Activities Round Up

Date : 16 Sep to 16 Sep 2015
Place : New Delhi
Organised by : FISME

NITI Aayog invited FISME to discuss employment generation

Prof. Bibek Debroy, Member NITI Aayog held a meeting with two key representatives of the MSME sector: the Ministry of MSME and Federation of Indian Micro and Small & Medium Enterprises (FISME), on the measures that could be taken to give impetus to employment generation in the MSME sector on Tuesday in New Delhi.   
To spur employment generation, a Working Group has been set up at the highest level in the Prime Minister’s Office of which Prof. Debroy is a member.  

The meeting was part of the process of engaging the important sectors of Indian economy which are likely to contribute to employment significantly. Additional Secretary in the Ministry of MSME, S.N. Tripathi, President FISME Dr. Sangam Kurade and FISME Secretary General Anil Bhardwaj were present.

According to FISME, President Dr. Sangam Kurade highlighted measures required in three distinct areas namely to address under-reporting and under-employment by enterprises; incentives to encourage employment and initiatives required to improve ‘ease of doing business’.

“Instead of making the enterprise as the fulcrum for providing social security and subjecting it to enormous regulatory, administrative and financial burden, the responsibility should be taken up by the State in lieu of a specified payment based on number of employees/ size of enterprise in graded manner, Dr. Kurade is said to have shared. 

FISME’s representation suggested that social security cost of workers employed by this segment may be borne in a graded manner by the government. 

On incentives to employ more, Dr. Kurade mentioned that there was a need to link incentives on investment with employment. Current almost all fiscal incentives are based on investment.

FISME also suggested a comprehensive a three-tier Feedback cum grievance redressal mechanism for enterprises encompassing districts, state and central administrative and regulatory machinery.