Magazine / The Hindu
Jan 02, 2005
Perspective

NOT EVERYBODY LOVES A GOOD DROUGHT

The Employment Guarantee Act, among other things, 
offers an opportunity to remove substantially the 
spectre of starvation deaths from rural India. 
While public discourse has brought the issue into 
focus, the debate in the media begins with 
assumptions that people are well informed about 
the context of the act. But many are not aware of 
the subject and have come to some alarming 
conclusions. ARUNA ROY and REETIKA KHERA place 
the facts in perspective.


[Photo] ANU PUSHKARNA
  In New Delhi -- one lakh signatures in support 
of a full-fledged Employment Guarantee Act.


PUBLIC works immediately conjure up visions of 
roads and bridges that exist only on paper. They 
are described with scepticism as projects of 
private gain at public cost. So when there is a 
demand for the State to take responsibility for 
providing work for people on the margins, public 
opinion based on a fear of misappropriation 
begins to reject the alternative altogether. The 
unfortunate consequence of this, is that the 
debate on corruption gets converted to a question 
of whether we should have an employment guarantee 
act at all.

The EGA


The United Progressive Alliance (UPA) Government 
in its Common Minimum Programme has made some 
historic promises to the people. An earlier 
government under the prime ministership of V.P. 
Singh, made an effort to bring in the right to 
work, but did not stay in power long enough to 
make the law. The Employment Guarantee Act (EGA) 
promises one adult in every rural household 100 
days of manual work at minimum wages to create 
productive assets. More importantly, it offers an 
opportunity to remove substantially the spectre 
of starvation deaths from rural India.

Public discourse has brought the issue into 
focus. The debate in the print and electronic 
media begins with assumptions that people are 
well informed about the context of the act. But 
many are not aware of the issue and have come to 
some alarming conclusions. This is an attempt to 
try and place the issue in perspective.

While it is true that public works have been used 
to siphon funds, they have also facilitated our 
lives. Corruption arises primarily through the 
manipulations of middlemen and contractors who 
are used to execute these works. When people are 
involved with the process, they are far more 
effective at monitoring the works to create sound 
infrastructure. There is a wealth of experience 
in carrying out public works across the country. 
Water harvesting and water management projects 
have shown that much can be achieved even through 
simple mud works. The cliché of digging a pit 
only to fill up, is only a small part of the 
story. There are in fact, numerous examples of 
useful and creative earth work. The digging of 
talais, for instance, often described as "just 
digging a pit" is one kind of misunderstood earth 
work. An easily accessible rainwater harvesting 
structure, the talai saves cattle and their 
owners great time and effort from otherwise 
having to trek many miles each day in search of 
water.

Problems of management


Some of these anomalies are simply problems of 
management. There is for instance, the proverbial 
lack of supervision, a lack of attention to 
maintenance, and the resultant erosion of the 
quality of work. This gets worse when the 
responsibility is divided among diverse 
departments. The metaphor of too many cooks 
spoiling the broth cannot be more appropriately 
applied. Problems of accountability also arise 
when the material costs are borne by one 
department and the implementation is carried out 
through another. But none of these is 
insurmountable.

One solution is to facilitate better supervision 
and ownership by increasing the role of 
panchayats and, more importantly, the people 
through Gram sabhas, in the planning, 
implementation, evaluation and even auditing of 
public works. This has been amply demonstrated by 
the "people's plan" in Kerala where 40 per cent 
of the State's plan expenditure is carried out 
through panchayats. This argues for greater 
devolution of powers and finances to the 
panchayats.

The issue of corruption


There is a genuine fear of large-scale corruption 
in such programmes. But we cannot forget that 
these arguments are most often cited as reasons 
for not implementing programmes for the poor. Why 
is it not an issue when there is equal evidence 
of corruption in other spheres? In defence deals 
for instance, we have not stopped buying guns or 
aircraft. Nor has the Enron scam resulted in the 
change of the power policy; the Unit Trust of 
India (UTI) scam to the closing down of UTI 
altogether.

Recent experiences of the implementation of the 
Right to Information law from Rajasthan, 
Maharashtra, Karnataka and Delhi, show that with 
adequate provisions for transparency and 
accountability, much of this siphoning off can be 
curtailed. In the drought relief programmes in 
Rajasthan in 2003, for instance, it was 
universally acknowledged that transparency and 
public vigilance helped reduce corruption 
drastically. Simple measures such as the 
provision of job cards to workers, exhibiting 
muster rolls on a notice board, have made a great 
difference and made people vigilant.

Another fear is that legal action may flood the 
system and the courts, and cause delay. However 
what is overlooked is that legal recourse is 
difficult in this country, especially for the 
poor. Judicial procedures are time-consuming and 
too expensive for those who will use the EGA. One 
has only to look at the case of Maharashtra where 
the Employment Guarantee Scheme has been in place 
for nearly three decades now to examine the 
invalidity of such fears. There, the number of 
people who have turned to the courts to enforce 
their rights has been almost non-existent. Modes 
of public pressure have been used frequently and 
effectively. In fact this act would help involve 
and mobilise the poor on a large scale across the 
country by giving them a stake in its 
implementation.

Financial implications


However, foremost among the worries is that of 
the financial implications of an Employment 
Guarantee and the affordability of such a 
programme. The implementation of an employment 
guarantee will require money, but it saves social 
and economic costs of poverty. Most estimates 
place the upper limit on annual expenditure at 
Rs. 40,000 crores for expansion to the whole 
country in five years. At approximately one per 
cent of the GDP, the fear is clearly 
disproportionate.

The Employment Guarantee Programme which promises 
100 days employment at minimum wages, will help 
up to 70 per cent of the poor families cross the 
poverty line. The former Chief Minister of 
Rajasthan, Ashok Gehlot, has made public 
statements that until we have an employment 
guarantee act in place, we will continue to 
receive news of starvation deaths. The question 
of affordability is as much a question of 
political commitment as economic resources. The 
promise of a National Rural Employment Guarantee 
Act "immediately", appears as the first item in 
the Common Minimum Programme of the UPA.

In a democracy, the poor majority can justifiably 
demand a one per cent share of the GDP, of a 
country which has a six to seven per cent growth 
rate. With one of the lowest tax to GDP ratios in 
the world, the question of whether we can afford 
it is almost farcical. It seems that the fear of 
appearing pro-poor may outrage a country 
committed to shine! Maharashtra enacted an 
employment guarantee act almost 30 years ago, 
with a cross section of civil society - 
politicians, business people, academics and 
concerned citizens, expressing a social 
obligation and finding resources through four new 
taxes dedicated to the EGA. It was a recognition 
that the poor wanted to, and must be given an 
opportunity to use their resource of land and 
labour and contribute to the economy.

If there is political will and a social 
conscience, this country will come together to 
ensure that there is a genuine effort to enact a 
law. There is a historic opportunity to empower 
the poor to live with dignity and with an 
entitlement to prevent starvation and hunger. We 
cannot allow this to pass.

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