Textile and construction MSMEs to witness more jobs following 2014 budget

The textiles sector and construction MSMEs is set to witness a substantial increase in employment following the 2014 budget. Though, it already offers numerous opportunities to the country’s skilled and semi-skilled workforce.

With the budget 2014 allocating Rs.330 crore for textile sector, which includes enhancements to the Technology Upgradation Funds Scheme (TUFS) and plans to set up six new mega-clusters across the country.

The future indicates similarly well for the infrastructure industry, with the Rs 52,300 crore boost for infrastructure investments for ports as well as state and national highways.

CRISIL has analysed the employee strengths of about 700 textile and civil construction MSMEs (each) that it rated in 2013-14 (financial year April 1 to March 31).

This assessment of employment potential indicated that textile enterprises operate with an average of 86 employees per unit, whereas civil construction units work with a greater strength of 141 employees per unit.

However, contractual labour forms a greater portion of the construction workforce, at 68 per cent of overall employee strength.

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