THE ROLE OF SMALL BUSINESS AND PRIVATE ENTREPRENEURSHIP IN PROVIDING EMPLOYMENT FOR THE POPULATION

Abstract

In this article, in order to prevent employment and unemployment of the population, the creation of new jobs in small business and private entrepreneurship, and the analysis of youth notebook family entrepreneurship were carried out.

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Jo’raboyev, H. . (2024). THE ROLE OF SMALL BUSINESS AND PRIVATE ENTREPRENEURSHIP IN PROVIDING EMPLOYMENT FOR THE POPULATION. Solution of Social Problems in Management and Economy, 3(4), 103–108. Retrieved from https://www.inlibrary.uz/index.php/sspme/article/view/53452
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Abstract

In this article, in order to prevent employment and unemployment of the population, the creation of new jobs in small business and private entrepreneurship, and the analysis of youth notebook family entrepreneurship were carried out.


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THE ROLE OF SMALL BUSINESS AND PRIVATE

ENTREPRENEURSHIP IN PROVIDING EMPLOYMENT FOR THE

POPULATION

Jo'raboyev Haliljon Xamidjon o'g'li

juraboevhaliljon@gmail.com

+998945960594

https://doi.org/10.5281/zenodo.11057457

Abstract:

In this article, in order to prevent employment and

unemployment of the population, the creation of new jobs in small business and
private entrepreneurship, and the analysis of youth notebook family
entrepreneurship were carried out.

Keywords:

Small business, private entrepreneurship, population

employment, entrepreneurship, market, market economy, competition

INTRODUCTION

A favorable business environment and reliable legal guarantees have been

created for the rapid development of small business and private
entrepreneurship, which is an important factor for the formation of the middle
class of owners, the stable development of the country's economy, the creation
of new jobs and the increase of the population level. As a result of the
introduction of the modernization process into production, the scientific and
professional training of workers, as well as the requirements for their labor and
social activity, will increase sharply.

In the conditions of the market economy, one of the main factors of

increasing labor productivity and efficiency is considered to be one of the main
factors of increasing labor productivity and efficiency as an important direction
of organizing labor on a scientific basis. Organization of personnel work in small
and private enterprises and increase of its effectiveness represent the special
relevance of comprehensive research.

RESULTS AND DISCUSSION

According to the Decision of the President of the Republic of Uzbekistan on

additional measures to improve the system of attracting the population to
entrepreneurship and develop entrepreneurship:

In recent years, more than 13 trillion soums of concessional loans have

been allocated to more than 600,000 families within the framework of "Every
family is an entrepreneur", "Our youth is our future" and other social programs
aimed at attracting a large segment of the population to entrepreneurship and
expanding their sources of income. has been achieved.


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The following main areas of public involvement, especially young people

and women in entrepreneurship, improvement of the microfinance system and
state support for entrepreneurship should be put into practice:

increasing the population's interest and interest in doing business;
introduction of a training system aimed at forming the necessary skills in

the field of entrepreneurship among the population, wide involvement of
international organizations, non-governmental non-profit organizations and
non-governmental educational organizations in this process;

institutional improvement and development of the microcredit system

aimed at supporting entrepreneurship;

development of social programs related to the support of the population's

entrepreneurship in harmony and coordination with the reforms implemented
in the economy;

to create a full-fledged system aimed at expanding and developing the

activities of residents with entrepreneurial skills and experience and other small
business representatives by realizing their potential;

to establish a comprehensive system for supporting entrepreneurship and

to establish its implementation and coordination by a single state organization;

to small business subjects on the basis of third-party guaranty, insurance

policies, pledge of property purchased on credit, guaranty of the State Fund for
the Support of Entrepreneurial Activities and other types of security provided
for by law in the amount of up to 225 million soums microcredits are allocated.

In this case, microloans are provided for up to 6 months with a grace

period of up to 3 years, based on the recommendation of the assistant governor
to the borrower who lives (located) in the neighborhood assigned to him, for the
organization of gardening, viticulture and lemon farming for a period of up to 7
years with a grace period of up to 3 years, cattle breeding ( cattle, sheep, goats)
for up to 1 year with a preferential period of up to 3 years based on the
recommendations of the assistant mayor attached to each neighborhood based
on the decision of the district (city) Family Business Support Center based on
the reasoned and clearly calculated results of the annual 14 allocated at the
interest rate.

