LexThe Mahatma Gandhi National Rural Employement Guarantee Act, 2005
Jharkhand · state statute
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THE MAHATMA GANDHI NATIONAL RURAL EMPLOYMENT GUARANTEE
ACT, 2005
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ARRANGEMENT OF SECTIONS
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CHAPTER I
PRELIMINARY
SECTIONS
1. Short title, extent and commencement.
2. Definitions.
CHAPTER II
GUARANTEE OF EMPLOYMENT IN RURAL AREAS
3. Guarantee of rural employment to households.
CHAPTER III
EMOPLOYMENT GUARANTEE SCHEMES AND UNEMPLOYMENT ALLOWANCE
4. Employment Guarantee Schemes for rural areas.
5. Conditions for providing guaranteed employment.
6. Wage rate.
7. Payment of unemployment allowance.
8. Non-disbursement of unemployment allowance in certain circumstances.
9. Disentitlement to receive unemployment allowance in certain circumstances.
CHAPTER IV
IMPLEMENTING AND MONITORING AUTHORITIES
10. Central Employment Guarantee Council.
11. Functions and duties of Central Council.
12. State Employment Guarantee Council.
13. Principal authorities for planning and implementation of Schemes.
14. District Programme Coordinator.
15. Programme Officer.
16. Responsibilities of the Gram Panchayats.
17. Social audit of work by Gram Sabha.
18. Responsibilities of State Government in implementing Scheme.
19. Grievance redressal mechanism.
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CHAPTER V
ESTABLISHMENT OF NATIONALAND STATE EMPLOYMENT GUARANTEE FUNDSAND AUDIT
SECTIONS
20. National Employment Guarantee Fund.
21. State Employment Guarantee Fund.
22. Funding pattern.
23. Transparency and accountability.
24. Audit of accounts.
CHAPTER VI
MISCELLANEOUS
25. Penalty for non-compliance.
26. Power to delegate.
27. Power of Central Government to give directions.
28. Act to have overriding effect.
29. Power to amend Schedules.
30. Protection of action taken in good faith.
31. Power of Central Government to make rules.
32. Power of State Government to make rules.
33. Laying of rules and Schemes.
34. Power to remove difficulties.
SCHEDULE I.
SCHEDULE II.
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THE MAHATMA GANDHI NATIONAL RURAL EMPLOYMENT GUARANTEE
ACT, 2005
ACT NO. 42 OF 2005
[5th September, 2005.]
An Act to provide for the enhancement of livelihood security of the households in rural areas of
the country by providing at least one hundred days of guaranteed wage employment in every
financial year to every household whose adult members volunteer to do unskilled manual
work and for matters connected therewith or incidental thereto.
BE it enacted by Parliament in the Fifty-sixth Year of the Republic of India as follows:—
CHAPTER I
PRELIMINARY
1. Short title, extent and commencement .—(1) This Act may be called 1[the Mahatma Gandhi
National Rural Employment Guarantee Act], 2005.
(2) It extends to the whole of India except the State of Jammu and Kashmir.
(3) It shall come into force on such date 2 as the Central Government may, by notification in the
Official Gazette, appoint; and different dates may be appointed for different States or for different areas in
a State and any reference in any such provision to the commen cement of this Act shall be construed as a
reference to the coming into force of that provision in such State or, as the case may be, in such area:
Provided that this Act shall be applicable to the whole of the territory to which it extends within a
period of five years from the date of enactment of this Act.
2. Definitions.—In this Act, unless the context otherwise requires,—
(a) "adult" means a person who has completed his eighteenth years of age;
(b) "applicant" means the head of a household or any of its other adult members who has applied
for employment under the Scheme;
(c) "Block" means a community development area within a district comprising a group of Gram
Panchayats;
(d) "Central Council" means the Central Employment Guarantee Council constitute d under sub -
section (1) of section 10;
(e) "District Programme Coordinator" means an officer of the State Government designated as
such under sub-section (1) of section 14 for implementation of the Scheme in a district;
(f) "household" means the members of a family related to each other by blood, marriage or
adoption and normally residing together and sharing meals or holding a common ration card;
(g) "implementing agency" includes any department of the Central Government or a State
Government, a Zila Parishad, Panchayat at intermediate level, Gram Panchayat or any local authority
or Government undertaking or non-governmental organisation authorised by the Central Government
or the State Government to undertake the implementation of any work taken up under a Scheme;
(h) "minimum wage", in relation to any area, means the minimum wage fixed by the State
Government under section 3 of the Minimum Wages Act, 1948 (11 of 1948) for agricultural labourers
as applicable in that area;
(i) "National Fund" means the National Employment Guarantee Fund established under sub -
section (1) of section 20;
1. Subs. by Act 46 of 2009, s. 2, for “the National Rural Employment Guarantee Act” (w.e.f. 2-10-2009).
2. 2ndFebruary, 2006, vide notification No. S.O. 87(E) , dated 24th Jan uary, 2006, see Gazette of India, Extraordinary, Part II
sec.3(ii).
