Union Budget 2026-27: Major Push For Labour-Intensive Sectors, MSMEs & Job Creation Strategy

The Union Budget 2026 is set to deliver a major push for labour-intensive industries and job creation across India. With new schemes for MSMEs and expanded support for sectors like textiles, leather, footwear, gems & jewellery, and handicrafts, the government aims to strengthen employment opportunities and build a strong base of mid-sized enterprises. Policymakers believe this focus is crucial for India to fully harness its demographic dividend and avoid the middle-income trap. The upcoming budget continues last year’s trend of sharply higher allocations for labour-facing sectors and aligns with the rollout of India’s four new labour codes, designed to enhance worker protection, social security, and minimum wage implementation. Experts say that boosting MSMEs through better infrastructure, credit access, and sector-specific support will be key to broad-based economic growth. As the Centre shifts toward supply-side reforms, Union Budget 2026 is poised to play a pivotal role in shaping India’s employment landscape over the next decade. Watch the full video to understand what the government is planning and why it matters for jobs, industries, and India’s growth trajectory.