HYDERABAD: The Central Government has announced a revision in wage rates under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), with increases ranging from 2% to 7% across various states. Effective from April 1, 2025, this adjustment aims to align wages with the rising cost of living and ensure fair compensation for rural workers.
In Telangana, MGNREGA workers will see their daily wages increase by ₹7, from ₹300 to ₹307. Similarly, neighboring Andhra Pradesh will experience the same ₹7 hike, bringing daily wages to ₹307. Haryana records the highest wage at ₹400 per day, marking a ₹26 increase from the previous ₹374. Conversely, Arunachal Pradesh and Nagaland have the lowest daily wages at ₹241.
The wage adjustments are based on changes in the Consumer Price Index for Agricultural Labourers (CPI-AL), ensuring that earnings keep pace with inflation. For instance, Kerala’s wages have been revised to ₹369, reflecting a ₹23 increase from the previous ₹346.
Despite these increases, some opposition leaders argue that the hikes are insufficient to meet the rising living costs. Congress MP Adoor Prakash highlighted that 1.86 lakh MGNREGA workers had opted out of the scheme in Kerala in the past year due to payment delays and low wages. He claimed that wages had not been disbursed for the past three months in Kerala, with outstanding dues amounting to ₹811 crore.
The Central Government maintains that MGNREGA is a demand-driven wage employment scheme, with budgetary allocations adjusted to meet the demand for work. For the financial year 2024-25, a budget allocation of ₹86,000 crore was made, the highest ever at the Budget Estimate stage since the scheme’s inception.
As the new wage rates come into effect, it remains to be seen how these adjustments will impact rural employment and livelihoods across the country.
