ProMASS: Nov 28 2016:Government has sought to soothe concerns of layoff in Micro, Small and Medium Enterprises,that employ 80 million people against backdrop of demonetisation, saying decision might cause initial problems but will not impact job scenario in the sector. Talking to AIR, Union MSME Minister Kalraj Mishra said, there can be initial problems due to demonetisation, but after the currency flow regularises, it will help the sector. Asked about apprehension of the Federation of Indian Micro and Small and Medium Enterprises of layoffs in the sector, he said, the government is trying to instill confidence in them and talks are on.
Mr Mishra said, there will be no impact in the sector and outcome of demonetisation will be good. His assurance came amid fears that a big number of people working in MSMEs are likely to lose their jobs due to the cash crunch in the economy following the withdrawal of rupees 500 and 1,000 notes. The Minister said, it is a big decision of the Centre to curb blackmoney and people of the country despite initial problems are supporting the move.