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(j) "notification" means a notification published in the Official Gazette;
(k) "preferred work" means any work which is taken up for implementation on a priority basis
under a Scheme;
(l) "prescribed" means prescribed by rules made under this Act;
(m) "Programme Officer" means an officer appointed under sub -section ( 1) of section 15 for
implementing the Scheme;
(n) "project" means any work taken up under a Scheme for the pur pose of providing employment
to the applicants;
(o) "rural area" means any area in a State except those areas covered by any urban local body or a
Cantonment Board established or constituted under any law for the time being in force;
(p) "Scheme" means a S cheme notified by the State Government under sub -section ( 1) of
section4;
(q) "State Council" means the State Employment Guarantee Council constituted under sub -
section (1) of section 12;
(r) "unskilled manual work" means any physical work which any adult person is capable of doing
without any skill or special training;
(s) "wage rate" means the wage rate referred to in section 6.
CHAPTER II
GUARANTEE OF EMPLOYMENT IN RURAL AREAS
3. Guarantee of rural employment to households.—(1) Save as otherwise provided, the State
Government shall, in such rural area in the State as may be notified by the Central Government, provide
to every household whose adult members volunteer to do unskilled manual work not less than one
hundred days of such work in a financial year in accordance with the Scheme made under this Act.
(2) Every person who has done the work given to him under the Scheme shall be entitled to receive
wages at the wage rate for each day of work.
(3) Save as otherwise provided in this Act, the disbursement of daily wages shall be made on a
weekly basis or in any case not later than a fortnight after the date on which such work was done.
(4) The Central Government or the State Government may, within the limits of its economic capacity
and develop ment, make provisions for securing work to every adult member of a household under a
Scheme for any period beyond the period guaranteed under sub-section (1), as may be expedient.
CHAPTER III
EMPLOYMENT GUARANTEE SCHEMESANDUNEMPLOYMENT ALLOWANCE
4. Employment Guarantee Schemes for rural areas .—(1) For the purposes of giving effect to the
provisions of section 3, every State Government shall, within six months from the date of commencement
of this Act, by notification, make a Scheme, for providing not less than one hundred days of guaranteed
employment in a financial year to every household in the rural areas covered under the Scheme and
whose adult members, by application, volunteer to do unskilled manual work subject to the conditions
laid down by or under this Act and in the Scheme:
Provided that until any such Scheme is notified by the State Government, the Annual Action Plan or
Perspective Plan for the Sampoorna Grameen Rozgar Yojana (SGRY) or the National Food for Work
Programme (NFFWP) whichever is in force in the concerned area immediately before such notification
shall be deemed to be the action plan for the Scheme for the purposes of this Act.
(2) The State Government shall publish a summary of the Scheme made by it in at least two local
newspapers, one of which shall be in a vernacular language circulating in the area or areas to which such
Scheme shall apply.
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(3) The Scheme made under sub -section ( 1) shall provide for the minimum features specified in
Schedule I.
5. Conditions for p roviding guaranteed employment.—(1) The State Government may, without
prejudice to the conditions specified in Schedule II, specify in the Scheme the conditions for providing
guaranteed employment under this Act.
(2) The persons employed under any Scheme made under this Ac t shall be entitled to such facilities
not less than the minimum facilities specified in Schedule II.
6. Wage rate .—(1) Notwithstanding anything contained in the Minimum Wages Act, 1948 (11 of
1948), the Central Government may, by notification, specify the wage rate for the purposes of this Act:
Provided that different rates of wages may be specified for different areas:
Provided further that the wage rate specified from time to time under any such notification shall not
be at a rate less than sixty rupees per day.
(2) Until such time as a wage rate is fixed by the Central Government in respect of any area in a State,
the minimum wage fixed by the State Government under section 3 of the Minimum Wages Act, 1948 (11
of 1948) for agricultural labourers, shall be considered as the wage rate applicable to that area.
7. Payment of unemployment allowance.—(1) If an applicant for employment under the Scheme is
not provided such employment within fifteen days of receipt of his application seeking employment or
from the date on which the employment has been sought in the case of an advance application, whichever
is later, he shall be entitled to a daily unemployment allowance in accordance with this section.
