Bengal & UP, opponents of labours reforms, have max unorganised units

Written by Economy Bureau | New Delhi, Dec 28 | Updated: Dec 29 2007, 04:43am hrs
Uttar Pradesh and West Bengal, which has been a staunch opponent of labour reforms, have the highest number of unorganised manufacturing enterprises (UMEs) in 2005-06.

The total number of such enterprises has been estimated at17.07 million in the country. The two states also have the maximum number of workers in the UMEs at 14% 15%, respectively, of the total of 36.44 million people, according to the NSSO report released on Friday.

The two states together shared 30% of all unorganised manufacturing enterprises in the country. Of the total estimated enterprises, 71% were in rural India and 29% in urban India.

About 55% of all workers were concentrated in five states of West Bengal, Uttar Pradesh, Tamil Nadu, Andhra Pradesh, and Maharashtra in the UMEs.

Own account manufacturing enterprises constituted 86% of all enterprises and the remaining 14% were establishments. The respective share of non-directory manufacturing enterprises ( NDMEs ) and directory manufacturing establishments ( DMEs) were 10% and 4%, respectively, of the total enterprises.

The estimated number of workers per enterprise was about 2.13. Nearly 94% of all enterprises were perennial enterprises while about 98% were proprietary enterprises and 3% had no fixed location of operation. Further, 90% of these enterprises were not registered with any agency and 92% did not receive any assistance from any government or non-government agency.

About 32% of all enterprises had undertaken at least some work on contract basis and also 28% of all enterprises had undertaken other economic activity.

Majority (77%) of enterprises have been found to have other economic activities as the major source of income derived income from agriculture, hunting, forestry, mining and quarrying.