Vidyabharati International Interdisciplinary Research Journal (Special Issue) ISSN 2319-4979 Special Issue on Emerging Techniques in Interdisciplinary Sciences (Oct. 2021) 478 MSME SECTOR AND EMPLOYMENT GENERATION: A PERSPECTIVE OF INDIAN ECONOMY Md. Motahar Hossain 1 , Dr. Nitin Pathak 2 1 Ph. D. Fellow, Department of Business Management, University School of Business, Chandigarh University, India 2 Professor, Department of Commerce, University School of Business, Chandigarh University, India _______________________________________________________________________________________ ABSTRACT Increasing the job creation rate is a remarkable macroeconomic approach of any country. The examination is an endeavor to examine the specific employment creation of individuals by small businesses ventures. The sense of this assessment is to legitimize if MSMEs are satisfactorily fulfilling the job creation in India through innovative technological amendments. It is critical for understanding the fundamental situation of the MSME sector in India's business age so that the policymakers put the supplement on the turn of events and improvement of the field. The assessment used secondary data to show the current situation of the MSME sector to the extent of the business era. The examination proposed some healing steps to address the MSME sector's reasonability and advancement challenges in India ________________________________________________________________________________ Keywords: MSMEs, Sustainable Development, Job Creation, Technological improvement, Training and development. Introduction At present, unemployment is a big problem in any country in the world. Especially the Covid- 19 pandemic is creating undue pressure on employment and creating opportunities for using innovative technologies in business transactions. MSME sector has been playing a significant role in the employment generation of any country. MSMEs need comparatively low investment to start new ventures. It is acknowledged as the engine of the progress and development of a nation. The result of the SME sector is getting popularity among the government, policymakers, entrepreneurs, financial institutes, and private sector organizations. In India, the MSME sector has a significant influence on employment generation. Around 630.52 lakh micro-enterprise employed 1076.19 lakh persons. Besides, the small industry with 3.31 lakh and medium sector with 0.05 lakh MSME estimated units engaged 31.95 lakh and 1,75 lakh persons respectively of total employment in MSME sector But the Covid situation has been slowing down the trends of MSMEs‘ growth and development. At the same time, unemployment is showing increasing trends day by day. So the government and private companies must take the initiative to rescue and help the sector develop sustainably. Moreover, adaption with modern technology can help the industry to conduct its business sustainably. Literature Reviews: Several authors dealt with the topic regarding the economic contribution of MSMEs and adaption with the technological innovation in India. Some of the writings are reviewed in the following: Sharmah A. et al. (2021) authored a research paper entitled ―Can unemployment be answered by Micro Small and Medium Enterprises? Evidence from Assam‖. The examination is an endeavor to examine the general commitment of MSMEs in employment creation in Asam. Another generous justification of the analysis is to review the example of male and female personnel in the study region. The examination showed that the business age and MSME areas are directly related. Other fundamental revelations of the investigation uncovered that the male-had MSMEs have a higher number of people used than female-asserted MSMEs. Chaturvedi P. et al. (2021) had a research paper on "Technological Innovation: a Necessity for Sustainable MSME Sector in India." The study explores the innovation in the MSME sector to improve productivity. The researcher found that the personnel engaged in MSMEs' industrial job capabilities heavily affect the industry's productivity performance. Finally,