(2) Subject to such terms and conditions of eligibility as may be prescribed by the State Government
and subject to the provisions of this Act and the Schemes and the economic capacity of the State
Government, the unemployment allowance payable under sub -section (1) shall be paid to the applicants
of a household subj ect to the entitlement of the household at such rate as may be specified by the State
Government, by notification, in consultation with the State Council:
Provided that no such rate shall be less than one-fourth of the wage rate for the first thirty days during
the financial year and not less than one -half of the wage rate for the remaining period of the financial
year.
(3) The liability of the State Government to pay unemployment allowance to a household during any
financial year shall cease as soon as—
(a) the applicant is directed by the Gram Panchayat or the Programme Officer to report for work
either by himself or depute at least one adult member of his household; or
(b) the period for which employment is sought comes to an end and no member of the hou sehold
of the applicant had turned up for employment; or
(c) the adult members of the household of the applicant have received in total at least one hundred
days of work within the financial year; or
(d) the household of the applicant has earned as much fr om the wages and unemployment
allowance taken together which is equal to the wages for one hundred days of work during the
financial year.
(4) The unemployment allowance payable to the household of an applicant jointly shall be sanctioned
and disbursed by the Programme Officer or such local authority (including the Panchayats at the district,
intermediate or village level) as the State Government may, by notification, authorise in this behalf.
(5) Every payment of unemployment allowance under sub -section (1) shall be made or offered not
later than fifteen days from the date on which it became due for payment.
(6) The State Government may prescribe the procedure for payment of unemployment allowance
under this Act.
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8. Non -disbursement of unemployment allo wance in certain circumstances .—(1) If the
Programme Officer is not in a position to disburse the unemployment allowance in time or at all for any
reason beyond his control, he shall report the matter to the District Programme Coordinator and announce
such reasons in a notice to be displayed on his notice board and the notice board of the Gram Panchayat
and such other conspicuous places as he may deem necessary.
(2) Every case of non -payment or delayed payment of unemployment allowance shall be reported in
the annual report submitted by the District Programme Coordinator to the State Government along with
the reasons for such non-payment or delayed payment.
(3) The State Government shall take all measures to make the payment of unemployment allowance
reported under sub-section (1) to the concerned household as expeditiously as possible.
9. Disentitlement to receive unemployment allo wance in certain circumstances .—An applicant
who—
(a) does not accept the employment provided to his household under a Scheme; or
(b) does not report for work within fifteen days of being notified by the Programme Officer or the
implementing agency to report for the work; or
(c) continuously remains absent from work, without obtaining a permission from the concerned
implementing agency for a period of more than one week or remains absent for a total period of more
than one week in any month,shall not be eligible to claim the unemployment allowance payable under
this Act for a period of three months but shall be eligible to seek employ ment under the Scheme at
any time.
CHAPTER IV
IMPLEMENTING AND MONITORING AUTHORITIES
10. Centra l Employment Guarantee Council .—(1) With effect from such date as the Central
Government may, by notification specify, there shall be constituted a Council to be called the Central
Employment Guarantee Council to discharge the functions, and perform the duties, assigned to it by or
under this Act.
(2) The headquarters of the Central Council shall be at Delhi.
(3) The Central Council shall consist of the followin g members to be appointed by the Central
Government, namely:—
(a) a Chairperson;
(b) not more than such number of representatives of the Central Ministries including the Planning
Commission not below the rank of Joint Secretary to the Government of India a s may be determined
by the Central Government;
(c) not more than such number of representatives of the State Governments as may be determined
by the Central Government;
(d) not more than fifteen non -official members representing Panchayati Raj Institutions,
organisations of workers and disadvantaged groups:
Provided that such non -official members shall include two chairpersons of District Panchayats
nominated by the Central Government by rotation for a period of one year at a time:
Provided further that not less than one -third of the non -official members nominated under this
clause shall be women:
Provided also that not less than one -third of the non -official members shall be belonging to the
Scheduled Castes, the Scheduled Tribes, the Other Backward Classes and Minorities;
(e) such number of representatives of the States as the Central Government may, by rules,
determine in this behalf;
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(f) a Member-Secretary not below the rank of Joint Secretary to the Government of India.
(4) The terms and cond itions subject to which the Chairperson and other members of the Central
Council may be appointed and the time, place and procedure of the meetings (including the quorum at
such meetings) of the Central Council shall be such as may be prescribed by the Central Government.
