Chennai, Apr 7 (KNN) Around 71 per cent of the Micro Small and Medium Enterprises (MSMEs) are unable to pay either partially or fully the wages for the month of March, said All India Manufacturers Organisation, (AIMO) survey.

''71 per cent of the surveyed establishments are unable to release the salaries and wages for March , normally due by 5th of the April, for various reasons such as computations issues, logistics issues , distribution issues for cash payments and cash flow issues," K E Raghunathan , Past President of AIMO said.

The survey further stated that more than 52 per cent of the entrepreneurs found it difficult to assess and determine how much to pay as some of their staff had worked from home while some of them had remained idle at home.

Also, almost 63 per cent of the entrepreneurs cited 'Cash Flow' issues as their inability to make wage payments, as the receipts from their customers have almost dropped to zero and there has been no advance received during March for fresh orders.

While over 47 per cent of the establishments are also finding it difficult to determine how to pay salaries to employees who may not have a bank account or do not access a bank account or those who may have gone back to their villages despite working for about 20 days duration of the month.

''The Survey, conducted with over 5000 Establishments over the last few days, comprising of Traders, Micro, Small and Medium Establishments mostly employing Informal employees and wage earners situated at traditional manufacturing hubs in the country,'' Raghunathan added.