1

It is known that the development of small business and private

entrepreneurship is considered an important factor in ensuring economic
growth in our country, creating new jobs, solving the employment problem, and
increasing the income and well-being of the population. Because, in the

1

https://lex.uz/uz/docs/-5045889?ONDATE=27.03.2021%2000


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conditions of the market economy, entrepreneurship is important because it can
perform the following tasks:

• gives the necessary inclination to the market economy;
• directs the financial and production resources of the population (labor

and raw material resources);

• contributes to creating a competitive environment;
• implements development in the most necessary directions of scientific

and technical development; • solves the employment problem;

• alleviates social tension and democratizes market relations;
• creates an incentive for many people to open their creative possibilities;
• the labor of socially unprotected groups of the population is used;
• improves the qualifications of young personnel and increases their

experience in production.

Based on this, the development of small business and private

entrepreneurship remains one of the main directions in the consistent
continuation of the path of large-scale reforms and modernization in our
republic. In this regard, we can give an example of the attention paid to
agriculture. In the report of President Islam Karimov at the meeting of the
Cabinet of Ministers dedicated to the results of socio-economic development of
our country in 2019 and the most important priority directions of the economic
program for 2020, "In 2014, due to the implementation of the program of
comprehensive measures in our country, about 1 million new it was noted that
about 60 percent of jobs were created in rural areas. The activity of
entrepreneurs on the production of certain products, the performance of work
and the provision of services constitutes entrepreneurial activity. According to
the Law of the Republic of Uzbekistan "On Guarantees of Entrepreneurship and
Entrepreneurship" "Entrepreneurial activity (entrepreneurship) is income
(profit) carried out by subjects of entrepreneurial activity in accordance with
legal documents, at risk and under their own property responsibility) proactive
activity aimed at obtaining". There are a number of conditions and requirements
based on entrepreneurial activity.

First, the entrepreneur combines production factors in the process of

production of goods and services and acts as a "catalyst".

Secondly, in the process of running a business, he takes on the difficult task

of making independent decisions.


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Thirdly, as an entrepreneur-organizer, he tries to introduce new

production technologies and produce new products. Fourthly, an entrepreneur
is a person who is not afraid to take risks.

He risks not only his property, time, labor, but also the funds contributed

by his partners and shareholders. Summarizing the above-mentioned various
opinions and approaches about entrepreneurial activity, it can be briefly defined
as follows:

Entrepreneurship is an economic activity aimed at profiting and using it

effectively, regardless of its form and field. In the implementation of business
activities, it is required to comply with the following rules:

- Having the rights and freedoms of an entrepreneur to run a business;
- Entrepreneurship can be carried out both by the owner himself and by an

entity operating on the basis of his property;

- Existence of a favorable economic environment and social-political

conditions that ensure the freedom of economic management;

- The presence of different forms and types of farming and exploitation;
- The entrepreneur should have special knowledge, information and

professional training.

A significant part of the GDP is increasingly being produced in this area,

employment of the majority of the labor force is provided, and more than half of
all innovations are created. The analysis of Jakhan's experience shows that the
development of small business is used as a special lever of economic policy in a
number of countries. Including:

1. the main field of ensuring labor force employment;
2. economy is a source of innovation potential development;
3. source of search and introduction of new forms of production activity;
4. filling the state budget with taxes (for example, in Germany, almost half

of taxes are provided by small businesses);

5. prevention of production decline (Hungary, Czech Republic, Poland);

inextricably linked with big business, it is the basis of sustainable development
of the country and increasing the competitiveness of its economy.

The policy of effective development of private entrepreneurship in the

region can be implemented in the framework of the following main directions,
based on the employment situation in it:

• focus on creating new jobs in the field of private entrepreneurship based

on the conditions of the region


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• wide implementation of training and retraining in the field of private

entrepreneurship; • providing information and consulting services;

• support of local initiatives related to employment of the population in

entrepreneurship;

• revitalization of population mobility, including network and inter-

network movement;

• organization of temporary work system;
• promotion of external migration, etc.
In the near future, this will have a great impact on the implementation of

targeted regional programs on the implementation of effective measures aimed
at increasing the employment of the population based on the support and
development of small business and private entrepreneurship in the region and
on social support. Attention means that it will become the basis of the economic
development of the region.

