JOB CREATION

This study assesses the impact of small scale businesses on job creation using Ugbowo area in Benin City, Edo State as a case study. Four research questions were raised to guide the study. The population comprised of 11, 879 registered SMEs, from which a sample of 99 was determined using the Taro Yamme formula. Respondents were selected using the convenient sampling technique. A descriptive survey research design was adopted for the study. Data was collected using a structured questionnaire and analyzed using descriptive (frequency count, simple percentage, mean and standard deviation) and inferential statistics (Wilcoxon signed ranked test) and hypotheses were tested at 0.05 level of significance. The reliability of the instrument was determined using the Cronbach alpha statistics and it yielded a coefficient of 0.85. Results showed that skill development significantly influenced job creation capacity of SMEs (p =.00) and small scale businesses significantly contributed to job creation (p = .02). Challenges faced by SMEs include limited access to skills development and training programs, complex regulatory environment, inadequate infrastructure and access to adequate financing. The study concluded that small-scale businesses significantly contribute to job creation and employment in Benin City, Edo State, however small businesses are faced with challenges in fulfilment of this objective. It recommended that policy-makers should as a matter of necessity address the issue of complex regulatory environment, endevour to prioritize the issue of infrastructural deficits which has plagued the nation for so long, small business owners should avail themselves of opportunities to improve and develop their knowledge and capacity in other to enhance their competitiveness.