11. Functions and duties of Central Council.—(1) The Central Council shall perform and discharge
the following functions and duties, namely:—
(a) establish a central evaluation and monitoring system;
(b) advise the Central Government on all matters concerning the implementation of this Act;
(c) review the monitoring and redressal mechanism from time to time and recommend
improvements required;
(d) promote the widest possible dissemination of information about the Schemes made under this
Act;
(e) monitoring the implementation of this Act;
(f) preparation of annual reports to be laid before Parliament by the Central Government on the
implementation of this Act;
(g) any other duty or function as may be assigned to it by the Central Government.
(2) The Central Council shall have the power to undertake evaluation of the various Schemes made
under this Act and for that purpose collect or cause to be collected statistics pertaining to the rural
economy and the implementation of the Schemes.
12. St ate Employment Guaran tee Council .—(1) For the purposes of regular monitoring and
reviewing the implementation of this Act at the State level, every State Government shall constitute a
State Council to be known as the ......(name of the State) State Employment Guarantee Council with a
Chairperson and such number of official members as may be determined by the State Government and not
more than fifteen non -official members nominated by the State Government from Panchayati Raj
institutions, organisations of workers and disadvantaged groups:
Provided that not less than one-third of the non-official members nominated under this clause shall be
women:
Provided further that not less than one third of the non -official members shall be belonging to the
Scheduled Castes, the Scheduled Tribes, the Other Backward Classes and Minorities.
(2) The terms and conditions subject to which the Chairperson and members of the State Council may
be appointed and the time, place and procedure of the meetings (including the quo rum at such meetings)
of the State Council shall be such as may be prescribed by the State Government.
(3) The duties and functions of the State Council shall include—
(a) advising the State Government on all matters concerning the Scheme and its implement ation
in the State;
(b) determining the preferred works;
(c) reviewing the monitoring and redressal mechanisms from time to time and recommending
improvements;
(d) promoting the widest possible dissemination of information about this Act and the Schemes
under it;
(e) monitoring the implementation of this Act and the Schemes in the State and coordinating such
implementation with the Central Council;
(f) preparing the annual report to be laid before the State Legislature by the State Government;
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(g) any other duty or function as may be assigned to it by the Central Council or the State
Government.
(3) The State Council shall have the power to undertake an evaluation of the Schemes operating in the
State and for that purpose to collect or cause to be collected statistics pertaining to the rural economy and
the implementation of the Schemes and Programmes in the State.
13. Principal authorities for planning and implementation of Schemes .—(1) The Panchayats at
district, intermediate and village levels shall be the principal authorities for planning and implementation
of the Schemes made under this Act.
(2) The functions of the Panchayats at the district level shall be—
(a) to finalise and approve blockwise shelf of projects to be taken up under a programme under
the Scheme;
(b) to supervise and monitor the projects taken up at the Block level and district level; and
(c) to carry out such other functions as may be assigned to it by the State Council, from time to
time.
(3) The functions of the Panchayat at intermediate level shall be—
(a) to approve the Block level Plan for forwarding it to the district Panchayat at the district level
for final approval;
(b) to supervise and monitor the projects taken up at the Gram Panchayat and Block level; and
(c) to carry out such other functions as may be assigned to it by the State Council, from time to
time.
(4) The District Programme Coordinator shall assist the Panchayat at the district level in discharging
its functions under this Act and any Scheme made thereunder.
14. District Programme Coordinator .—(1) The Chief Executive Officer of the District Panchayat
or the Collector of the district or any other district level officer of appropriate rank as the State
Government may decide shall be designated as the District Progra mme Coordinator for the
implementation of the Scheme in the district.
(2) The District Programme Coordinator shall be responsible for the implementation of the Scheme in
the district in accordance with the provisions of this Act and the rules made thereunder.
(3) The functions of the District Programme Coordinator shall be—
(a) to assist the district Panchayat in discharging its functions under this Act and any scheme
made thereunder;
(b) to consolidate the plans prepared by the Blocks and project proposals received from other
implementing agencies for inclusion in the shelf of projects to be approved by the Panchayat at
district level;
(c) to accord necessary sanction and administrative clearance, wherever necessary;
(d) to coordinate with the Programme Officers functioning within his jurisdiction and the
implementing agencies to ensure that the applicants are provided employment as per their
entitlements under this Act;
(e) to review, monitor and supervise the performance of the Programme Officers;
(f) to conduct periodic inspection of the works in progress; and
(g) to redress the grievances of the applicants.
