look news india
New Delhi: 1.8 lakh unorganized units of the manufacturing sector have closed down in India between July 2015 to June 2016 and October 2022 to September 2023. 54 lakh people working in these unorganized enterprises have lost their jobs during this period. This has been revealed by a comparative analysis of the recently released 'Annual Survey of Unorganized Sector Enterprises' report and the 73rd round of the survey conducted by the National Statistical Office (NSO) in 2015-16.
About 178.2 lakh unorganised units were operating in the manufacturing sector during October 2022 to September 2023, which is about 9.3 per cent less than the 197 lakh unorganised units operating between July 2015 and June 2016. Similarly, the number of people working in these establishments has also come down by about 15 per cent to 3.06 crores from 3.604 crores earlier during this period.
Unincorporated entities include business entities that are not incorporated as separate legal entities. These enterprises typically include small businesses, sole proprietorships, partnerships and informal sector businesses. The unorganised sector, which also includes the vast informal sector, has been hit hard by successive economic shocks, including the Goods and Services Tax and the Covid pandemic.
The informal sector has been badly affected due to the lockdown. Organizations in this sector usually employ around 2.5 to 3 people. Most people have their own business or have family members working in it. So, the reason is that about 54 lakh jobs have been lost in the manufacturing sector.
Analysis of the data also shows that the number of unorganised establishments in the commercial sector declined by 2 per cent to 2.25 crore during October 2022 to September 2023 from 2.305 crore during July 2015 to June 2016. However, the number of workers in this sector increased from 3.87 crore to 3.90 crore during this period.
