Situation Analysis of the Impact of COVID-19 on Economic Units and Workers in Micro, Small, and Medium Enterprises (MSME) Using Mixed-Methods Research
Client Name: International Labour Organisation (ILO)
Location: Maharashtra, Tamil Nadu, and Uttar Pradesh
Background Context: To contain the spread of COVID-19, the government in March 2020 locked down a substantial part of the Indian economy, except for essential services. This led to substantial disruption both for the Micro, Small, and Medium Enterprises (MSME ) and the workers in these units. The “migrant crisis” as highlighted by the media during March-April 2020 was a manifestation of this impact, both on the MSMEs and workers.
Objectives
The International Labour Organization (ILO), with a mandate to promote decent work for all, commissioned Development Solutions to conduct a study on ‘Situation analysis on COVID-19 impact on economic enterprises and workers in the formal and informal economy’ in three states in India. The objectives of the study were:
- Gain information on the impact of MSMEs (establishment and workers in the organized and unorganized sector) due to COVID-19-related market disruptions.
- Understand the coverage and access to policy measures of the government (including wage protection, job retention, welfare entitlements, Employee Social Insurance Scheme, Provident Fund coverage, and others)
Approach and Methodology
- Method/ Design: Mixed methods- Desk review, quantitative (telephonic interviews from MSME enterprises and laborers), Qualitative (in-depth interviews with the Government, MSME Association, Trade unions, and civil society organizations)
- Key Respondents/ Informants: Labourers, Government, MSME Association, trade unions, and civil society organizations
- Key Areas of Inquiry: Impact of COVID on MSME units, and strategies adopted by enterprises to cope with the crisis, the impact of COVID on workers including strategies adopted by workers to cope with the crisis, access to government schemes by MSMEs, access to government support by workers
- Sample: Quantitative (3,111), Qualitative (27)
Impact
Contact
17/109, Lower Ground Floor, Vikram Vihar, Lajpat Nagar IV, New Delhi – 110024