(4) The State Government shall delegate such administrative and financial powers to the District
Programme Coordinator as may be required to enable him to carry out his functions under this Act.
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(5) The Programme Officer appointed under sub-section (1) of section 15 and all other officers of the
State Government and local authorities and bodies functioning within the district shall be responsible to
assist the District Programme Coordinator in carrying out his functions under this Act and the Schemes
made thereunder.
(6) The District Programme Coordinator shall prepare in the month of December every year a labour
budget for the next financial year con taining the details of anticipated demand for unskilled manual work
in the district and the plan for engagement of labourers in the works covered under the Scheme and
submit it to the district panchayat.
15. Programme Officer.—(1) At every Panchayat at int ermediate level, the State Government shall
appoint a person who is not below the rank of Block Development Officer with such qualifications and
experience as may be determined by the State Government as Programme Officer at the Panchayat at
intermediate level.
(2) The Programme Officer shall assist the Panchayat at intermediate level in discharging its
functions under this Act and any Scheme made thereunder.
(3) The Programme Officer shall be responsible for matching the demand for employment with the
employment opportunities arising from projects in the area under his jurisdiction.
(4) The Programme Officer shall prepare a plan for the Block under his jurisdiction by consolidating
the project proposals prepared by the Gram Panchayats and the proposals rece ived from intermediate
panchayats.
(5) The functions of the Programme Officer shall include—
(a) monitoring of projects taken up by the Gram Panchayats and other implementing agencies
within the Block;
(b) sanctioning and ensuring payment of unemployment allowance to the eligible households;
(c) ensuring prompt and fair payment of wages to all labourers employed under a programme of
the Scheme within the Block;
(d) ensuring that regular social audits of all works within the jurisdiction of the Gram Panchayat
are carried out by the Gram Sabha and that prompt action is taken on the objections raised in the
social audit;
(e) dealing promptly with all complaints that may arise in connection with the implementation of
the Scheme within the Block; and
(f) any other work as may be assigned to him by the District Programme Coordinator or the State
Government.
(6) The Programme Officers shall function under the direction, control and superintendence of the
District Programme Coordinator.
(7) The State Government may, by order, direct that all or any of the functions of a Programme
Officer shall be discharged by the Gram Panchayat or a local authority.
16. Responsibilities of the Gram Panchayats .—(1) The Gram Panchayat shall be responsible for
identification of the projects in the Gram Panchayat area to be taken up under a Scheme as per the
recommendations of the Gram Sabha and the Ward Sabhas and for executing and supervising such works.
(2) A Gram Panchayat may take up any project under a Scheme within the area of the Gram
Panchayat as may be sanctioned by the Programme Officer.
(3) Every Gram Panchayat shall, after considering the recommendations of the Gram Sabha and the
Ward Sabhas, prepare a development plan and maintain a shelf of possible works to be taken up under the
Scheme as and when demand for work arises.
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(4) The Gram Panchayat shall forward its proposals for the development projects including the order
of priority between different works to the Programme Officer for scrutiny and preliminary a pproval prior
to the commencement of the year in which it is proposed to be executed.
(5) The Programme Officer shall allot at least fifty per cent. of the works in terms of its cost under a
Scheme to be implemented through the Gram Panchayats.
(6) The Programme Officer shall supply each Gram Panchayat with—
(a) the muster rolls for the works sanctioned to be executed by it; and
(b) a list of employment opportunities available elsewhere to the residents of the Gram
Panchayat.
(7) The Gram Panchayat shall allocate employment opportunities among the applicants and ask them
to report for work.
(8) The works taken up by a Gram Panchayat under a Scheme shall meet the required technical
standards and measurements.
17. Soci al audit of work by Gram Sabha .—(1) The Gram Sabha shall monitor the execution of
works within the Gram Panchayat.
(2) The Gram Sabha shall conduct regular social audits of all the projects under the Scheme taken up
within the Gram Panchayat.
(3) The Gram Panchayat shall make available all relevant documents including the muster rolls, bills,
vouchers, measurement books, copies of sanction orders and other connected books of account and papers
to the Gram Sabha for the purpose of conducting the social audit.
18. Responsibilities of State Government in implementing Scheme.—The State Government shall
make available to the District Programme Coordinator and the Programme Officers necessary staff and
technical support as may be necessary for the effective implementation of the Scheme.
19. Grievance redressal mechanism.—The State Government shall, by rules, determine appropriate
grievance redressal mechanisms at the Block level and the district level for dealing with any complaint by
any person in respect of implementation of the Scheme and lay down the procedure for disposal of such
complaints.
