Key insights
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1
Shift from legal right to discretionary scheme: Changing MGNREGA from a constitutionally backed legal job guarantee to a fund-dependent program reduces rural workers' enforceable rights, increasing vulnerability to political and budgetary decisions.
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2
Centralization of rural area designation: The new Act vests the Center with exclusive power to define rural areas, potentially limiting local governance roles and altering job distribution priorities away from gram panchayats' oversight.
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3
Political implications of renaming and restructuring: Renaming MGNREGA and restructuring it can be seen as an attempt to diminish the legacy of Congress-led governments and reshape rural employment policy along current ruling party preferences.
Takeaways
The renaming and structural changes to MGNREGA significantly alter its legal and operational framework, provoking political opposition and raising concerns about the future of rural employment rights in India.
Topics
Business & Markets Economy World & Politics Policy & Regulation Governance Development