MGNREGA is the first government programme which assured legal guarantee for 100 days of work for the needy, in the country. The main objective of the MGNREGA is to ensure livelihood security to rural people with employment. It is expected that the guaranteed employment has to facilitate the rural poor and the unemployed persons. This income has to help to meet the day to today expenditure of the beneficiaries like basic necessities of life and additional income for small land holders, create rural assets and encourage the agriculture sector. Therefore, in this paper an effort has been made to examine whether the MGNREGA programme is successful in fulfilling the set objectives specially in the employment generation in the rural areas. In this direction the researchers have taken the data from 2006-07 to 2016-17 and analysed the same by using Compound Growth Rates and tried to examine the set of objectives of the programme. After the analysis of the data the paper comes out with the conclusion that to some extent the income from MGNREGA facilitates beneficiary Households to take care of their basic needs mainly through employment generation, income and this income has led to increase in consumption expenditure, calories intake and in turn ensured food security of the rural Households.