The micro, small and medium enterprises (MSME) sector, which accounts for generating the largest employment opportunities in India has recorded a relatively higher rate of women participation in the workforce (24 per cent) compared to other industries, as per the CIEL HR report.
The study titled — employment trends in the MSME sector stated that more than 20 per cent of proprietary MSMEs are owned by women with West Bengal leading at 23.4 per cent followed by 10.4 per cent in Tamil Nadu.
While women's participation is high in this sector, the study also revealed that their involvement at the leadership level is only 10 per cent, according to the study.
It also mentioned that over the past two years, the MSME sector has witnessed a whopping 45.5 per cent growth in employee headcount.
The report suggested that due to the lack of skilled manpower and hesitance to adopt technology, only 7 per cent of the employees work in the IT field.
Aditya Narayan Mishra, Managing Director and CEO, CIEL HR Services, said “The MSME sector is one of the significant sectors for the growth of our economy with their 30 per cent contribution to the GDP."
He said that while there has been a steady increase in the women’s participation rate in the MSME industry, the study has also revealed the need for better gender representation at an executive level for improved organisational climate and better financial performance.
Meanwhile, a total of 99 per cent of recruiters are offering an on-site job and MSMEs are unwilling to continue remote working post the pandemic.