Maharashtra saw the most closures, with 12,233 MSMEs shutting down, resulting in 54,053 job losses.
Dhirendra Kumar
Published25 Jul 2024, 06:41 PM IST
Over 300,000 people were made jobless due to the closure of nearly 50,000 small businesses in the last 10 years, the government said.
Over 300,000 people were made jobless due to the closure of nearly 50,000 small businesses in the last 10 years, the government said.
In a written reply, the minister for micro, small and medium enterprises (MSMEs) Jitan Ram Majhi told the Lok Sabha on Thursday that out of the million registered MSMEs, 49,342 have closed, resulting in the loss of 317,641 jobs.
Those who lost their jobs were from a total MSME workforce of 181.6 million registered on the Udyam registration portal since its inception on 1 July 2020.
"Of these, 0.17% or 49,342 enterprises with employment of 317,641 de-registered or showed closure on the portal during the last ten years,” he said.
As per the latest available annual PLFS reports, the estimated unemployment rate for persons aged 15 years and above was 4.2% in 2020-21, 4.1% in 2021-22, and 3.2% in 2022-23, the ministry of labour and employment said.
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Also Read: Over 300,000 people were made jobless due to the closure of nearly 50,000 small businesses in the last 10 years, the government said.
As per the data provided by Manjhi, Maharashtra saw the most closures, with 12,233 MSMEs shutting down, resulting in 54,053 job losses. This was followed by Tamil Nadu (6,298 closures, 43,324 job losses), Uttar Pradesh (3,425 and 33,230), Gujarat (4,861 and 22,345) and Bihar (2,414 and 15,317).
Madhya Pradesh, under BJP rule for over 19 years, has seen the closure of 1,653 MSME units, resulting in the loss of 11,727 jobs.
“The closures are attributed to various reasons including changes in company ownership, redundant certificates, and duplicate registrations,” the minister told the House.
Delhi saw 947 closures with 8,210 jobs lost, West Bengal 1,548 closures affecting 8,856 jobs, and Kerala 1,336 closures resulting in 12,672 jobs lost.