Unemployment anywhere constitutes a danger to prosperity everywhere. The unemployment problems have been remaining as a major issue of worry for most of the States in the globe. In order to address the menace, the governments of different countries have been undertaking series of programmes. Unemployment is a worry for India as well. The colossal growth of population as well as shrinkage of natural resources compounds the matter for Indian state as every year the growth rate of unemployment reaches new heights. In order to address the growing unemployment issue, government of India adopted in 2005 a policy which attempts at ensuring employability of rural people (skilled or unskilled). An act was passed in the parliament in September 07, 2005 known as “National Rural Employment Guarantee Act, 2005” which was later rechristened as “Mahatma Gandhi National Rural Employment Guarantee Act, 2005”. 

KEY WORDS – MGNREGA, Poverty, Unemployment