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    Funds crunch squeezing MGNREGS lifeline, political pressure mounts on TN govt

    The discontent has also spilt onto the streets, with protests erupting in districts such as Kanniyakumari, Erode, and other districts

    Funds crunch squeezing MGNREGS lifeline, political pressure mounts on TN govt
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    CHENNAI: The demand-driven 100-day guaranteed employment scheme, a crucial lifeline for hundreds and thousands of rural populations in Tamil Nadu, is now snowballing into a political flashpoint in the State.

    Both the ruling DMK’s allies and opposition parties have raised serious concerns over glaring lapses in its implementation, accusing the State government of denying vital employment opportunities to the rural poor. The discontent has also spilt onto the streets, with protests erupting in districts such as Kanniyakumari, Erode, and other districts. Workers have decried poor execution of the scheme and demanded the State government to offer them more work.

    Following media reports highlighting inefficiencies within the executing agency, the Rural Development and Panchayat Raj Department, it has come to light that only an average of 15.57 days of employment was generated for 48.08 lakh households as on September 11 (this financial year). Of these, the 100 days of employment guaranteed under the scheme were provided to only 346 families so far in the current financial year.

    DT Next carried an article titled “Playing safe may cost TN Rs 5K cr in MGNREGS wages this fiscal,” shedding light on its poor implementation and how it would take away workers’ wages to the tune of 4,000 crore. The story also highlighted how funds to the tune of around Rs 1,000 crore towards the material component this fiscal year have been excluded. Last year, TN generated 30.61 crore person days and availed Rs 10,744 crore from the Centre.

    AIADMK general secretary Edappadi K Palaniswami has repeatedly criticised the DMK regime for failing to fulfil its 2021 election promise to increase the total number of workdays from 100 to 150. He has continued to raise the issue during his ongoing ‘Makkalai Kappom, Thamizhagathai Meetpom’ statewide campaign.

    Now, PMK founder-president Ramadoss has joined the debate, strongly criticising Chief Minister MK Stalin's government for its unenthusiastic approach to implementing the scheme. He pointed out that although the ruling party had promised 150 days of work, it had provided fewer workdays, and questioned whether this amounts to cheating.

    The central government has significantly reduced funding for the scheme by cutting the total number of person-days to 12 crore, which is eight crore less than in the previous fiscal year (2024–25). Despite this, the State government neither protested nor made efforts to demand more funds. "This robs rural people in Tamil Nadu of their livelihood opportunities, and it is condemnable," said Ramadoss in a statement.

    DMK’s ally Thol Thirumavalavan too announced a protest in Villupuram district on September 17, and chose to attack the Union government’s reduction of funds under the MGNREGS. "We demand that the Union government not reduce the 100 days of work guaranteed under the scheme," said Villupuram MP and VCK general secretary D Ravikumar.

    The DMK government is once again facing criticism over its inadequate role in the scheme. Although the scheme is underpinned by legislation that guarantees employment only based on demand, implementation has also been weak in Tamil Nadu.

    A senior bureaucrat in the Tamil Nadu government told DT Next that the State machinery has the capacity to generate a significant number of workdays for active MGNREGS workers. However, they have chosen to "play it safe," not wanting to "burn their fingers like last year," (pointing out that the Centre has not released funds on time). The official hinted at the inordinate delays by the Union government in releasing funds, which led to wages remaining unpaid for four to five months, way back in October last year. This not only placed officials in a tight spot but also increased pressure on the State government, as the issue turned into a hot political talking point used by the opposition.

    Rural Jobs Turning Mirage

    100 days of work generated for only 346 households as of Sept 11 this year

    6.95 crore person days generated

    44.64 lakh households benefited

    1-14 days of work generated for 27.14 lakh households

    15-30 days of work generated for 12.63 lakh households

    31-40 days of work generated for 2.31 lakh households

    41-50 days of work generated for 56,878 households

    51-60 days of work generated for 33,311 households

    *Source: GoI data as on Sept 11

    Shanmugha Sundaram J
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