How MGNREGA Transformed Caste & Gender Relations — 7 Big Impacts and Why Workers Fear Losing It

How MGNREGA transformed caste and gender relations in rural India, empowered workers, and why millions now fear losing this crucial employment scheme

The Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is widely regarded as one of India’s most transformative social welfare programs, reshaping not just rural employment but also deep-rooted caste hierarchies, gender power structures, and economic inequalities. Since its launch in 2006, MGNREGA has provided a lifeline to millions of rural households, offering guaranteed wage employment while empowering marginalized communities, especially women and lower-caste workers.

However, amid budget constraints, delayed wage payments, shrinking workdays, and policy changes, workers across India are increasingly worried about losing access to this critical safety net. This fear is not only about income loss — it is about the erosion of dignity, independence, and hard-won social progress.

This article explores how MGNREGA reshaped caste and gender relations, empowered rural communities, improved bargaining power, and why workers now fear the future of the scheme.

MGNREGA guarantees 100 days of wage employment per year to every rural household that requests work. The scheme focuses on unskilled manual labor, including activities such as:

Water conservation
Rural road construction
Land development
Afforestation
Irrigation projects

Beyond providing employment, MGNREGA was designed to strengthen rural livelihoods, reduce migration, improve infrastructure, and empower marginalized groups.

One of MGNREGA’s most significant impacts has been its role in weakening traditional caste-based labor hierarchies.

Before MGNREGA

Historically, rural labor markets were dominated by upper-caste landlords, while lower-caste and Dalit communities were often trapped in:

Exploitative work
Low wages
Social discrimination
Limited job mobility

Lower-caste workers frequently depended on powerful landowners for survival, reinforcing unequal power relations.

After MGNREGA

MGNREGA changed this dynamic by:

Offering state-backed employment, reducing dependence on landlords
Providing equal wages regardless of caste
Creating shared workplaces, where people from different castes worked together
Increasing social mobility and bargaining power for marginalized communities

Many workers report that MGNREGA has boosted their self-respect, reduced humiliation, and allowed them to negotiate fairer wages in private employment.

MGNREGA has played a crucial role in empowering rural women, reshaping gender norms in conservative communities.

Increased Female Workforce Participation

Women make up nearly half or more of MGNREGA workers in many states. The program encouraged women to:

Work outside their homes
Earn independent incomes
Gain financial decision-making power

Financial Independence for Women

For many rural women, MGNREGA provided their first independent source of income, leading to:

Greater control over household spending
Improved bargaining power within families
Reduced reliance on male relatives

Shift in Social Attitudes

The visibility of women in public workspaces has helped:

Normalize female employment
Reduce stigma around working women
Encourage girls’ education and aspirations

In several villages, women now participate more actively in community decisions and local governance, reflecting broader social change.

MGNREGA did more than provide wages — it restored dignity to marginalized workers.

Workers frequently describe the scheme as:

A source of self-respect
A way to earn without humiliation
An opportunity to contribute meaningfully to their communities

Unlike exploitative private labor, MGNREGA offers legal wage protections, job cards, and transparent work records, giving workers a sense of identity and entitlement.

MGNREGA has helped reduce distress migration, particularly among:

Dalit communities
Tribal populations
Landless laborers

With local employment available, families can:

Stay together
Avoid dangerous urban migration
Reduce reliance on moneylenders and exploitative contractors

This stability has strengthened community cohesion and economic resilience in rural areas.

By guaranteeing minimum wages, MGNREGA raised the floor of rural wage levels.

Key Impacts:

Private employers had to increase wages to compete
Workers gained greater negotiation power
Seasonal exploitation declined in some regions

This shift altered traditional power dynamics, reducing employer dominance over vulnerable workers.

MGNREGA has particularly benefited:

Scheduled Castes (SCs)
Scheduled Tribes (STs)
Landless laborers
Women-headed households

By ensuring access to work without discrimination, the scheme helped:

Increase incomes
Improve food security
Enable children to attend school
Reduce caste-based vulnerability

In many areas, Dalit and tribal workers report feeling more confident in asserting their rights.

Despite its success, workers across India increasingly fear weakening political commitment and declining support for MGNREGA.

1. Budget Cuts and Reduced Workdays

Workers report:

Fewer available workdays
Reduced project approvals
Lower income opportunities

2. Delayed Wage Payments

Delayed payments have become a major concern, forcing workers to:

Borrow money
Depend on informal lenders
Face financial stress

3. Digital Barriers and Exclusion

New digital requirements — such as biometric attendance and Aadhaar-based payments — have:

Excluded elderly workers
Caused payment failures
Increased administrative hurdles

4. Political and Policy Uncertainty

Workers worry that:

The scheme may be scaled down
Funding may decline further
Employment guarantees may weaken

If MGNREGA were significantly reduced, the consequences could be severe:

Economic Impact

Rising rural unemployment
Increased poverty
Greater migration to cities

Social Impact

Return of exploitative labor practices
Weakened caste and gender gains
Reduced empowerment for women and Dalits

Human Impact

Increased food insecurity
Higher debt levels
Loss of dignity and autonomy

For millions, MGNREGA is not just a job program — it is a foundation of survival and empowerment.

Across villages, workers describe MGNREGA as:

“Our safety net in hard times”
“A way to stand on our own feet”
“The only job we can rely on”

Women workers often emphasize that MGNREGA gave them respect and independence, while Dalit workers highlight how it reduced caste-based dependence.

Economists and social scientists argue that MGNREGA remains essential for inclusive development.

Key Expert Observations:

It reduces inequality
It supports rural demand and consumption
It strengthens local governance
It promotes social justice and empowerment

Experts stress that instead of weakening the scheme, the government should expand funding, improve implementation, and ensure timely payments.

As India’s rural economy evolves, MGNREGA faces a crossroads.

Possible Paths Forward:

Expanding guaranteed workdays
Increasing wages to match inflation
Improving transparency and accountability
Enhancing skill development opportunities
Strengthening worker grievance systems

A stronger MGNREGA could become a pillar of sustainable rural development — while neglect could reverse years of progress.

How MGNREGA Transformed Caste & Gender Relations — 7 Big Impacts and Why Workers Fear Losing It

How MGNREGA Transformed Caste & Gender Relations — 7 Big Impacts and Why Workers Fear Losing It