Chennai, May 2 (KNN) Amid ongoing COVID-19 pandemic the biggest headache for the Micro, Small and Medium Enterprises (MSME) is to obey Ministry of Home Affair’s (MHA) order directing them to pay full wages to their workers.

Some agitated MSMEs knocked Supreme Court's (SC) door to put a stay on the said order but eventually they came out with an empty hand. Now to deal with such a scenario, a joint council of MSME Associations have suggested Prime Minister Narendra Modi to declare ‘lay-off’ period.

These associations argued that if government declare the lockdown period as lay-off period then the employees will be entitled to 50 per cent of their basic salary of which 25 per cent will be paid by the government, thus giving some relief to MSMEs with only a burden to  pay the rest 25 per cent.

''The government shall declare the lockdown period as lay-off period, by which the employees are entitled to 50 per cent of their basic salary. For the above, a 25 per cent salary could be paid by the government by creating an exclusive ‘Disaster Management Fund for MSMEs’ and the money could be released directly to employees. The remaining 25 per cent of basic salary shall be paid by the employers themselves,'' said presidents of Tanstia, Laghu Udyog Bharati – TN and Codissia in a letter to PM.

For unorganised workers employed in micro and small industries, they suggested government to pay Rs 6000 per month into their bank accounts.

''For unorganised workers employed by micro and small Industries, Government should take a field study, based upon the filing of GST/ IT Returns/ power consumption, etc, and Rs 6,000 per employee, per month shall be paid directly to the employees’ bank accounts (Central & State Government can share this Amount) or through DBT (direct benefit transfer) mode,'' they said.

However, the presidents of these associations also informed that they have paid the entire salary for the month of March 2020.

They further suggested government to direct ESIC and ESI to consider these employees as being on sick leave and pay the salary as per ESI rules.

''For all employees exempted from ESIC, the same rule shall be made applicable,'' they added.