One of the most basic problems of the present century in the Third World Countries is rural poverty. The rural labour households form the hard core of rural poor and the most of the socially backward classes, such as, scheduled castes and scheduled tribes fall in this category. Most of the population is depending upon agriculture that is contributing about one-fourth of the National Income in the country. The most important feature of them are that they have very little or low productive assets and the major part of their income is derived from casual or irregular employment available in villages in Andhra pradesh.The dimensions of poverty among the rural labour households are reflected by the extent of indebtedness among the households and low consumption levels. The basis of findings of the study, it would be useful to make some suggestions that would help to improve the socio-economic conditions of agricultural labourers. The improvement in the socio-economic conditions of the agricultural labour, the large segment of work force would promote economic welfare in general and ultimate lead the Indian economy on the path of growth with stability.