The National Rural Employment Generation Scheme(NREGS) is a recent employment scheme in India for providing 100 days guaranteed wage employment for all employment seekers above 18 years of age and willing to do work. The scheme came into force on 5 September 2005 in 199 districts in India and extended to another 130 districts later. In Kerala, the scheme was implemented in Palakkad and Waynad districts initially on 5 February 2006 and it was extended to all the 14 districts in the State on 1 April 2008. Kerala is a tiny state in India with very high unemployment - most of them are educated - in the country. Around five lakh people among them are estimated to have willingness to do physical labour. NREGS is a substantial boost in income and purchasing power. The scheme now provides Rs 164 (National wage rate is Rs 60/- only) per person for a stipulated quantity of manual labour offered as registered worker in the local governments in Kerala.