Sie sind auf Seite 1von 7

Basics: Unemployment refers to the number of people in the labour force able and willing to work but not

ot holding a job The unemployment rate is defined as the number of persons unemployed per 1000 persons in the labour force. Unemployment rate in India = .!". #$% the world unemployment rate in &011 was '" (according to the I)$*. +ccording to the )abour ,ureau-s ./mployment and Unemployment 0ur1ey23 the unemployment rate in India for &011 1& is .!". $ur statistics appear to be better than those of the rest of the world the world unemployment rate in &011 was '" (according to the I)$*. Workforce: 0elf employed 4 many of whom are 1ery poor 5asual workers (they only work when they get jobs and are unemployed and unpaid the rest of the days* #egular employees &67ths are in the public sector Types of unemployment:
1) Structural unemployment: Basically India's unemployment is structural in nature. There is an inadequacy of productive capacity to create enough jobs for all those able and willing to work. In India not only the productive capacity much below the needed quantity, it is also found increasing at a slow rate. 2) Disguised unemployment: isguised unemployment implies that many workers are engaged in productive work. !or e"ample, in Indian villages, where most of unemployment e"ists in this form, people are found to be apparently engaged in agricultural works. 3) Cyclical unemployment: #yclical unemployment in caused by the trade or business cycles.

4) Seasonal unemployment: $easonal unemployment occurs at certain seasons of the year. It is a widespread phenomenon of Indian villages basically associated with agriculture. $ince agricultural work depends upon %ature, therefore, in a certain period of the year there is heavy work,

while in the rest, the work is lean. !or e"ample, in the sowing and harvesting period, the agriculturists may to engage themselves day and night. But the period between the post harvest and pre sowing is almost workless, rendering many without work. Thus, seasonal unemployment is largely visible after the end of agricultural works. 5) Underemployment: &nderemployment usually refers to that state in which the self employed working people are not working according to their capacity. !or e"ample, a diploma holder in engineering, if for wants of an appropriate job, start any business may be said to be underemployed. 'pparently, he may be deemed as working and earning in a productive activity and in this sense contributing something to production. But in reality he is not working to his capability, or to his full capacity. (e is, therefore, not full employed. This type of unemployment is mostly visible in urban areas. 6) Open Unemployment: )pen unemployment is a condition in which people have no work to do. They are able to work and are also willing to work but there is no work for them. They are found partly in villages, but very largely in cities. *ost of them come form villages in search of jobs, many originate in cities themselves. $uch employment can be seen and counted in terms of the number of such persons. +, (idden

8idden3 or co1ered3 unemployment is the unemployment of potential workers that is not reflected in official unemployment statistics3 due to the way the statistics are collected. In many countries only those who ha1e no work but are acti1ely looking for work (and6or 9ualifying for social security benefits* are counted as unemployed

-, Technological

technological unemployment ::(e.g. due to the replacement of workers by robots* might be counted as structural unemployment. +lternati1ely3 technological unemployment might refer to the way in which steady increases in labor producti1ity mean that fewer workers are needed to produce the same le1el of output e1ery year

., /ducated

The problem of educated unemployment is peculiar to India. India is only country in the world where e1en highly educated persons fail to to get employment. /1ery year thousands and thousands of graduates pass out of schools and colleges. They are unfit for any work3 e;cept office work. +ll of them cannot be absorbed in ser1ices. This increases employment.

#alculations by TI0 using the labour bureau numbers show that unemployment rises steadily with education level. 1hile unemployment among the illiterate is 2.34, unemployment among graduates is ..54 and among post6graduates it is 274

Costs: 1. &. . =. 7.

/conomic 5osts )oss of output )oss of ta; base Increased Transfer <ayments $pportunity 5osts >ifficulties for labour market entrants 0ocial 5osts <o1erty 8igh rates of 1andalism3 crimes <ersonal 5osts to the the Unemployed: )oss of income ?eeling of dejection +n;iety @ >epression

1. &. 1. &. .

