First of all let us know what is Full Employment… Full employment is acondition of the national economy, where all or nearly all persons willing and able to work at theprevailing wages andworking conditions are able to do so.
Then what is Unemployment…• “Unemployment occurs when people are without jobs and they have actively looked for work within the past four weeks --International Labour Organization Hi, I am here for a job…
Unemployment is more in… Urban areas than Rural areas Men than Women Agriculture Sector than other sectorsEducated population in overall unemployed population
• A person is out of job because of his own desire to not toVoluntary work on the prevalent or prescribed wages. • A person is separated from remunerative work and devoid of wages although he isInvoluntary capable of earning his wages and is also anxious to earn them.
Cyclical Unemployment• Part of the capitalistic system and a part of trade cycle.• There is a greater unemployment and when there is a depression a large number of people are rendered unemployed.Seasonal Unemployment• Certain industries and traders engage workers for a particular season.• When the season ends workers are rendered unemployed. e.g. Sugar IndustryFrictional Unemployment• The time period between jobs when a worker is searching for, or transitioning from one job to another.
Structural• When labour market in unable to provide jobs for everyone.• Reasons:- population overgrowth and mismatch between expectation of employers and skills of unemployedDisguised• When more people are engaged in work than actually required e.g. agriculture sector
Reasons…. Labour force Employment growth rate Growth rate . 2.5 % 2.3 % annually annually
The Mahatma Gandhi National Rural Employment Gurantee Act (MGNREGA) Swarnjayanti Gram Swarozgar Yojna (SGSY) Swarnjayanti Shahari Rozgar Yojna (SJSRY) Prime Minister’s Employment Generation Programme(PMEGP)
Actions that can be taken …• Increase access to credit to encourage entrepreneurship• Provide incentives for new initiatives• Strengthen or enforce legislation• Publicize opportunities in the media
Suggestions….Family planning programmer anddevelopment plans should be reformed.Provide skill training to the new entrantsto the labour force