seen, in the centre and the highland region towards the

east and north eastern parts mainly consisting of forest regions and teak plantations.

Malappuram district is projected to be the most backward district in Kerala. This district also has a

place in the list of backward districts in India as classified by the Union Ministry of Health and

Family Welfare in India. Based on the composite index developed on the basis of socio-economic

and demographic indicators by Ram and Shekhar (2006), this district is still placed at a very low

position compared to the other districts of Kerala. The rank of this district with regard to thecomposite index is 180 out of a total of 591 districts when most of the other districts of the state

are well placed (PRC, Trivandrum). As in other districts of Kerala, pockets of poverty can be

observed here too- Tribal colonies and fisherfolk community continue to be in poverty despite the

progress achieved by other sections of the society. High fertility rate and educational backwardness

especially among minority community is also observed.

Fertility rate in Malappuram has been declining but it still has the highest birth rate in the state.

The density of population is 1022 persons per sq. kms., which is much higher than the state

average (819 persons per sq. kms). Literacy rate as per 2001 census is put at 89.61 percent, males:

94.8 percent and females: 88.7 percent. The percentage of urban population is 9.82 (2001 census).

54% of the land is used for cultivation. 2.7% of the population is agricultural labourers, of which



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17% are females. According to a study done by Population Research Centre (PRC), Trivandrum,

40-45 percent of males are economically active, while it is only less than 10% for females.

Considerable numbers of people work in Gulf countries.

Muslims constitute the majority of the population, and next comes the Hindu and the Christiancommunities respectively. The Muslims of Malappuram district are known as Mappilas. A great

majority of them are traditional Sunnis following the Shafi School of thought and the second

majority is the followers of "Salafi" thoughts. They are known as Kerala Nadvathul Mujahideen,

who caused an accelerated growth in social development and education among Muslims. SCs

constitute 2.62% and STs 0.12% of the population.

Information on Work Participation rate (WPR) assessed by PRC reveals that male and femaleWPR varies between a low of 32.5 percent and 1.7 percent respectively in Thennala panchayat and

a high of 51.3 percent and 16 percent respectively in Chaliyar panchayat. Among those employed

in some kind of work (both Main workers and Marginal Workers), the proportion of male

Agricultural labourers varies between a low value of 2.5 percent in Vettom panchayat and high of

41.3 percent in Thrikalangode panchayat. The corresponding variation with regard to females is

between 3.5 percent in Kalpakancherri and 65.9 percent in Edapatta panchayat. The proportion of

Males and Females employed in Cultivation is highest in Vettathur panchayat (17.1 and 14.8

percent respectively) whereas, the least proportion of male and female cultivators are seen in

Vettom (1.5 percent) and Tenhippalam (0.7 percent) panchayat respectively.

MNREGS PROGRESS IN THE DISTRICT

MNREGS was introduced to the district in the year 2008, in the third phase of its implementation.

More than 2 lak households have been registered under MNREGS till February2010. Like in other

districts of the state, the scheme became a major poverty alleviation programme of the rural LSG

institutions. Swift increase could be observed in the no. of people registered under the scheme, job

card issued, workdays generated, expenditure incurred, wages distributed, etc. The following

graphs explain this:



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Figure 1: No. of job cards issued during 2008-10(Dec, 2009)

Figure 2: Distribution of Expenditure (in crores) from May 2008 to Dec 2009



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Figure 3: Expenditure growth during 2008-10(Dec, 09), in crores

From the above illustrations, it is evident that the expansion of MNREGS has been rapid ever since

its inception in the district. 5.4% of the total households of the district have so far been registered.

86% of the job card holders are women. The SC populations contribution to the person days

generated till December 2009 (7.66 lakh) is 34.35% albeit they constitute only 7.86% of the

populace. The same trend can be observed with regard to Scheduled Tribes also- 1.13% of the

workdays were contributed by 0.34% of this section. More than 80 per cent of the expenditure was

incurred to meet the wage component. The administrative cost has comedown from 16.45 per centin 2008-09 to 9.51 per cent in 2009-10.

Organizational set up and implementation mechanism

At least two full time staff in every intermediary & Gramapanchayats and an IT Professional and

an Accountant-cum-Computer assistant have been appointed at the district level on contract basis.

The PRI representatives, CDS/ADS/NHG leaders, BPOs and JBDOs of block panchayats,

Extension Officers of panchayati raj institutions, AEE/overseers from line departments, Village

Monitoring Committee members, VSS/SC/ST promoters and Gramasabha facilitators are involved

in the implementation of the scheme under the District Programme Coordinator/District Collector

and Joint Programme Coordinator/ Project Director from PAU. 5132 officials from PRI system &



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other line departments and 1132 Kudumbashree volunteers were given training on various

segments of MNREGS implementation. The full time staff is responsible for record maintenance,

accounts management, day-to-day administration, field level measurements/verification etc.