CHAPTER V
ESTABLISHMENT OF NATIONAL AND STATE EMPLOYMENT GUARANTEE FUNDSANDAUDIT
20. National Employment Guarantee Fund .—(1) The Central Government shall, by notification,
establish a fund to be called the National Employment Guarantee Fund for the purposes of this Act.
(2) The Central Government may, after due appropriation made by Parliament by law in this behalf,
credit by way of grants or loans such sums of money as the Central Government may conside r necessary
to the National Fund.
(3) The amount standing to the credit of the National Fund shall be utilised in such manner and
subject to such conditions and limitations as may be prescribed by the Central Government.
21. State Employment Guarantee Fund.—(1) The State Government may, by notification, establish
a fund to be called the State Employment Guarantee Fund for the purposes of implementation of the
Scheme.
(2) The amount standing to the credit of the State Fund shall be expended in such manner and subject
to such conditions and limitations as may be prescribed by the State Government for the purposes of
implementation of this Act and the Schemes made thereunder and for meeting the administrative expenses
in connection with the implementation of this Act.
(3) The State Fund shall be held and administered on behalf of the State Government in such manner
and by such authority as may be prescribed by the State Government.
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22. Funding pattern .—(1) Subject to the rules as may be made by the Central Gov ernment in this
behalf, the Central Government shall meet the cost of the following, namely:-
(a) the amount required for payment of wages for unskilled manual work under the Scheme;
(b) up to three -fourths of the material cost of the Scheme including paym ent of wages to skilled
and semi-skilled workers subject to the provisions of Schedule II;
(c) such percentage of the total cost of the Scheme as may be determined by the Central
Government towards the administrative expenses, which may include the salary and allowances of the
Programme Officers and his supporting staff, the administrative expenses of the Central Council,
facilities to be provided under Schedule II and such other item as may be decided by the Central
Government.
(2) The State Government shall meet the cost of the following, namely:—
(a) the cost of unemployment allowance payable under the Scheme;
(b) one-fourth of the material cost of the Scheme including payment of wages to skilled and semi-
skilled workers subject to the provisions of Schedule II;
(c) the administrative expenses of the State Council.
23. T ransparency and accountability .—(1) The District Programme Coordinator and all
implementing agencies in the District shall be responsible for the proper utilisation and management of
the funds placed at their disposal for the purpose of implementing a Scheme.
(2) The State Government may prescribe the manner of maintaining proper books and accounts of
employment of labourers and the expenditure incurred in connection with the implementa tion of the
provisions of this Act and the Schemes made thereunder.
(3) The State Government may, by rules, determine the arrangements to be made for the proper
execution of Schemes and programmes under the Schemes and to ensure transparency and accountabi lity
at all levels in the implementation of the Schemes.
(4) All payments of wages in cash and unemployment allowances shall be made directly to the person
concerned and in the presence of independent persons of the community on pre-announced dates.
(5) If any dispute or complaint arises concerning the implementation of a Scheme by the Gram
Panchayat, the matter shall be referred to the Programme Officer.
(6) The Programme Officer shall enter every complaint in a complaint register maintained by him and
shall dispose of the disputes and complaints within seven days of its receipt and in case it relates to a
matter to be resolved by any other authority it shall be forwarded to such authority under intimation to the
complainant.
24. Audit of accounts.—(1) The Central Government may, in consultation with the Comptroller and
Auditor General of India, prescribe appropriate arrangements for audits of the account s of the Schemes at
all levels.
(2) The accounts of the Scheme shall be maintained in such form and in such manner as may be
prescribed by the State Government.
CHAPTER VI
MISCELLANEOUS
25. Penalty for non -compliance.—Whoever contravenes the provisions of this Act shall on
conviction be liable to a fine which may extend to one thousand rupees.
26. Power to delegate.—(1) The Central Government may, by notification, direct that the powers
exercisable by it (excluding the power to make rules) may, in such circumstances and subject to such
conditions and limitations, be exercisable also by the State Government or such officer subordinate to the
Central Government or the State Government as it may specify in such notification.
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(2) The State Government may, by notification, direct that the powers exercisable by it (excluding the
power to make rules and Schemes) m ay, in such circumstances and subject to such conditions and
limitations, be exercisable also by such officer subordinate to it as it may specify in such notification.
27. Power of Central Government to give directions.—(1) The Central Government may give such
directions as it may consider necessary to the State Government for the effective implementation of the
provisions of this Act.
