1.

What is the methodology for arriving at the labour budget estimate?

Answer»

The LB estimate under MGNREGA is based on the amount of total cost (viz. cost towards wage, material and administrative costs) to be incurred while generating a personday wage employment. The expenditure per personday generation of wage employment shall have wage and material costs in the proportion of 60:40. For example, if the cost of the project is Rs. 100, the wage expenditure is at least Rs.60 and the material expenditure is at most Rs. 40. Further, a maximum of Rs. 6 can be utilised towards administrative expenses over and above the wage and material expenses.



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