Gramasabhas identify works and the panchayat committee prepares an annual Action Plan based

on this which is submitted to block level and integrated to Block plan. A labour budget is also

prepared alongside. The AAP of the block is submitted to District panchayat and if the

administrative and technical sanctions are obtained from each level, the work is carried out in

villages. The ADS chairperson functions as mate in each ward.

The Management Information System (MIS) has been started in all the blocks of the district.Online data entry is done from each Gramapanchayats. National Information Commission and

DPCs office monitors the entire system. Common citizen can avail basic information on the

scheme from the official website. A grievance redressal mechanism is also put in place at every

level. Complaint boxes are available in all the block and gramapanchayats. A toll free telephone

number is also publicized for the commoners to state their complaints at the district level.



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Results of MNREGS- Rural assets creation

Asset/Work 2008-09 2009-10

Water Conservation/harvesting 51 176

Drought proofing 3 130

Micro irrigation works 175 309

Irrigation facility in STs, SCs and IAY beneficiaries' Lands 42 128

Renovation of traditional water bodies 71 427

Land development 127 235

Flood control and protection 2061 1898

Rural connectivity 14 97

Other Activities (elephant trenches, fireline in forests) 4 0

Table 1: Assets created during 2008-10(Jan)

Figure 4: Proportional Expenditure on Assets Creation 2008-10 (%)



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The reason for the increased no. of works undertaken comes under flood control and protection is

the presence of three major rivers (Bharatapuzha, Chaliyar and Kadalundi) and its numerous

distributaries. A coastal area of 103417 hectares (28.47% of total area) also necessitates the

protection of agricultural fields from intrusion of saline water by means of sand bunds across

rivers. In convergence with forest department, Harithakeralam, a social forestry programme is being implemented in the district under MNREGS. 3.2 lakh saplings have so far been planted in

government and quasi-government land. Besides, protection of riversides from erosion is carried

out by planting vetiver, neermaruthu and bamboo. These works along with water conservation and

irrigation programmes increased the ground water holding of the land and consequently boosted

agriculture, especially paddy cultivation. More than one metre increase of water table is reported

from a sample panchayat (Thalackal). The far-reaching effects of the works done so far are yet to

be assessed.



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RESEARCH METHODOLOGY

Title of the study

A study on the effects of NREGS on the lives of beneficiaries in Malappuram District

General Objective

To study the effects of NREGS on the lives of beneficiaries in Malappuram District

Specific Objectives

1. To understand the factors that influenced NREGS beneficiaries to go for works under the

scheme

2. To understand the results brought about by the scheme on the lives of beneficiaries.

Sampling Technique

Simple random sampling- 5 panchayats (Thalakad, Thriprancode, Chungathara, Edappal and

Thavanur) were selected by lottery method for the study. The respondents were selected from the

worksites on random basis

Sample size

120 beneficiaries of the scheme from

Methodology

The study utilizes both primary and secondary data related to the scheme. Non participant

observation is another method used for collecting primary data. Interview schedules are employed

for collection of quantitative and qualitative data from the beneficiaries.



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DATA ANALYSIS AND INTERPRETATION

As part of the study, the responses of NREGS participants are being solicited on five broad areas:

a) Social status of the respondents (caste, religion, education, family type, etc.); b) Economic

status of the NREGS participants (main occupation, number of earners in the family, market wagerate, ownership of land, etc.); c) Awareness level of NREGS norms (work within 15 days of

demand, unemployment allowance, gramasabhas role, worksite facilities, social audit, etc); d)

Wage Payment (work measurement, number of days taken to receive the payment, etc.); and e)

Impact of NREGS, mainly the improvements NREGS brought in the participants life.

Social Background of participants

Substantial population of Malappuram district has migrated to the Gulf Countries and remittances

from these migrants is one of the major income sources for the people of this district. As a result,

the people who are registered under NREGS is restricted only to a few sections of the society

particularly, to the Scheduled Castes and backward communities. In Malappuram, people

belonging to weaker sections are found to be quite high in the NREGS workforce, particularly

those from Scheduled Castes. As data in Figure 5 shows, 37.5 per cent of NREGS participants

belong to Scheduled Castes. This percentage is quite high comparing with their proportion in the

district, which is 7.86 per cent. Similarly, a 37 per cent of the NREGS workers are the people

belonging to the backward communities. As the Scheduled Tribes population in the district is veryless (0.34%), people belonging to these communities are only three per cent in the sample sites

where monitoring intervention has been carried out.