(2) Without prejudice to the provisions of sub-section (1), the Central Government may, on receipt of
any complaint regarding the issue or improper utilisation of funds granted under this Act in respect of any
Scheme if prima facie satisfied that there is a case, cause an investigation into the complaint made by any
agency designated by it and if necessary, order stoppage of release of funds to the Scheme and institute
appropriate remedial measures for its proper implementation within a reasonable period of time.
28. Act to have overriding effect.—The provisions of this Act or the Schemes made thereunder shall
have effect notwithstanding anything inconsistent therewith contained in any other law for the time being
in force or in any instrument having effect by virtue of such law:
Provided that where a State enactm ent exists or is enacted to provide employment guarantee for
unskilled manual work to rural households consistent with the provisions of this Act under which the
entitlement of the households is not less than and the conditions of employment are not inferior to what is
guaranteed under this Act, the State Government shall have the option of implementing its own
enactment:
Provided further that in such cases the financial assistance shall be paid to the concerned State
Government in such manner as shall be d etermined by the Central Government, which shall not exceed
what the State would have been entitled to receive under this Act had a Scheme made under this Act had
to be implemented.
29. Power to amend Schedules .—(1) If the Central Government is satisfied t hat it is necessary or
expedient so to do, it may, by notification, amend Schedule I or Schedule II and thereupon Schedule I or
Schedule II, as the case may be, shall be deemed to have been amended accordingly.
(2) A copy of every notification made under s ub-section ( 1) shall be laid before each House of
Parliament as soon as may be after it is made.
30. Protection of action taken in good faith .—No suit, prosecution or other legal proceedings shall
lie against the District Programme Coordinator, Programme Officer or any other person who is, or who is
deemed to be, a public servant within the meaning of section 21 of the Indian Penal Code (45 of 1860) in
respect of anything which is in good faith done or intended to be done under this Act or the rules or
Schemes made thereunder.
31. Power of Ce ntral Government to make rules .—(1) The Central Government may, by
notification, and subject to the condition of previous publication, make rules to carry out the provisions of
this Act.
(2) In particular, and without the prejudice of the foregoing power, such rules may provide for all or
any of the following matters, namely:—
(a) the number of representatives of the State Governments under clause ( e) of sub-section (3) of
section 10;
(b) the terms and conditions subjec t to which the Chairman and other members of the Central
Council may be appointed, and the time, place and procedure of the meetings (including the quorum
at such meetings) of the Central Council, under sub-section (4) of section 10;
(c) the manner in whic h and the conditions and limitations subject to which the National Fund
shall be utilised under sub-section (3) of section 20;
(d) the rules relating to funding pattern to meet the cost of certain items under sub -section (1) of
section 22;
13
(e) any other matter which is to be, or may be, prescribed or in respect of which provision is to be
made by the Central Government by rules.
32. Power of State Government t o make rules .—(1) The State Government may, by notification,
and subject to the condition of previo us publication, and consistent with this Act and the rules made by
the Central Government, make rules to carry out the provisions of this Act.
(2) In particular, and without prejudice to the generality of the foregoing power, such rules may
provide for all or any of the following matters, namely:—
(a) the terms and conditions upon which eligibility for unemployment allowance may be
determined under sub-section (2) of section 7;
(b) the procedure for payment of unemployment allowance under sub-section (6) of section 7;
(c) the terms and conditions subject to which the Chairperson and members of the State Council
may be appointed, and the time, place and procedure of the meetings (including the quorum at such
meetings) of their appointment to the State Council, under sub-section (2) of section 12;
(d) the grievance redressal mechanism at the Block level and the District level and the procedure
to be followed in such matter under section 19;
(e) the manner in which and the conditions and limitations subject to w hich the State Fund shall
be utilised under sub-section (2) of section 21;
(f) the authority who may administer and the manner in which he may hold the State Fund under
sub-section (3) of section 21;
(g) the manner of maintaining books of account of employment of labourers and the expenditure
under sub-section (2) of section 23;
(h) the arrangements required for proper execution of Schemes under sub -section (3) of section
23;
(i) the form and manner in which the accounts of the Scheme shall be maintai ned under sub -
section (2) of section 24;
(j) any other matter which is to be, or may be, prescribed or in respect of which provision is to be
made by the State Government by rules.
33. Laying of rules and Schemes .—(1) Every rule made by the Central Government under this Act
shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session,
for a total period of thirty days which may be comprised in one session or in two or more successive
sessions, and if, bef ore the expiry of the session immediately following the session or the successive
sessions aforesaid, both Houses agree in making any modification in the rule or both the Houses agree
that the rule should not be made, the rule shall have thereafter have ef fect only in such modified form or
be of no effect, as the case may be; so, however, that any such modification or annulment shall be without
prejudice to the validity of anything previously done under that rule.
