Describe how Recruitment, Selection and Employer-Employee Issues are performed in MSMEs.

Recruitment, selection, and employer-employee issues in Micro, Small, and Medium Enterprises (MSMEs) play a crucial role in determining their efficiency, productivity, and long-term sustainability. These enterprises often operate in resource-constrained environments, which significantly influences how human resource management (HRM) and industrial relations are handled.

Recruitment in MSMEs is generally informal and driven by immediate business needs rather than long-term strategic planning. Unlike large organizations that have dedicated HR departments and structured recruitment strategies, most MSMEs rely on referrals from existing employees, word-of-mouth, local advertisements, or social media platforms to attract candidates. Due to limited financial resources, MSMEs often do not use recruitment agencies or invest in employer branding. The focus is more on hiring individuals who can multitask and are flexible enough to adapt to the dynamic requirements of the business.

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