Friends of MSMEs In Parliament’s 10th SAMWAD Discuss New Labour Codes, Budget 2026–27 & Next-Gen MSME Reforms

New Delhi, Dec 4 (KNN) The 10th SAMWAD of ‘Friends of MSMEs in Parliament’ was convened to deliberate on key issues impacting Micro, Small and Medium Enterprises (MSMEs), including the newly notified Labour Codes, proposals for the Union Budget 2026-27, and transformative next-generation reforms.

The discussion was chaired by MP Shankar Lalwani (Indore), with former MP Rajendra Agrawal (Meerut) serving as the convener.

‘Friends of MSMEs in Parliament’ is a forum of parliamentarians working for the MSME cause, with the Federation of Indian Micro and Small & Medium Enterprises (FISME) serving as the secretariat.

The key objectives of the Forum are to ensure that legislation incorporates the MSME perspective, leverage parliamentary institutions for the benefit of MSMEs, facilitate dialogue among the government, institutions and MSMEs, and promote government initiatives for the sector.

  Labour Codes

The discussion highlighted that while the Labour Codes simplify compliance for MSMEs, several challenges persist.

Suggestions focused on areas such as facilitation, first-time penalty waivers, avoiding retrospective compliance, making employment exchange reporting optional for MSMEs, and clarifying responsibilities for filing violation reports.

  Union Budget 2026-27 Submissions

FISME’s submissions for the Union Budget 2026–27 were deliberated during the dialogue, with the suggestions covering several key areas, including finance and exports, an action plan to address the QCO crisis, public procurement reforms, technology initiatives, and income tax-related proposals.

  Third-Generation Reforms

FISME also proposed a set of third-generation reforms to the PMO, highlighting transformative measures such as introducing a single social security charge for enterprises to simplify the system and extend health coverage to all employees, expanding the Insolvency and Bankruptcy Code to cover individuals and self-employed entities, and reforming the urban development framework to legalise working from home while creating affordable industrial and commercial spaces for entrepreneurs.

The discussions highlighted the importance of coordinated policies, regulatory simplification, and targeted financial and technological support to strengthen MSME competitiveness, promote formalisation, and drive sectoral growth.

(KNN Bureau)