Employment policy as a component of the social and economic policy of

the country's development, in accordance with the transitional period of the
economy focused on the effective use of labor potential and the solution of
employment problems on its development It is necessary to focus on ensuring a
socially appropriate level of employment in the form of redistribution. As we
know, the policy of regulating the labor market envisages achieving the
following goals: - achieving a balance between demand and supply of labor
force; - encouraging the unemployed to work; - increase the professional
mobility of unemployed citizens in search of work; to provide employment to
everyone who is looking for a job.

In Uzbekistan, this is the State Fund for employment of the population of

the republic. This fund is mainly formed at the expense of the contributions of
enterprises and employees themselves, as well as entrepreneurs who have not
established legal entities. The amount of unemployment benefit is determined
either as a percentage of the salary or as a fixed amount. The average allowance
is 50-60% of the average salary. The amount of the pension can play an
important role in the search for a job, or it can play a destructive role. Practice
shows that if an employee loses only a small part of his income when he
becomes unemployed, he can prolong his job search, waiting for the end of the
period of payment of benefits. A more effective and acceptable direction of the
state employment policy is an active employment policy, in order to increase the
demand for labor, to create jobs at the expense of the state employment fund, to


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create additional jobs for enterprises. is to ensure economic stability by
providing loans.

Creating a system of small enterprises in Uzbekistan creates the following

opportunities:

• free labor resources, the introduction of new economic relations, the

emergence of new forms of ownership, the greater involvement of persons
released from production in social production, the emergence of new forms of
ownership;

• to raise the material, moral and professional level of the population, first

of all, the youth;

• restoration of national and artistic crafts, as well as support for the

development of small and medium-sized enterprises, rural settlements, in
general, increasing the efficiency of the economy, which is extremely important
for each region. Recognizing the positive importance of small business and
private entrepreneurship in the development of the economy, it is not correct to
overestimate its importance.

CONCLUSION

In our opinion, in the organization of labor in the field of entrepreneurial
activity, it is necessary to take into account the labor costs spent per unit of time,
as well as its structure. The most important of the factors that prevent business
in all its aspects is the financial factor. Most of the interviewed businessmen
noted that they do not have enough financial resources for this. An entrepreneur
who wants to start his own business needs a certain amount of funds. Therefore,
it is necessary to increase the role of microfinance institutions in the
development of entrepreneurship.

References:

1.

Botirjon o’g’li, M. B., & Hasanboy o’g’li, S. D. (2022). ORGANIZATION AND

INCREASE OF ACTIVITY OF SMALL INDUSTRIAL ZONES.
2.

Abdullajanovich, U. T. (2022, March). THE ROLE OF INDUSTRIAL

ENTERPRISES IN THE DEVELOPMENT OF THE NATIONAL ECONOMY. In
Conference Zone (pp. 271-276).
3.

Zayliyev, A. A., Jurayev, E. S., & Muxammadjonov, B. B. (2018).

DISCLOSURE LINES OF CREATIVE FINANCIAL REPORTING OF TRADE BANKS.
Teoriya i praktika sovremennoy nauki, (3), 120-122.
4.

O’G’LI, M. B. B. (2021). ESTABLISHMENT AND ACTIVITY OF SMALL FREE

ECONOMIC ZONES IN THE TERRITORY OF UZBEKISTAN. International Journal
of Philosophical Studies and Social Sciences, 1(2), 156-159.

References

Botirjon o’g’li, M. B., & Hasanboy o’g’li, S. D. (2022). ORGANIZATION AND INCREASE OF ACTIVITY OF SMALL INDUSTRIAL ZONES.

Abdullajanovich, U. T. (2022, March). THE ROLE OF INDUSTRIAL ENTERPRISES IN THE DEVELOPMENT OF THE NATIONAL ECONOMY. In Conference Zone (pp. 271-276).

Zayliyev, A. A., Jurayev, E. S., & Muxammadjonov, B. B. (2018). DISCLOSURE LINES OF CREATIVE FINANCIAL REPORTING OF TRADE BANKS. Teoriya i praktika sovremennoy nauki, (3), 120-122.

O’G’LI, M. B. B. (2021). ESTABLISHMENT AND ACTIVITY OF SMALL FREE ECONOMIC ZONES IN THE TERRITORY OF UZBEKISTAN. International Journal of Philosophical Studies and Social Sciences, 1(2), 156-159.