Weaknesses in Umeployment Figures: >efinitional <roblems: 1. >isabilities3 long term illnesses3 unemployed people close to retirement age3 discouraged workers +ccounting <roblems: 1. 5laimant count (people who are registered as unemployed* &. .8idden2 in job training schemes3 youth employment or training programs3 etc def problems: these arise in defining whether those with >isabilities3 long term illnesses3 unemployed workers close to retirement age3 and those who know longer seek to find work (discouraged workers* should be counted as a part of the labour force or not acc problems: these arise when unemployment figures are primarily based on those who ha1e registered as seeking employment at employment agencies and those recei1ing umemployment benefits (claimant count*. There could be a large no of people who in reality are unemployed but are .hidden2 in in job training schemes3 youth employment or training programs3 and people who are not part of the formal economy. Unemployment : Over The Ages

8istorically3 from 1A! until &0113 India Unemployment #ate a1eraged B.7B <ercent reaching an all time high of A.=0 <ercent in >ecember of &00A and a record low of .!0 <ercent in >ecember of &011. What affects unemployment? 1. #ecession & consecuti1e 9uarters of falling real C>< (diagrams* /g U0 unemployment currently !. " %as A.'" during recession in &00! &. ?>I: ?>I in multi4brand retail. %hy is %almart a threatD%almart employs &.1 million worldwide. Threat to =0 million Indians working in retail . Co1ernment <olicies 4 0tringent )abour )aws 4 8igh Unemployment ,enefits 4 Einimum %age 4 )aws regarding retrenchment of a worker 4 The Industrial >isputes +ct (1A=B* re9uires companies employing more than 100 workers to seek go1ernment appro1al before they can fire employees or close down. In practice3 permissions for firing employees are seldom granted 4 ?or e;ample3 at the EarutiEanesar <lant o1er 700 workers were laid off as they were contract labourers. =. <o1erty 4 In India3 the problems of unemployment and po1erty ha1e always been major obstacles to economic de1elopment. Underemployment and unemployment ha1e crippled the Indian economy from time to time. /1en during the period of good har1est3 the Indian farmers are not employed for the entire year. + part of the urban workforce in India is subjected to sub4 employment. Eass migration from rural to urban regions is adding to the problems of unemployment and po1erty in India In &0113 %orld ,ank stated3 &.B" of the total Indian people falls below theinternational po1erty line of U0F 1.&7 per. #s. &!. 7 in urban areas and #s. &&.=& in rural parts according to India-s planning commission $ut of ='0 million workers (U<00*3 A= million earn so little that they are below the po1erty line. +nd if that is the lot of employed workers3 the lot of the poor who are unemployed in the labour force must be worse3 which is a cause of concern to the planning process. 7. /ducation 0ystem 4 /1ery year our educational institutions are producing thousands of graduates and post graduates. These people refuse to under taking any manual work. 8ence our educational system needs a drastic change. The educational planning should estimate correctly our man power re9uirements. The choice of profession should depend entirely on the demand of the employment market. $ur educational system has its own irreparable defects and its contribution to the unemployment is an open truth.$ur education does not prepare the minds of young generation to become self4employed on the contrary it makes them dependent on go1ernment 1acancies which are hard to come.

+lso the proportion of people employed in agriculture reduced3 as standard of li1ing rises people do not want to undertake manual labour and prefer to work in the ser1ice sector. ,ut jobs in the ser1ice sector are limited and thus a large segment of the population is left unemployed. '. <opulation Crowth 4 +ccording to the Theory of >emographic Transition3 India is in the 0econd 0tage3 where birth rates are high but death rates fall rapidly. It is a transitory stage characterised by shortage in food supply3 ecological degradation and unemployment. India-s labour force is growing at a rate of &.7" annually but employment is growing at only &. ". Therefore the challenge is absorbing the new entrants to the job market and also clearing the backlog. 5ountries with higher work force participation of the age group o1er '7 yrs3 ha1e a lower gdp per capita. %hile countries with a more youtful workforce do not show this distinct characteristic. It cannot be stated that there is a direct relation between youthful workforce and gdp per capita3 but the data is more centrally located3 showing that a youthful workforce is definitely fa1ourable to an aged one. The lack of a positi1e relationship between youth and the gdp is that countries with a large youthful population like india3 may not be creating jobs at the same rate as the population is growing. C>< and unemployment are assumed to ha1e an in1erse relationship with fall in C>< there is generally a fall in +> and this demand for goods drops demand for labour is deri1ed from demand for final goods and ser1ices and thus unemployment rises ,ut if we take into consideration age of the population3 this may not hold true. 8igher life e;pectancy means the older population is working longer and fewer jobs are being 1acated. 8ence with a youthful population3 an increasing producti1ity (C><* may also increase unemployment. B. %omen 4 %omen comprise =!. " of the population but ha1e only &'.1" share in the persons employed. This is presently because their share is in the labour force is only &'.=" The female labour force participation rates ()?<#* across all age groups are &7 to 0" of the male )?<# in urban areas3 and 7 to =0" of male )?<# in the rural areas $nly 1B.A per cent of women in urban areas are in the labour force as against B . percent of men. >espite such low labour force participation among women3 the rate of female urban unemployment is as high as 1&.7 percent as against .= percent for urban males. +long with lower participation rates3 women face a higher incidence of unemployment than men. This is especially so for higher le1els of education. The principal reasons for low participation by women in the labour force are: 4%age rates of women are lower than of male for comparable occupations. G %omen are denied access to certain occupations3 though they may be capable of doing that work as well as the men. G 0kill de1elopment of women is not uniform across all tradesH participation by them remains confined to a few labour4intensi1e occupations such as stitching3

