Are e-KYC norms excluding MGNREGA workers?

For Preliminary Examination:  Current events of national and international Significance

For Mains Examination:  GS II - Governance

Context:

The Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) covers 26 crore registered workers across 2.69 lakh gram panchayats. Over the last six months, about 15 lakh workers were deleted. But in just one month, between October 10 and November 14 this year, they shot up to 27 lakh — nearly double the six-month total.

Read about:

Periodic Labour Force Survey (PLFS)

Right to Work

Key takeaways:

• The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is a social welfare legislation enacted by the Indian government in 2005 with the aim of providing livelihood security to rural households.
• At its core, the Act guarantees the right to work: every rural household is legally entitled to demand up to 100 days of paid employment in a financial year. This employment must be provided by the government, and it must involve unskilled manual labour.
• By making employment a legal right rather than just a welfare provision, MGNREGA seeks to reduce rural poverty, prevent distress migration, and create durable assets that support long-term development.
• MGNREGA is demand-driven, meaning that work must be provided whenever a worker asks for it. If employment is not provided within fifteen days of demanding it, the worker becomes eligible for unemployment allowance, making it one of the few schemes in which the state is legally accountable to citizens.
• The programme is implemented primarily through Gram Panchayats, which identify suitable works, issue job cards, maintain records, and ensure transparency.
• This decentralised approach brings decision-making closer to local communities and allows projects to align with local needs—such as building rural roads, water conservation structures, ponds, drainage systems, or soil improvement works.
• The Act also places strong emphasis on inclusivity and social justice. It mandates that at least one-third of the workers must be women, and wages are paid directly to bank accounts to prevent leakages.
• By assuring a minimum level of income, MGNREGA acts as a safety net during times of drought, crop failure, inflation, or economic distress. It not only empowers rural households economically but also increases their bargaining power in the labour market, as they are no longer forced to accept exploitative wages.
• Overall, MGNREGA represents an important shift in India’s approach to rural development. Beyond merely providing temporary work, it strengthens local infrastructure, promotes environmental sustainability, and enhances social security in villages

Additional Information

• The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) currently covers around 26 crore registered workers spread across 2.69 lakh gram panchayats. In the past six months, nearly 15 lakh names were removed from the rolls.
• However, within just one month — from October 10 to November 14 — deletions rose sharply to 27 lakh, almost twice the total removed in the earlier half-year, and far higher than the 10.5 lakh new registrations during the same period.
• This sudden surge in deletions coincides with the Centre’s intensified effort to carry out e-KYC verification of workers, aimed at eliminating those considered ineligible.
• The Union Rural Development Ministry clarified that verifying the status of MGNREGA workers is an ongoing exercise, and the introduction of e-KYC is meant to enhance transparency, efficiency, and smooth delivery of services. According to the Ministry, over half of all active workers—around 56%—have completed e-KYC so far.
• The government has periodically introduced new verification measures to prevent benefits from reaching unauthorised persons.
• After nearly a year-long pilot beginning May 2022, it made digital attendance compulsory through the National Mobile Monitoring System (NMMS) app, r