Why in News? 

A parliamentary panel has strongly advocated for raising the wages of Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) workers, stating that the current payment does not align with the increasing cost of living. 

MGNREGA Scheme Overview 

• Legal Right to Work: The MGNREGA Act (2005) guarantees 100 days of wage employment for rural households, providing unskilled labor as a legal right and promoting livelihood security. It also offers 50 additional days of employment in drought or disaster-affected areas. 
• Coverage: The scheme covers rural areas across India, excluding districts with 100% urban populations. 
• Demand-Driven Framework: Employment is provided on demand. If work is not granted within 15 days, an unemployment allowance is provided (one-fourth of the minimum wage for 30 days and half thereafter). 
• Decentralized Planning: Local Panchayati Raj Institutions (PRIs) play a major role in planning and executing the works, with at least 50% of the projects being managed by Gram Panchayats. 

This summary highlights key aspects of MGNREGA, including its legal guarantees, components, and initiatives to improve implementation and transparency.