A recent report by Libtech reveals that despite an 8.6% increase in registered households under the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) in 2024–25, the actual employment generated declined by 7.1%. This highlights significant structural and administrative challenges impacting the effectiveness of India’s flagship rural employment scheme.

Key Points:

• Person-days of employment under MGNREGA fell by 7.1% in 2024–25, even as household registrations increased, exposing a widening gap between demand and work availability.
• Only 7% of households received the full 100 days of guaranteed employment, indicating major shortfalls in job provision.
• States such as Odisha (−34.8%), Tamil Nadu (−25.1%), and Rajasthan (−15.9%) saw sharp employment declines, while Maharashtra and Bihar recorded gains.
• The year witnessed 11.6 million job card deletions and 13.1 million reinstatements, raising concerns over administrative accuracy and the exclusion of eligible workers.
• Non-compliance with the Aadhaar-Based Payment System (ABPS) excluded 27.5% of total workers, and West Bengal reported zero employment for the third consecutive year due to central funding restrictions.