Mumbai: The majority of Indian companies (57 percent) believe there is a need to revive micro, small and medium sector (UMKM) sector, which has been hit because of Covid-19 Pandemics, in order to improve rural employment, according to reports.
According to a report by Genius consultant, titled ‘Rising Suddenly Unemployed Rural’, the country’s economy is affected by a pandemic and almost all sectors and industries affected, especially the MSME sector which faces major setbacks.
Reports, which are based on surveys, said most respondents believe that the reasons behind the high unemployment rate are the lack of employment opportunities available in the area concerned.
This survey is covered by 1,100 business leaders between August 1 and September 10.
They include people in sectors such as banking and finance, construction and techniques, education / teaching / training, FMCG, hospitality, SP, IT, ITES solutions, and processing business outsourcing , logistics, and manufacturing, among others.
Further reports show that more than 57 percent of the total respondents strongly agree that the Awakening of MSMEs will help in improving current work situations.
About 14.3 percent of respondents believed that the reasons behind rural unemployment were lip restrictions, and another 14.3 percent said it was due to the increase in Covid-19 cases, according to the report.
The remaining respondents believe that it is the result of all the reasons mentioned above which caused a surge in unemployment in rural areas, he added.
Meanwhile, the report found that more than 85 percent of the respondents stated that the manufacturing sector, which had witnessed a slowdown, has become the main contributor to the increase in unemployment in rural areas.
As a factory and production is one of the main contributors to rural work and with the business of faltering pandemic, the manufacturing sector has majorly the impact of unemployment in rural areas compared to the service sector, he said.
Genius Consultant Chairman and Managing Director R Yadav said, “Rural unemployment has always been a major concern even before the pandemic.
With business and manufacturing slows down, the situation has deteriorated further.” Yadav added that there is need to bring a quick course of actions for employment opportunities in the countryside in this country.