ABSTRACT

National  Rural Employment Guarantee Scheme (NREGS) - Implementation in Tamil Nadu - Rural Schedule of rates - Orders - Issued.

Rural Development & Panchayat Raj (CGSI) Department

G.O.Ms.No.77
Dated: 14.7.2006.

Read:

1)  G.O.Ms.No.9 Rural Development (CGS I) Department, Dated 1.2.2006.

2)  G.O.Ms.No.10, Rural Development (CGS I) Department,  Dated 1.2.2006.

3)  From the Director of Rural Development Letter No.93464/2005/TU 4 dated 12.6.2006.

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ORDER:

The National Rural Employment Guarantee Act 2005 was enacted to provide for the enhancement of livelihood security of the households in rural areas by providing atleast 100 days of guaranteed employment in every financial year to every household whose adult members volunteer to do unskilled manual work.

2.  Schedule I paras 7 and 8 of the National Rural Employment Guarantee Act, 2005 stipulates that - 

“7. When wages are directly linked with the quantity of work, the wages shall be paid according to the Schedule of Rates fixed by the State Government for different  types of works every year in consultation with the State Council.  

8. The schedule of rates of wages for unskilled labourers shall be so fixed that a person working for seven hours would normally earn a wage equal to the wage rate”.

3.  The National Rural Employment Guarantee Scheme (NREGS) is being  implemented in the State from 2.2.2006.  In the light of certain difficulties in complying with the above provision of the Act, the Director of Rural Development and Panchayat Raj has requested that the Schedule of Rates issued by the Public Works Department, Highways and other Departments may be modified suitably for the effective implementation of the National Rural Employment  Guarantee Scheme.  The proposal put forth the following points emphasising the need for Rural Schedule of Rates.  

(i)  The National Rural Employment  Guarantee Scheme  is a programme where the works are directly undertaken by the department whereas in Public Works Department, only the estimate is prepared by the department and the actual cost rate is quoted by the bidder only, as they are agency works.  Hence, the National Rural Employment  Guarantee Scheme  rates may not cause similar increase in cost of works in respect of Public Works Department  since Public Works Department schedule of rates will be independent.

(ii) The cost component due to unskilled manpower in the works carried out by Public Works Department and Highways is very negligible when compared to National Rural Employment  Guarantee Scheme works and hence, the rise in cost (even if it occurs) may not be significant.

(iii)  In the case of major works undertaken by Public Works Department and Highways department predominant use of machinery for earth work is permitted.

(iv) Only poor unemployed rural people are engaged in the National Rural Employment Guarantee Scheme, of whom 85% of the work force are rural women.

4.  The reports received from six district Collectors who are implementing the National Rural Employment  Guarantee Scheme highlighted the fact that :

(a)  As against the outturn of 3 cu.m per day, the women workers could actually turnout only about 1.48 cu.m per day.

(b) In general, the average daily earnings based on Public Works Department schedule of rates was reported to be between Rs.40 and Rs.50 per day.

(c)  So the unskilled unemployed rural workers could not earn the minimum wage of Rs.80/- per day as stipulated in the Act even after putting in 7 hours of work.

The Director of Rural Development and Panchayat Raj has stated that there is a pressing need for an increase of 60%  over and above the Public Works Department  schedule of rates to ensure that the average daily earning is at least equal to the daily minimum wage of Rs.80 per day (Rs.50 + 60% of 50 = Rs.80/-).

6.  Except for the items of work listed above, the existing schedule of rates of the Public Works Department and Forest Department should be followed for all other items of  work.

7. The 60% increase over and above the Public Works Department Schedule of rates should not be cited as a bench mark for other employment generation schemes such as   Sampoorna  Grameen Rozgar Yojana or for any other programme. The wage for outturn / day  which is more than the prescribed outturn will also be capped at the minimum wage. Since the National Rural Employment  Guarantee Scheme is aimed at the enhancement of livelihood security of rural areas through wage employment generation,  the Collectors should personally ensure that no contractors are engaged in any manner  in the implementation of the programme.

8.This order issues with the concurrence of Finance Department vide its  U.O. No.192/SS(KSG)/RD/06 Dated 12.7.2006.

(By order of the Governor)

K. Ashok Vardhan Shetty
Secretary to Government

To

The Director of Rural Development and Panchayat Raj, Chennai-15.

The Director of Special Village Panchayats, Chennai-108.

The Secretary, Government of India , Ministry of Rural Development,  Krishi Bhavan, New Delhi-110 001

The Accountant General , Chennai-6/18/35.

The Director of Treasuries and Accounts, Chennai -15.

The Director of Local Fund Audit , Chennai-108.

Copy to

The Secretary to Chief Minister,Chennai-9.

All other District Collectors / Project Officers (except Chennai)

All Departments of Secretariat, Chennai-9.

Private Secretary to Secretary, Rural Development and Panchayat Raj Department , Chennai-9.

Private Secretary to Chief Secretary, Chennai-9.

All Sections in Rural Development and Panchayat Raj Department, Secretariat, Chennai-9.

Stock File/Spare copy.

//Forwarded by order//

SECTION OFFICER.