teachers training3 etc.3 which forces a majority of the women to enter the labour market as unskilled labour. !. 5apitalism 5ompanies employing contract labour do not pro1ide any benefits such as pensions3 and are free to lay off workers as they please. This increases the frictionally unemployed people and adds to the natural rate of unemployment. A. Trade Unions 4Eay actually contribute to increasing unemployment due to minimum wage schemes real wage unemployment. Cujarat: )owest Unemployment rate 1" 8$%D ?inancial aid to rural workers in case of serious ailments 4 Total e;penditure of this treatment is paid to the respecti1e hospital by the 0tate Co1ernment on behalf of the labourer. &7 beds reser1ed in T, hospital %elfare scheme for migrant workers 4 ,al1adi3 first aid3 drinking water3 non formal education3 aid in construction of houses (uptors &7000* 0hramik0uraksha insurance scheme 4 1 lakh for death6perm disability3 70000 for partial. ?inancial assistance for toursuptors 7000 ?inancial assistance to organiIations working for the welfare of rural workers +wareness camps4 awareness of welfare schemes pro1ided for workers

What has been one? 4 <rimary +genda in 7 Jear <lans ?ood4for4work <rogramme Training #ural Jouth for 0elf4employment (T#J0/E* $peration ?lood II /mployment Cuarantee 0cheme Kawahar#oIgarJojana Lehru #oIgarJojana Latural #ural /mployment Cuarantee 0cheme Training !ural "outh for #elf $mployment: 0tarted in 1ABA with the obj of remo1ing unemployment in the rural youth. It pro1ided training to the rural youth so that they can be self employed >uring the Bth year plan3 10 lakh rural youth recei1ed training under this scheme Operation Floo %%: This programme is e;pected to benefit ! million milk producing families.

$mployment &uarantee #cheme: 0tarted by the Co1t of Eaharashtra in 1AB& 4 B <ro1ides producti1e employment to the rural unskilled labour by raising durable community assets like roads3 canals etc. It pro1ides the right to work at a wage of #s ' a day 'a(ahar!o)gar"o*na: 0tarted in 1A!A4A0. +ims to generate employment by taking up producti1e work in rural areas. >uring the Bth year plan it generated =AB million man days of employment +ehru !o)gar"o*na 0tarted in oct 1A!A It consists of sub schemes: 1* 0cheme of Urban Eicro /nterprises M0UE/ &* 0cheme of Urban %age /mployment * 0cheme of 8ousing and 0helter Upgradation 08+0U 1.7A lakhs families were assisted under 0UE/ 1 million man day of employment were generated under 0UE/ and 08+0U +atural !ural $mployment &uarantee #cheme ,+!$&#<ro1ide 100 days of guaranteed employment in a year for all self selected adults for unskilled manual labour. It Is a wage employment programme to create infrastructure and reju1enate natural resources. #trategies to re uce unemployment 1. 8ea1y In1estment in ,asic Industries4 In1estment in hea1y and basic industries and consumer goods industries should be increased. They pro1ide more employment along with the supply of consumer goods. &. >e1elopment of 5ottage and 0mall4scale Industries 4 +s they pro1ide more employment by adopting labour intensi1e techni9ues. . 5hange in /ducational 0ystem: Eore emphasis should be gi1en to 1ocational education. =. 5hecking of <opulation /;plosion4 #apidly rising population should be checked by adopting family planning and welfare schemes. 7. Eodernisation of +griculture 4 Eodernisation of agriculture should be done. %aste lands should be utilised.