Figure 5: Participation of Different Castes Figure 6: Religion wise Participation



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The composition of religious groups in NREGS worksites is very interesting. The participation of

Muslims is very less though they constitute more than 50 per cent of the population in the district.

Only 22.5 per cent of Muslims took part in NREGS activities (Figure 6). The traditional values and

historical practices still come in the way of taking up these works However, according to the

participants, even the present day participation level of Muslim is much higher than in the past.Many Muslim women, who were quite hesitant to take up work outside their homes, now

participate in NREGS works.

Around 96 per cent of the NREGS participants, like elsewhere in Kerala are women. The

participation of women increased from 78.72 per cent in 2008-09 to 95.8 per cent in 2009-10

(Figure 7). The high wage rate for men together with the increased construction activity makes

very few men to take part in NREGS works. In fact, women participation in the construction

activity is no less. It is mainly those who do not want to go out of their village are the ones thatfound taking part in NREGS works.

Figure 7: Gender in NREGS Participants Figure 8: Age Groups of Participants

The age group pattern among NREGS workers is also points to a similar phenomenon. The

younger people who can work in the construction activity or other harsh works found participating

very less in NREGS works. Only 6.7 per cent of NREGS workers belong to the age group of 18-30

(Figure 8). More than 75 per cent of NREGS workers are in the age group of 31-50.

Figure 9: Educational level of NREGS Participants



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With regard to the education, a majority of NREGS participants (58.3%) are educated up to the

primary level of education (Figure 9). A quarter of NREGS workers are educated up to secondary

level. It is only 1.70 per cent that had entered into higher secondary or college.

Figure 10: Landholding of NREGS Participants



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One of the important parameters to indicate economic status of the rural population is holding of

agricultural land. As Figure 10 indicates, most of the NREGS workers are holding just a small

piece of land, mostly using this for residential purpose. This indicates that they have no income

from land.

Economic status of respondents

The economic status of the rural poor is dependent on many factors such as occupation, nature of

the family in which the individual is living, the number of dependents in a household, the standard

of living in and around their living place, etc. 60.83 per cent in Malappuram district have stated

that they are living in nuclear families. More than 60 per cent of the households of NREGS

participants are having 4-6 members.

A majority of the NREGS participants are casual workers, mostly involved in agricultural works.

Only 5 per cent of the workers stated that they are occupied with their own works and not going as

labourers in private works. Similarly, 65.83 per cent of the NREGS participants in the sample

worksites belong to BPL category.

Figure 11: Market Wage Rate in Malappuram District

Since the living standard of the rural workers is determined by the wage rate they earn, an attempt

has been made to find out market wage rate for both agricultural and non-agricultural works. As



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Table 2: Indebtedness of NREGS Workers

Indebtedness Persons %

Nil 70 58.3

1-25000 26 21.7

25001-50000 9 7.5

75001-100000 6 5

100001+ 9 7.5

Total 120 100

24

the data in the above Figure 11 indicates, a substantial number of NREGS workers (37.5%) stated

that the agricultural wage rate is Rs. 200 in the district. Around 38 per cent of the participants

stated that it is between 225-250 rupees. The wage rate for non-agricultural works is much higher.

Almost half of the NREGS workers whom interviewed stated that the wage rate for non-

agricultural works is Rs. 275/-. Overall, the range they mentioned for non-agricultural wage ratevaries between Rs 175-350. However, the rates stated by NREGS workers are not static they

change from period to period depending on the seasonality.

The household debt is another criterion which indicates the economic status of the people. Though,

having debt is considered to be bad generally (because it reveals the economic vulnerability of the

person), however, in case of the poor, it also indicates their credit worthiness. Usually the people

with repaying capacity only get loans from the public or private bankers. One of the important

contributions of the NREGS, according to many participants, is that it increased the chances for getting loans from banks and cooperatives. In few cases, they could secure loans from the private

lenders as well.

With regard to the NREGS participants in the sample work sites, 42.5 per cent have stated that

they took loans for various purposes. However, in most of the cases the amount borrowed was less

than 25,000 rupees (Table 2). Only 18 among the interviewed stated that they have taken a loan

exceeding that. In this nine people informed that they have borrowed more than a lakh rupees for

their requirements. Of the 50 persons (out of 120) who stated that they have taken loans, 19 taken

from banks, 24 from cooperatives and the remaining seven people from private lenders. The



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participation of women in Kudumbashree and the little amount they save in it increased their

chances of getting loans from the cooperatives and banks.

