The Contribution of Small Scale Businesses and Provision of Employment to Labor Force

ABSTRACT The study examined the various activities in which SSBs absorb the labor force of Mityana Central Market in Mityana district. The study was guided by four objectives which include: To identify the different activities of SSBs in which labor force is employed, to establish the relationship between SSBs and provision of employment to labor force, to identify the size of businesses that provide employment to labor force and to find out the challenges limiting activities of small scale businesses in their role to provision of employment to labor force. The study also used data collection methods such as a questionnaire. Both qualitative and quantitative methods were used to analyze data. The study revealed that most business owners had challenges that hindered their business operations. taxes and other regulations. Problems in the context acquisition of licenses for registration, duplication of products have been attributed to competition. This has culminated into the widening of markets emphasizing of the traditional guarantee associations as Mityana Central Market. The study revealed that most people who own businesses in the area of study used own savings as a startup capital for their businesses hence operating at a small level with a structural hierarchy of own boss and support staffs thus leading most businesses to be tied shop businesses with less than 5 employees. Despite the challenges faced by SSBs as taxes and other regulations, competition fiom similar ~perations, transport costs, efforts have been undertaken to increase the role of such businesses n the provision of employment to labor force. The study recommended SSB owners to employ ~vorkers who are qualified in certain fields like records keeping, good and well established nfi-astructures can help in the performance of SSBEs and therefore better performance.