Lok Sabha Question No. 836 (UNSTARRED), answered on 2015-12-03
Subject: Delay in Payment of Wages
Ministry: RURAL DEVELOPMENT
Asked by: MD. BADARIDDOZA KHAN, R. PARTHIPAN

## GOVERNMENT OF INDIA MINISTRY OF RURAL DEVELOPMENT DEPARTMENT OF RURAL DEVELOPMENT

## LOK SABHA

## UNSTARRED QUESTION NO. 836 TO BE ANSWERED ON 03.12 .2015

## DELAY IN PAYMENT OF WAGES

## 836. SHRI MD. BADARUDDOZA KHAN: SHRI R. PARTHIPAN:

Will the Minister of RURAL DEVELOPMENT be pleased to state:

- (a) whether the Government has received representation regarding delay in payment of wages and compensation to the rural workers/labourers under Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) during the last three years and the current year;
- (b) if so, the details thereof and action taken by the Government thereon,State/UT - wise;
- (c) whether  the  Government  also proposes  to  establish  National Employment  Guarantee  Fund  to transfer the wagesdirectly to the accounts of MGNREGS beneficiaries to avoid such delay of payments and compensation;
- (d) if so, the details thereof alongwith liability in wages to be paid to workers till date; and
- (e) the remedial steps taken/proposedto be taken by the G overnment to avoid such instances in future?

## ANSWER MINISTER OF STATE IN THE MINISTRY OF RURAL DEVELOPMENT (SHRI SUDARSHAN BHAGAT)

(a)&(b): There  have  beencomplaints  of  irregularities  in  implementation  of Mahatma  Gandhi National Rural Employment Guarantee Act (MGNREGA) (MGNREGA) viz. delay in payment of wages and  compensation  to  MGNREGA  workers  from  many  States. As  per  the  provisions  of  the  Act,  a complaints  received  in  the  Ministry  are  forwarded  to  the  concerned  state  Governments appropriate action including investigation, as per law. Detailed instructions by way of Sta Procedure (SOP) for dealing with complaints have also been issued to all States/UTs.

(c) &(d): There is no proposal to establish National Employment Gua rantee Fund to transfer the wages  directly  to  the  accounts  of  MGNREGS  beneficiaries. In  order  to  ensure timely  payment  wages, Rules  have  been  issued  for  timely  payment  of  wages  under  which,  it  was  suggested  t accountability  shall  be  fixed  on  the  fu ctionaries  for  timely  performance  of  specific  duties  lea payment of wages. All cases of delayed payment attracts a compensation @ 0.05% per day of de is automatically calculated and paid by the State Government .The Ministry has also init iated Electronic Fund Management System (e - FMS) which directly credits wages tothe respective beneficiary account using the core banking system.

(e): To  reduce  the  delay  in  payment  of  wages  under  MGNREGA,  a  system  of  payment compensation for such d elays was brought in Para 29 of Schedule II of the Act. The States/UTs h advised to ensure compliance with this provision. The following steps are taken to check wage payment:

- (i) State Government has been advised to notify the 'Rules'  and  implement  the  system  of compensation for delay in wage payment.
- (ii) State Government has been advised to review and discuss with the Programme O periodically the issues of delayed payments.

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