Awareness level

The awareness to people is very important for the successful implementation of NREGS. Theinbuilt transparency and accountability norms can be made effectively operational only when

people are aware. Many institutions and civil society organisations do play a critical role in

generating awareness among the stakeholders. The processes through which these institutions

interact with people also extensively enhance the awareness level among the people.

As stated earlier, due to the overall socio-economic and political context - political activism,

presence of agricultural workers unions, strong civil society organisations, etc. the awareness

level of Kerala NREGS workers is relatively high in comparison with their counterparts elsewhere.The prevailing political competition, due to the two party system, also contributes in informing

people about various development programmes and provisions incorporated in each of these

programmes. The local governance system in Kerala, with its institutionalised structures, is

instrumental in informing people about various government schemes and development initiatives.

Most importantly, the strong Kudumbshree network in Kerala contributes immensely in awareness

generation as well as in implementing NREGS by involving its members in the activities.

Figure 12: Sources of Awareness Table 3: Awareness Level

Hence, it is not surprising that more than 65 per cent of the NREGS participants stated that they

came to know about NREGS through Kudumbashree ADS (Figure 12). Similarly, a quarter of the



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participants cited Panchayats as their sources of information. The remaining workers stated that

they came to know about NREGS through other sources like media, neighbours and relatives.

The awareness level of the NREGS participants on various provisions incorporated in NREGS is

shown in Table 3. Most of the NREGS workers in the sites are aware of the provisions related to

100 days of work (90%), providing work within 15 days of demand (74.2%), and Gram Sabha

approval for work (81.7%), facilities at worksites (92.5%), etc. Nearly half of the participants

know about the norms related to unemployment allowance and the responsibility of GP in

providing the work. However, the awareness level of the participants is rather weak on issues

related to social audit (6.7%) and Toll free number available for them to register their complaints

or to express their grievances.

NREGS Implementation

The NREGS participants are highly appreciative of the scheme, as it has relieved them from some

of the problems they encounter in every day life. However, they have also expressed some of the

problems they encounter while participating in NREGS. One such issue that frequently cropped up

during the field visits and interactions with the NREGS participants is the delay in wage payment.

While being sympathetic towards the Panchayats and NREGS administration, for their efforts in

the implementation of NREGS, the participants were also critical of delays in wage payment. A

combination of factors, such as wider jurisdiction of Panchayats, understaffing, delays in

submitting muster rolls by Kudumbashree mate, delays in data entry due to slowness of online

server, etc. in fact resulting in the delays of wage payment.

According to a majority of workers, usual time taken for receiving their payment is around one

month. As shown in the Figure 13, a 51.69 per cent of the workers stated this. Slightly more than a

quarter of the participants stated that they get their payments in 15 days time. However, 21.34 per

cent of the NREGS participants stated that they have to wait more than a month for receiving their

wage payment. As a result, 37.5 per cent of the workers expressed their dissatisfaction with thedelay in wage payment.

Figure 13: Delay in Wage Payment


Table 4: Participants Satisfaction Level

Issues

SatisfactionLevel

Persons %

Wages 82 68.3

Worksite Facilities 108 90.0

Nature of Work 108 90.0

Wage Payment 45 37.5

Work Tools 93 77.5

Work Environment 108 90.0


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However, the participants have expressed their overall satisfaction with many other aspects relating

to the implementation of the NREGS. An overwhelming majority (90%) of the participants stated

that they are happy with the facilities provided at the worksites, nature of the work they undertake

as well as the overall work environment (Table 4). Some of them have expressed that the wages

need to be increased considering the escalating cost of living. They have also suggested that thereshould be an improvement in the supply of working tools.

Impact of NREGS

The impact of the NREGS on rural poor is immense and same has been documented by many

studies. As stated earlier, the introduction of NREGS saved many people who were otherwise

living in chronic poverty with hunger and malnutrition. It reduced rural to urban migration,increased the market wage rates, and secured food even in those periods when other works are not

available. In relatively developed parts, the additional income gained from NREGS is facilitating

people to improve the health and the educational standard of their family members, particularly the

children and in some cases a few of the rural workers saving a small amount of their wages for

productive purposes.

