MGNREGS Job Demand Up, May Not Signal Rural Distress

Demand for such work tends to rise when opportunities in farm or non-farm sectors decline.

- Rhik Kundu

Demand for unskilled jobs under the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) rose in May and spilled into the early part of June. Economists, however, said the clamour for jobs does not necessarily indicate a rise in rural distress, and that demand will wane once monsoon picks up and farmers start sowing.

According to the latest data from the rural development ministry, 28.39 million rural households sought work under the scheme in May, against 27.18 million a year earlier. In the first seven days of June, demand touched 13.48 million, compared with 26.40 million in all of June 2024.

The increase in demand in May and June came after demand cooled the previous month. In April, demand under MGNREGS fell to 20.12 million from 21.52 million a year earlier.

The job guarantee programme assures up to 100 days of unskilled manual work annually to any adult in a rural household seeking employment. Demand for work typically rises when opportunities in farm or non-farm sectors decline.