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Key Points

The Central government has announced a 5% increase in MGNREGA worker wages for the 2025-26 financial year. This adjustment follows the established practice of revising wages based on the Consumer Price Index for Agricultural Labourers. Minister of State Kamlesh Paswan highlighted that states can supplement these wages from their own sources. The move continues the government's commitment to protecting rural worker earnings against inflation since implementing the wage revision mechanism in 2011-12.

Key Points: MGNREGA Wages Rise 5% Nationwide for Rural Workers

  • Central government increases MGNREGA wage rates by average 5% for 2025-26
  • Wage calculations based on Consumer Price Index for Agricultural Labourers
  • Revision mechanism in place since 2011-12 to protect worker earnings
  • States allowed to supplement wages from local sources
2 min read

MGNREGA workers' wage rate up 5 pc in 2025-26: MoS

Central government announces 5% wage hike for MGNREGA workers, marking continued support for rural employment and inflation protection.

"State Governments can provide wages over and above the wage rate notified by the Central government - Kamlesh Paswan, MoS Rural Development"

New Delhi, Aug 12

Using the present methodology of wage rate calculation for Mahatma Gandhi NREGA workers, the Central government has notified the wage rate for FY 2025-26, which has increased by around 5 per cent (average) over the last financial year, the Lok Sabha was informed on Tuesday.

Minister of State for Rural Development Kamlesh Paswan, in a written reply, said due to revision by the Central government, the wage rate has increased by around 29 per cent (average) in the previous five financial years.

Paswan said, "State Governments can provide wages over and above the wage rate

notified by the Central government from their own sources."

Highlighting steps taken by the Central government to compensate workers against inflation, he said the Ministry of Rural Development revises the wage rate every financial year, based on changes in the Consumer Price Index for Agricultural Labourers (CPI-AL).

The MoS said the index is different for different States/UTs as notified by the Labour Bureau, Shimla, Ministry of Labour and Employment.

"If the calculated wage rate of any State/UT is coming lower than the wage rate of the previous year, it is being protected by maintaining the previous year's wage rate. Accordingly, the wage rate of Mahatma Gandhi NREGS workers is being revised

every year since FY 2011-12. The revised notified wage rate is made applicable from 1st April of each financial year," said the MoS.

Paswan said that as per provisions of Section 6(2) of the Act, from the inception of the scheme till the financial year 2010-11, the wage rate in Mahatma Gandhi NREGA was determined based on the minimum wage set by the respective State governments.

"However, from the financial year 2011-12, the Central government started determining the wage rates using the Consumer Price Index for Agricultural labourers (CPI-AL)," he said.

- IANS

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Reader Comments

S
Shreya B
As someone who works with rural communities, I've seen how MGNREGA is a lifeline for many families. The 29% increase over 5 years sounds good on paper, but implementation delays and payment issues still plague the system. Hope the government focuses on timely payments too!
A
Aman W
Good step but too little too late. Petrol prices have doubled in 5 years, vegetables are unaffordable, and they're celebrating 5% hike? At least the states can add more from their budgets - hope progressive states like Kerala and Tamil Nadu will do this.
P
Priyanka N
My father was a daily wage laborer, so I know how much every rupee matters. The wage protection clause (not reducing wages if CPI-AL decreases) is a thoughtful provision. Small mercies matter when you're living hand to mouth. Hope this reaches all workers without middlemen taking cuts.
K
Karan T
The methodology seems sound - linking to CPI-AL makes sense for rural workers. But why can't we have a national minimum wage that's actually liveable? ₹200/day in 2025 is still poverty wages. We need bigger vision for rural India's development.
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Nisha Z
Appreciate the transparency in how wages are calculated now. Earlier system where states decided led to huge disparities. At least now there's some standardization. Though I wish they'd include women's unpaid labor in these calculations - rural women work twice as hard for half the recognition!

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