In Malappuram district, most of the NREGS workers have stated that they take part in NREGS

activities only when other works in and around their village are not available. Because of the high



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Table 5: Reasons for Participating in NREGS Works

Reasons

Perso

ns %

Non-Availability of PrivateWork 57 47.50Other Reasons 6 5Social Interaction 7 5.83Government Job 37 30.83Relaxed WorkingEnvironment 8 6.67Not Going for Private work 2 1.67

Age and Health 3 2.5Total 120 100

Table 6: Purpose on which the NREGS Wages were spent

Spending OnPerso

ns %

To meet Daily Expenses 92 76.66Children's Education 11 9.17Repaying the Loans 8 6.67Savings 6 5

Medical Expenses 3 2.5Total 120 100

28

market wage rate, most of them prefer private works instead of NREGS works. They take part in

NREGS works when other works are not available (Table 5). A significant number of workers

(47.5%) stated that they participate in NREGS works when private works are not available. On the

other hand, 37 per cent of workers stated that they participate in NREGS activities because they

consider it as government job. The other benefits associated with participating in NREGS gettingrice, pension, loans from Kudumbashree and other cooperatives also the reasons they cited for

taking part in NREGS. The other factors the NREGS participants mentioned are relaxing and

flexible working environment, poor health and old age, social interaction at NREGS worksites,

participation of neighbours, etc. for participating in NREGS.

An understanding of how the NREGS participants spend their wages reveals the kind of poverty

they are living in. Those who are relatively better off spend their wages on improving their living

status in terms of acquiring new assets, sending children for higher education, repaying the loans,

etc. On the other hand, those who are struggling to get means of their daily survival spend their

income on meeting their daily expenses.



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As figures in Table 6 indicate, a vast majority of NREGS participants are poor and 92 out of 120

workers (76.66%) are spending their wages to meet daily requirements. Since what they get from

NREGS is adding to their overall income level, their life struggles have become less harsh. Only a

small proportion of the participants stated that they are using NREGS wages for childrens

education (9.17%), repaying the loans (6.67%), savings (5%) and on medical expenses (2.5%).

Overall, among those who were interviewed, 85 per cent of the participants stated that NREGSimplementation improved their living standards by adding an additional income to what they are

already earning. To that extent, the NREGS improved their lives and some part of wages can be

spent on productive purposes like getting treatment for long term diseases, sending children to the

school, repaying the loans taken earlier, acquiring household goods like TV, mobile phones, etc.

and saving small amounts in cooperatives and banks. However, the remaining 15 per cent stated

that no drastic changes happened in their lives. The later category of people live in joint families

with more than five members and 100 days of additional work do not have much impact on their

daily living.

Apart from this, most of the NREGS workers (90%) stated that they regularly attend Gram Sabha

meetings. However, their involvement in the selection of the works is very less (78%). Similarly,

the overwhelming majority of participants (93%) in NREGS works is not aware of social auditing

and stated that they havent participated in it so far.

With regard to 100 days of work, 98 participants out of 120 stated that the number of days should

be increased. Another 19 participants stated that either it should be applicable to individual not to

household or it should vary depending on the size of the household. Only 3 persons stated that the

present 100 days of work is enough.



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Overall, the participants in NREGS worksites stated that there is a positive impact all around with

the introduction of NREGS. At individual level it increased the annual income of household, which

helped them in meeting day-to-day requirements with less hardship. It also increased the

confidence level of the people, increased financial independence and freedom to women, improved

social standing and facilitated social interactions. Most importantly, it facilitated communalharmony among the people. Many traditional women, particularly the Muslim women who usually

do not go for private works, are participating in NREGS activities. Apart from this, according to

the NREGS participants, the NREGS implementation also increased faith on government due to

transparency and accountability norms incorporated in it. Many of the participants opened accounts

in the banks after they registered for NREGS. Lastly, as it happened every where, the NREGS

strengthened the village infrastructure by adding new assets or strengthening the existing ones.

This will definitely enhance the productivity of land and boost the rural economy.



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MAJOR FINDINGS

Majority (74%) of them have only primary level education/ illiterate

Market wage rate is in the range of 150-175 for agricultural labour and 200-275 for

other labour (for women)

Landholding of the beneficiaries is minimal. Almost all of them have just a house and

2-3 cents of land around it. For some, even this is under debt.

More than half of them are in the workforce for the first time

They decide to go for NREGS under severe poverty situations only (unmarried and

singly living women, diseased/ alcoholic/physically challenged husband, low income of

earning member, liabilities like loan, etc)

Most of them (93%) are from BPL category. Many hold AAY card. Those workers

who hold APL card complain about it.

The monthly income of the respondents family is in the range of 1500- 7000

The workers came to know about NREGS via meetings conducted in neighbourhood

groups (Kudumbashree) under the direction of Panchayati Raj representatives

Most of the workers have attended awareness classes about the scheme. They have an

idea (rather vague) about 100 days of work, work within 15 days of time if demanded,

gramasabha approval for works, facilities like tent, medical kit and drinking water at

worksite. Majority attend gramsabha.

About 1 month is taken for wage distribution (due to procedures). But this is getting

better and wage is disbursed within 2 weeks now.