(2) Every rule or Scheme made by the State Government under this Act shall, as soon as may be after
it is made, be laid before each House of the State Legislature where there are two Houses, and where
there is one House of the State Legislature, before that House.
34. Power to remove difficulties .—(1) If any difficulty arises in giving effect to the provisions of
this Act, the Central Government may, by order published in the Official Gazette, make such provisions,
not inconsistent with the provisions of this Act, as appear to it to be necessary or expedient for removing
the difficulty:
Provided that no order shall be made under this section after the expiry of three years from the
commencement of this Act.
(2) Every order made under this section shall be laid, as soon as may be after it is made, bef ore each
House of Parliament.
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SCHEDULE I
[See section 4(3)]
MINIMUM FEATURES OF A RURAL EMPLOYMENT GUARANTEE SCHEME
1. The focus of the Scheme shall be on the following works in their order of priority:—
(i) water conservation and water harvesting;
(ii) drought proofing (including afforestation and tree plantation);
(iii) irrigation canals including micro and minor irrigation works;
(iv) provision of irrigation facility to land owned by households belonging to the Scheduled
Castes and Scheduled Tribes or to land of beneficiaries of land reforms or that of the beneficiaries
under the Indira Awas Yojana of the Government of India;
(v) renovation of traditional water bodies including desilting of tanks;
(vi) land development;
(vii) flood control and protection works including drainage in water logged areas;
(viii) rural connectivity to provide all-weather access; and
(ix) any other work which may be notified by the Central Government in consultation with the
State Government.
2. Creation of durable as sets and strengthening the livelihood resource base of the rural poor shall be
an important objective of the Scheme.
3. The works taken up under the scheme shall be in rural areas.
4. The State Council shall prepare a list of preferred works for different areas based on their ability to
create durable assets.
5. The Scheme shall be subject to appropriate arrangements as may be laid down by the State
Government under the rules issued by it for proper maintenance of the public assets created under the
Scheme.
6. Under no circumstances shall the labourers be paid less than the wage rate.
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 wor k 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.
9. The cost of material component of projects including the wages of the skilled and semi -skilled
workers taken up under the Scheme shall not exceed forty per cent. of the total project costs.
10. It shall be open to the Programme Officer and Gram Panchayat to direct any person who applied
for employment under the Scheme to do work of any type permissible under it.
11. The Scheme shall not permit engaging any contractor for implementation of the projects under it.
12. As far as practicable, a task funded under the Scheme shall be performed by using manual labour
and not machines.
13. Every Scheme shall contain adequate provisions for ensuring transparency and accountability at
all level of implementation.
14. Provisions for regular inspection and supervision of works taken up under the Scheme shall be
made to ensure proper quality of work as well as to ensure that the total wages paid for the completion of
the work is commensurate with the quality and quantity of work done.
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15. The District Programme Coordinator, the Programme Officer and the G ram Panchayat
implementing the Scheme shall prepare annually a report containing the facts and figures and
achievements relating to the implementation of the Scheme within his or its jurisdiction and a copy of the
same shall be made available to the public on demand and on payment of such fee as may be specified in
the Scheme.
16. All accounts and records relating to the Scheme shall be made available for public scrutiny and
any person desirous of obtaining a copy or relevant extracts therefrom may be provi ded such copies or
extracts on demand and after paying such fee as may be specified in the Scheme.
17. A copy of the muster rolls of each Scheme or project under a Scheme shall be made available in
the offices of the Gram Panchayat and the Programme Office r for inspection by any person interested
after paying such fee as may be specified in the Scheme.
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SCHEDULE II
(See section 5)
CONDITIONS FOR GUARANTEED RURAL EMPLOYMENTUNDER A SCHEME AND MINIMUM
ENTITLEMENTS OF LABOURERS
1. The adult members of every household who—
(i) reside in any rural areas; and
(ii) are willing to do unskilled manual work,
may submit their names, age and the address of the household to the Gram Panchayat at the village level
(hereafter in this Schedule referred to as the Gram Panchayat) in the jurisdiction of which they reside for
registration of their household for issuance of a job card.
2. It shall be the duty of the Gram Panchayat to register the household, after making such enquiry as it
deems fit and issue a job card containing such details of adult members of the household affixing their
photographs, as may be specified by the State Government in the Scheme.
3. The registration made under paragraph 2 shall be foExcerpt shown. Open the full act in Lexace.