5. Contents Meaning of unemployment Defination of unemployment Effects of unemployment Causes of unemployment Types of unemployment Suggestions to solve unemployment problem Steps taken by Government to increase Employment Employment in Eleventh five year plan
6. Meaning of Unemployment Unemployment means a situation in which people are willing to work, at the existing rate of wage, but they do not
7. Definition of Unemployment Pigou A man is unemployed only when he is both without a job or not employed and also desires to be employed.
8. Effects of Unemployment Loss of Human Resour-ces Increase in Poverty Socials Problems
9. Political Instability Exploitation of Labourers
10. unemployment Rapid growth of population Automation Defective Education System Agriculture, a seasonal Industry
11. Less saving and investment Lack of employment policy Slow progress of Industrialisation Slow economic growth
12. Types of Unemployment Open Unemployment Under Unemployment Educated Unemployment Industrial Unemployment Rural Unemployment Urban Unemployment Seasonal Unemployment Frictional Unemployment Structural Unemployment Cyclical Unemployment
13. Open Unemployment It means the person does not get employment at all during the year. These person are willing to work ,
14. Under Unemployment It means the person gets employment for a few months and remains unemployed for some months.
15. Educated unemployment When educated people do not get job according to their educational standard it is called educated unemployment. Industrial Unemployment With the rapid growth of population and urbanisation, more people seek employment in industries. Because of seasonal nature of agriculture, people from village come to urban areas in search of industrial jobs.
16. Rural unemployment It is characterised by seasonal unemployment and under unemployment. Urban unemployment It is characterised by educated unemployment, open unemployment and industrial unemployment.
17. Seasonal Unemployment It means a person is employed in a particular season and is unemployed in another season. In India, it is very common in agriculture. Here persons get work in cropping and harvesting season and in other months of the year, they remain unemployed. It is estimated that a farmer who sows a single crop in a year remains unemployed generally for 5 to 7 months.
18. Unemployment This unemployment of temporary nature. It arises due to market imperfections. When people shifts one place to another and there they seek jobs; there many be unfilled vacancies at that place ,but it takes some time to match the unfilled vacancies.
19. Structural Unemployment This unemployment is because of technology changes or change in the demand pattern of goods. It is possible that demand of new type of goods has increase or technological advancement has taken place and labour does not have right skills to manufacture new type of goods or work with new technology.
20. Cyclical Unemployment In every economy, trade cycles prevail, i.e. period of boom depression. In the period of boom, there are many economic activities. More persons jobs in the period of boom. While in the period of depression, there are lesser economic activities like decrease in demand.
21. SUGGESTIONS Check on population National employment policy Strengthening Information Technology sector Promoting rural non farm Activities More Industrialisation Promotion of Exports Change in the Education system
22. Steps taken by government to increase employment Swaranjayanti Gram Swarozgar yojana(SGSY) It is the single self employment programme for the rural poor. It was launched in Apirl, 1999.It aims at establishing a large number of small enterprises in the rural areas. The expenditure on SGSY is shared by the central and state government in the ratio of 75:25. For north- eastern states this ratio is 90:10.The SGSY is implemented by District Rural Development Authority through the Panchayat Samitis.The SGSY has now been restructured as National Rural Livelihood Mission (NRLM).
23. Sampoorna grameen rozgar yojana(sgry) It was launched on the 1st september, 2001. The main objectives of this yojana are to provide opportunity of employment to surplus labour , to provide food security, development of the basic infrastucture.This yojana has set a target of creating 100 crore man days of employment. In this yojana part of wages are paid in terms of food.
24. Micro, small and medium enterprises With a view to reducing unemployment, government has made special efforts to develop micro, small and medium enterprises. In 2009-10, as many as 695 lakh persons were employed in these industries. Special incentives are given to these enterprises in 11th five year plan.
25. Development of organised sector Many people are getting employed in organised public and private sectors, such as, industries, mining, transport, construction activities etc.In the year 2008-09, it provided employment to 2 crore and 81 lakh persons
26. employment in foreign countries Government also helps people to get employment aboard. Special agencies have been set up to recruit people to serve in foreign countries like Kuwait, Saudi Arabia, Iran, Canada, Australia, etc. NATIONAL FOOD FOR WORK PROGRAMME In November 2004, Government has started National food for work programme in 150 most back ward districts of the country. In this programme wages are distributed in the form of foodgrains. This scheme is aimed at rural poor.
27. Swaranjayanti shahari rozgar yojana This yojana provides employment to urban unemployed. It came into operation from 1st december, 1997. it comprises of two special schemes; Urban self employment programme(USEP) Urban wage employment programme(UWEP) In urban self employment programme the person starts his own work/business and earns profit while in urban wage employment programme the person takes employment as employee with some other person and get wage/ salary for his work.
28. Mahatma gandhi national rural employment guarantee act(mgnrega) Government enacted MGNREGA in 2005 and in year 2006-07, this act has been implemented in 200 districts of the nation. It provides atleast 100 days of guaranteed wage employment in every financial year to the poor persons living in rural areas to atleast one adult person in every house hold.Now, this act has been extented to all 640 districts.
29. Employment in eleventh five year plan Creating 58 million new employment oportunities Reducing unemployment rate to below 5 per cent Creating quality jobs in organised sectors Creating non agriculture work oportunities by creating jobs in industrial and service sectors Special programmes aimed at target groups such as weavers, artisans, craftmens etc.