Labourers had to wait upto 2 months for wage. (Informal conversation gave the

information that the delay was up to 3-4 months!)



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However, compensation has not given for this delay since no one complains. The

relationship with mate and other implementing bodies prevent them from complaining.

Why the beneficiaries come for NREGS work though the wage rate is lesser than that of the

market rate?

Working for a private land owner is considered as less dignifying than that of a government

job. (This has connection with the history of Zamindari system and untouchability, in

which the mighty land owners had a self given right for exploiting/abusing the labourers

economically, sexually, physically, psychologically etc.)

In private lands, they have to work harder, while NREGS work is less stressful and its

environment is friendly

The wages received, usually once in a month- usually around 1400 rupees, is like a salary.

They can use it for buying household utensils or meeting educational expenses of children.

This is not practically possible with daily receipt of wages.

The wage received is automatically saved in the bank account.

Most women opened a bank account because of the scheme

Other labours are not available, especially in off season. (Farmers keep their land fallow)

Many women are not used to work for daily wages. So they will not be called by land

owners usually. These women also have the fear that they may not be able to do the work

demanded.

Old, physically challenged, diseased and weak come for NREGS work since no one will

scold them if they lag behind.

The workers find the worksite as a platform to share their sorrows and happiness of life.

They also organize functions/treats in between, to honour those who completed 100 days.

Also, those who completed 100 days, comes back to the worksite after receiving the wage,



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to treat the workers with a lunch. In their own words, we are like a family. This kind of

intimacy is not possible in private lands.

An individual level analysis of the reasons for taking up NREGS works reveals that the

workers are depending on the scheme because of helplessness in the majority of cases. The

following diagram reveals this:

Figure 14: Personal level reasons to take up MNREGS work

What did the worker do with the wage earnings?

Wage is not enough to save. The workers use it for meeting daily expenses in running thefamily. Majority of them started a bank account because of the scheme. One old woman

remarked that they had not even heard about bank account before.



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Satisfaction

The workers are generally satisfied with the worksite, wage, nature of work and work tools.

Even the always delayed wage payment also is satisfactory to many of them since they get the

cash together and can use it for purchasing household appliances

All the respondents opined that 100 days norm is not enough, since they cant depend

fully on other manual labours

Overall impact of NREGS

Many women, who were afraid and less confident about going out for physical labour

came forward and joined the workforce. This increased their confidence and financial

independence.

Social relationship and bonding increased. Workers at a site is like a family in their

own words

Standard of living of many poor households increased. (the kind of food, purchase of

clothes and household articles, ease in paying school fees, medical expenses etc)

Works are generally perceived by the workers as useful for the community

The scheme has been implemented at a time when the farmers were withdrawing from cultivation

due to unprofitability and the consequent distress faced by the agricultural labourers that constitute

2.7% of the population. Majority of them belonged to 40 years and above age group since youth

are reluctant to do manual labour. The scheme got recognition as a blessing to this section that

comprises 17% of women labourers. The aged, weak and physically challenged, whoseemployment opportunities are diminished also found solace in the scheme for meeting both the

ends. Decrease in distress migration is also observed after its implementation.



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Many women, especially from orthodox Muslim community who have not gone for any kind of

work outside the family got enthusiastically registered themselves with the proud that they are

government employees and opened a bank account in their name for the first time. Women having

no livelihood support from husbands due to death, alcoholism, diseases, disability etc also got

enrolled. The income thus obtained surely goes to the family as the workers mainly constitutewomen. From the interaction with the workers, one can understand the significant change

happened in their standard of living and how much they find the scheme as a blessing. From

meeting day-to-day expenses to saving it for paying school fees and purchasing consumer

durables, beneficiaries are excited when they receive money and spend it for various purposes.

Though delay in wage payment could be observed in some isolated places of the district, it was

within 14 days in majority of the cases. As part of this study, it is observed that wage is being

distributed within 10 days in the sample panchayats now.

In continuation to the revolution brought about by the Kudumbashree, it is observed that the

targeted beneficiaries are actively participating in Gramsabha and considering it as the democratic

platform to voice their grievances related to the scheme. It (Kudumbashree) was really a pre-

condition by which the implementation of the scheme was smooth. Some women even opined that

MNREGS is kept going by the foundation laid by Kudumbashree.

However it is noticed that there is a general dissatisfaction on the amount of wage, though it is the

highest in the country. Since prices for essential commodities are on the rise and the targeted beneficiaries of the scheme have no other source of income other than the daily wage, they find the

wage raise reasonable. They also commented that 100 days is not enough and they need work all

through the year. Interviewing the implementers was successful in bringing forth the satisfaction

and silent grudges of exhausted full time workers of the scheme- especially the data entry operators

and overseers.

