Tamil Nadu Congress Committee president K. Selvaperunthagai on Monday criticised the Union government for giving tax-breaks to big corporates while reducing funding for Mahatma Gandhi National Rural Employment Guarantee Act, which provides employment to the poor and marginalised, especially, women and Scheduled Castes in India.

In a statement, Mr. Selvaperunthagai said the Union government was dismantling the scheme through reduced funding and by introducing unnecessary conditions.

“To provide 100 days of employment for all, ₹2.72 lakh crore is needed. However, the Budget allocation represents only 0.18% of the GDP. Instead of allocating sufficient funds, the Union BJPgovernment continues to impose unnecessary Aadhaar-related conditions to reduce the number of workers and divert funds towards infrastructure projects,” he said.

“By law, work must be provided within 15 days to those seeking employment under the 100-day scheme. If not, compensation must be paid. However, the Union government’s allocation only allows for an average of 42 days of work per year, with no funding for the remaining days,” he added.

Mr. Selvaperunthagai further said that a “programme introduced to eliminate poverty has now become a tool that deprives rural labourers of employment and wages”.

“While ₹98,468 crore was allocated in 2021-22, only ₹86,000 crore has been allocated for 2024-25, constituting just 1.78% of the total Budget. Wage arrears already stand at ₹4,315 crore nationwide, with Tamil Nadu alone facing ₹1,635 crore in unpaid wages. By law, wages under the 100-day work scheme must be paid within 15 days. In January 2025, 93.1 million people across the country were employed under the scheme, with 75% of them being women. However, the funds allocated for this account for only 0.26% of the Gross Domestic Product (GDP), far below the 1.7% recommended by the World Bank,” he said.

“To provide 100 days of employment for all, ₹2.72 lakh cr. is needed. However, the Budget allocation represents only 0.18% of the GDP”K. SelvaperunthagaiTamil Nadu Congress Committee president