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How can we move financial privation to the museum?

How can we move financial privation to the museum?. Listening to Ground Realities Reetika Khera, Centre for Development Economics, Delhi School of Economics. “Nutrition Emergency” in India. Proportion (%) of children aged under 3 years who are 1998-9 2005-6 Underweight 47 46

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How can we move financial privation to the museum?

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  1. How can we move financial privation to the museum? Listening to Ground Realities Reetika Khera, Centre for Development Economics, Delhi School of Economics

  2. “Nutrition Emergency” in India Proportion (%) of children aged under 3 years who are 1998-9 2005-6 Underweight 47 46 Stunted 45 38 Wasted 16 19 Not fully vaccinated 58 56 Anaemic 74 79 Source: Dreze, Khera and Narayanan (2007)

  3. The Legal Framework • Directive Principles (Articles 39 and 47): The state shall • “in particular, direct its policy towards securing— • (a) that the citizens, men and women equally, have the right to an adequate means of livelihood;” • “..regard the raising of the level of nutrition and the standard of living of its people and the improvement of public health as among its primary duties”

  4. National Rural Employment Guarantee Act (NREGA) A step towards the right to work, as an aspect of the fundamental right to live with dignity. • Employment on demand: within 15 days • Legal right: entitlement to unemployment allowance • Universal entitlement • Minimum wages within 15 days of working

  5. NREGA: Employment Generation and Expenditure 2007-8* 2008-9 Total: • Employment (crore person-days) 144 216 • Expenditure (Rs. crores) 15,857 27,250 • Expenditure on wage (% of total) 68 67 • Expenditure (as % of GDP) < 0.5 0.7 Employment per rural household employed on NREGA (person-days): 42 48 * Data pertains to the 330 districts covered under NREGA at the time.

  6. Share (%) of Disadvantaged Groups in NREGA Employment 2007-8 2008-9 • Women: 42 48 • Scheduled Tribes (ST): 29 25 • Scheduled Castes (SC): 27 29 • SC/ST Combined: 56 54

  7. NREGA and “financial privation” • Social security for the able-bodied • Women’s empowerment • Asset creation in rural areas • Financial Inclusion • Distress migration • Revitalizing Panchayati Raj institutions

  8. NREGA in the Hindi heartland Findings from a survey in six states (Bihar, Chhattisgarh, Jharkhand, Madhya Pradesh, Rajasthan, Uttar Pradesh)

  9. NREGA workers belong to the most disadvantaged social groups Proportion (%) of sample workers who are: Men Women • SC/ST 71 75 • Illiterate 52 82 • In “kachha” homes 81 81 • Without electricity 77 62

  10. There is massive demand for NREGA work Proportion (%) of sample workers who want • At least 100 days of NREGA work 98 • NREGA work throughout the year 50

  11. Employment Generation: Big jump… Average days of NREGA work per sample household in the past 12 months • All survey states 43 • Interstate variations • Pati (Badwani district) 85 • Rajasthan 71 • Bihar 23

  12. … but way below demand Proportion (%) of sample households that got 100 days of NREGA employment • All survey states 14 • Interstate variations • Pati (Badwani district) 47 • Rajasthan 36 • Chhattisgarh 1

  13. Women’s participation: Highly uneven Proportion (%) of women among sample workers • Rajasthan 71 • Madhya Pradesh 44 • Chhattisgarh 25 • Jharkhand 18 • Bihar 13 • Uttar Pradesh 5 • All survey states 32

  14. Proportion (%) of sample women who:* Collect their own wages 79 (92) Kept their own wages 68 (51) Had no other source of cash income in the past 3 months 70 (44) * In brackets, the corresponding figures for men. Empowering women

  15. Minimum wages: getting there… Men Women (Rs./day) • Agricultural wages 53 47 • Other casual labour 71 53 • NREGA wage* 85 85 • Minimum wage* 88 88 * Unweighted average of worksite-specific figures.

  16. NREGA: Just “playing with mud?” Proportion (%) of worksites where the work being done was considered “useful”: • by the labourers 70 • by the survey team 81 Proportion (%) of worksites where asset being created was considered “useful” by the survey team: 87

  17. Financial Inclusion and NREGA • Accounts opened* 8.84 Of which • Joint 7.84 • Banks 4.84 • Proportion (%) of respondents who preferred accounts to cash payments 85 Concerns: • “Business correspondent model” • Transparency safeguards * In crores. Source: www.nrega.nic.in

  18. Awareness levels are still very low Proportion (%) of sample workers who were aware of their entitlement to: • 100 days of work 52 • Minimum wage 56 • Timely payment of wages 56

  19. Wage Payments: Plenty of complaints Proportion (%) of worksites where workers had the following complaints: • Delays in wage payment 57 • Non-payment of minimum wage 47 • Work is too hard 43

  20. “NREGA-2”: Politics vs. Labourers concerns Issues • Low levels of awareness • Lack of work • Delayed wage payments • Poor/non-existent grievance redressal Recent amendments to the NREGA • Renaming of the Act • Expansion of list of works • Works on private lands • Rajiv Gandhi Sewa Kendras

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