Two challenges faced by the implementers

Inadequate staff

As in other districts, an Overseer and a Data Entry Operator are appointed as full time staff for

MNREGS in intermediary and Gramapanchayat levels. At the district level, an IT professional and



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The progress made during the last two years clearly indicates that the scheme is being implemented

in such a manner that it justifies the administrative potential of the district. The tremendous

growth in distribution of job cards and wage, within this time span rationalize isolated incidences

of flaws like delay in wage payment, selection of inappropriate works, lack of interdepartmental

coordination, murkiness in the procedures behind giving technical and administrative sanction, etc.



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CONCLUSION

MGNREGS is definitely a boon to weaker sections of the society, The scheme has been

implemented at a time when the farmers were withdrawing from cultivation due to unprofitability

and the consequent distress faced by the agricultural labourers, that constitute 2.7% of the

population. Majority of them belonged to 40 years and above age group since youth are reluctant to

do manual labour. The scheme got recognition as a blessing to this section that comprises 17% of

women labourers. The aged, weak and physically challenged, whose employment opportunities are

diminished also found solace in the scheme for meeting both the ends. Decrease in distress

migration is also observed after its implementation.

Many women, especially from orthodox Muslim community who have not gone for any kind of

work outside the family got enthusiastically registered themselves with the proud that they are

government employees and opened a bank account in their name for the first time. Women having

no livelihood support from husbands due to death, alcoholism, diseases, disability etc also got

enrolled. The income thus obtained surely goes to the family as the workers mainly constitute

women. From the interaction with the workers, one can understand the significant change

happened in their standard of living and how much they find the scheme as a blessing. From

meeting day-to-day expenses to saving it for paying school fees and purchasing consumer

durables, beneficiaries are excited when they receive money and spend it for various purposes.Though delay in wage payment could be observed in some isolated places of the district, it was

within 14 days in majority of the cases.

In continuation to the revolution brought about by the Kudumbashree, it is observed that the

targeted beneficiaries are actively participating in Gramsabha and considering it as the democratic

platform to voice their grievances related to the scheme. It (Kudumbashree) was really a pre-

condition by which the implementation of the scheme was smooth. Some women even opined that

NREGS is kept going by the foundation laid by Kudumbashree.



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However it is noticed that there is a general dissatisfaction on the amount of wage, though it is the

highest in the country. Since prices for essential commodities are on the rise and the targeted

beneficiaries of the scheme have no other source of income other than the daily wage, they find the

wage raise reasonable. They also commented that 100 days is not enough and they need work all

through the year.

References

1. Chathukulam, Jos and Gireesan K., Impact assessment of NREGS in Kerala-Evaluation of systems and processes ,submitted to ministry of rural development, Government of India, prepared by Centre for Rural Management (CRM) Kottayam, Kerala

2. Cornell, Dejong, Monette, Duane and Sullivan, Thomas, 2007; Applied Social research-

Tool for the human service ; Brooks Cole publishers

3. Ghosh, B.N, 1992; Scientific Method and Social Research ; Sterling publishers Pvt Ltd

4. http://www.thehindu.com/2008/01/22/stories/2008012254901000.htm

5. Kannan, K.P , Dec 2009, Employment in lean seasons, Development and

Cooperation, Vol: 36 Issue: 12

6. Nandini Nayak , Reetika Khera , Oct 2009, Women workers and perceptions of the National Rural Employment Guarantee Act, Economic and Political Weekly , Vol: 44Issue: 43 pp: 49-57

7. Wilkinson and Bhandarkar, 2005; Methodology and techniques of social research ;

Himalayan publishers

http://www.thehindu.com/2008/01/22/stories/2008012254901000.htmhttp://www.inwent.org/ez/articles/162560/index.en.shtmlhttp://www.indiaenvironmentportal.org.in/category/name-journal/development-and-cooperationhttp://www.indiaenvironmentportal.org.in/category/name-journal/development-and-cooperationhttp://www.indiaenvironmentportal.org.in/taxonomy/term/8004http://www.indiaenvironmentportal.org.in/category/author/reetika-kherahttp://www.indiaenvironmentportal.org.in/category/author/reetika-kherahttp://www.epw.in/http://www.epw.in/http://www.indiaenvironmentportal.org.in/taxonomy/term/8308http://www.inwent.org/ez/articles/162560/index.en.shtmlhttp://www.indiaenvironmentportal.org.in/category/name-journal/development-and-cooperationhttp://www.indiaenvironmentportal.org.in/category/name-journal/development-and-cooperationhttp://www.indiaenvironmentportal.org.in/taxonomy/term/8004http://www.indiaenvironmentportal.org.in/category/author/reetika-kherahttp://www.epw.in/http://www.epw.in/http://www.indiaenvironmentportal.org.in/taxonomy/term/8308http://www.thehindu.com/2008/01/22/stories/2008012254901000.htm


