Mahatma Gandhi National Rural Employment Guarantee Scheme is one of the ‘core of the core programmes’ of Government of India, enabled by a Central Act. The National Rural Employment Guarantee Act seeks to provide for the enhancement of livelihood security of the households in rural areas by providing at least 100 days of guaranteed wage employment with minimum wages in every financial year to every household whose adult members volunteer to do unskilled manual work and register their names with the panchayats concerned. Hundred per cent of the unskilled wage & administrative cost and 75% of the material cost are borne by the Centre.; whereas 25% of the material cost is met by the State.

The State Government has initiated many steps to utilize the full potential of MGNREGS through convergence with other departmental schemes and Mission programmes. The most critical convergence  is with Kudumbashree. Kudumbashree has been involved in access of needy families to job cards, and  in preparation of the labour budget. The communication network of Kudumbashree has ensured that demand for MGNREGS is generated from every nook and corner of the State.  All MGNREGS mates are from the ADS of Kudumbashree – thereby ensuring 100% women mates in the programme. The integration with JLGs of Kudumbashree has ensured convergence between land development and fallow land cultivation.  The Haritha Keralam initiative has utilised MGNREGS for developing the pacha thuruthu and the cleanup and restoration of water channels (ini njan ozhukatte). Suchitwa mission has integrated waste management activities and used the opportunity of MGNREGS for building mini MCFs, individual and community compost pits and soak pits for grey water management on scale. Pioneering projects for eco-restoration as in Kattakada and Nedumudi have relied heavily on MGNREGS. The extensive use of coir geo textiles is another highlight of MGNREGS in Kerala.

In 2024-25, efforts will be taken to enhance average person days of employment aimed at enhancing the livelihood security of the registered workers. It is planned to generate 10.50 crore person days. The State has taken up an additional initiative called Tribal plus which provides additional 100 days of employment to tribal families from the State exchequer. 

The strength of MGNREGS in Kerala has been its relevance as safety net for families in economic distress, and for families who are on the margins of livelihoods. It has also been exemplary in finding eco sensitive and climate resilient solutions to local challenges, and in opening out opportunities for sustainable livelihoods for the poor. The Kerala State took the idea of MGNREGS into the urban space and created a programme called Ayyankali Urban Employment Guarantee Scheme (AUEGS) for urban workers. Another important initiative was the constitution of a welfare fund and welfare fund board for MGNREGS workers through the Employment Guarantee Workers’ Welfare Fund Act 2021.