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NREGS BENEFICIARIES- INTERVIEW SCHEDULE

Date: 1) Block panchayat: 2) Panchayat:

Worksite details

Description of work:

3) Starting date: 4) Amount sanctioned: 5) Labour component:

6) Ownership of the assets created: a) Panchayat b) Private party c) Govt. institution

7) Benefits whom: a) Villagers b) Farmers c) Individuals d) Govt. institution

Respondent - Details

8) Name: 9) Job card No:

10) Age: a) 18-30 b) 31-40 c) 40-50 d) 50-60 e) Above 60

11) Caste: a) SC b) ST c) OBC d) others 12) Sex: a) M b) F

14) Religion: a) Muslim b) Christian c) Hindu d) Others (specify)

.

15) Educational Status: a) Primary b) Secondary c) Higher Secondary d) Graduation andAbove

16) Family Type: a) Joint b) Nuclear

17) Number of family Members: 18) Adults: 19) Children:

20) Number of Family Members on Job Card:

21) Marital Status: a) Unmarried b) Married c) Married but Living Separately d) Widow/er

Economic Status



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22) Occupation: a) Self-employed (ag) b) Self-employed (non-ag) c) Casual labourer

d) other (specify) ..

23) Type of Ration Card: a) BPL b) APL c) No Ration Card

24) Total Number of Earners in the Family:

25) Market wage rate of the locality: Agriculture: Non- agriculture

26) Total days of employment during the previous month: a) NREGS b) Non-

NREGS

27) Land Owned (acres): a) Dry b) Wet

28) Income per Acre: a) Dry b) Wet

29) Monthly Earnings of Family:

30) Household indebtedness: a) Yes b) No 31) If yes, how much?

....................................

32) To whom: a) Bank b) Co-operative c) Relative/Friend d) Private

moneylender

33) Did anyone from the workers family migrated to elsewhere? a) Yes b) No

34) If yes, reason?

Awareness Level

35) How did the worker come to know about NREGS? a) PRI representative

b) Kudumbashree c) Government officials d) Neighbourhood Person e) Media f) Other

(specify)

Indicate Awareness Level with regard to:

36) Work for 100 days: a) Yes b) No 37) Work within 15 days of Demand: a) Yes b)

No



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38) Unemployment allowance: a) Yes b) No 39) GP has to arrange for work: a) Yes b)

No

40) Gramsabha approval for works: a) Yes b) No 41) Toll free number: a) Yes b)

No

42) Facilities at worksite: a) Tent for Shade b) Medical Kit c) Drinking water d) Creche

43)Social audit: a) Yes b) No 44) Gram Sabha Conducting Social Audit: a) Yes b)

No

45) Does she attend gramasabha? a) Yes b) No 46) When did she attend last

time?.........................

Wage Payment

47) Who measures the work?

48) How frequently work is getting measured?

49) How many days have lapsed since work was measured?

50) How much time usually takes to receive the Payment?

51) Total Days of Work 52) Wages Paid . 53) Yet to be Paid .............

52) What is the longest time labourers had to wait for payment after completion of the work?

53) Did worker receive compensation if wages were not paid within 15 days? a) Yes b)

No

54) Have you received unemployment allowance if work was not given within 15 days ? a)

Yes b) No

Impact of NREGS



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55) Why the worker is coming for NREGS work though the wage rate is much lower to the

market rate?

56) What did the worker do with wage earnings? (Did she have bank account before?)

57) What is the difference in the kind of labour you did before and after NREGS?

Workers satisfaction with the:

58) Wage: a) Yes b) No 59) Work site: a) Yes b) No

60) Nature of work: a) Yes b) No 61) Wage payment: a) Yes b) No

62) Work tools a) Yes b) No 63) Work environment: a) Yes b) No

64) Has NREGS brought about any changes in the standard of living of the workers family?(Total income before and after getting work under NREGS)

65) What is the opinion regarding the inclusion of ADS machinery for the implementation?

66) What is the opinion about selection of works? Was she involved in selecting works?

67) What does she think about the entitlement of 100 days of work per household?

a) Should be increased b) Should be decreased c) is enough d) should vary

according to household size e) should be applicable to each member f) No upper limitrequired

68) Have you been to any public hearing/social audit? If yes, explain your experience? 69) In

your understanding what is the overall impact of NREGS?

effects of mgnregs on the lives of beneficiaries in malappuram district of kerala, india- a case...

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