4. WAYS TO MEASURE UNEMPLOYMENT
β’ Usual Status: Estimates the number of people
unemployed for a long term. Gives lowest estimate,
especially for poor economy, as few can afford to
remain job less for long duration of time.
β’ Current weekly status(CWS): A person is said to be
employed for the week, even if he gets work for only
one day during that week.
β’ Current Daily Status(CDS): It counts every dayβs
activity of the person over the week.
6. 1. Frictional Unemployment
β’ Frictional unemployment occurs because of
the time it takes for workers to find new jobs.
β’ Even if there are enough workers to satisfy
every job opening, it takes time for workers to
learn about these new job opportunities, and
for them to be considered, interviewed and
hired.
β’ Short-term
7. 2. Structural Unemployment
β’ Occurs because of an
absence of demand for
a certain type of
worker.
β’ Mismatches between
the skills employers
want and the skills
workers have.
β’ The structure of the
economy has changed,
not because of the
regular ups and downs
of it.
8. 3. Cyclical Unemployment
β’ Over time, the economy experiences many
ups and downs. That's what we call cyclical
unemployment because it goes in cycles.
β’ When the economy enters a recession, many
of the jobs lost are considered cyclical
unemployment.
9. 4. Seasonal Unemployment
β’ Occurs when a certain occupation is not in
demand for a particular season.
β’ Examples : Tourism, agricultural activities etc.
10.
11. 5. Voluntary Unemployment
β’ Some people have a
continuous flow of
income from their
property or other sources
and need not work.
β’ This type of
unemployment is
National Waste of
Human Resource.
13. CAUSES OF UNEMPLOYMENT
β’ High Population Growth
β’ Absence of Opportunity
β’ Seasonal Employment
β’ Slow developing
Industries.
β’ Migration Abroad
β’ Extensive Automation
and use of IT which has
replaced man power.
β’ Govt. emphasis more
on preserving the jobs,
rather than creating
new jobs.
β’ Till 5th Five year plan,
no serious efforts were
made on the issue of
Unemployment
22. β’ Indian job seekers are becoming more and
more choosy with the level of their education
increasing.
β’ For every educational level, the rates are higher
among the youth (15-29 years) than the general
population
β’ The youth in India account for 25-29% of the
total population.
β’ In a labour surplus economy like India, many
youngsters remain unemployed and continue to
search for employment.
GRADUATES: HIGH UNEMPLOYMENT RATE
29. STEPS TAKEN BY GOVERNMENT
β’ Jawahar Rozgar Yojana
(1989) - Employment to
one member of poor rural
family for 100 days/year.
[30% reserved for
women.]
β’ Employment Assurance
Scheme (1994) - 100 days
of unskilled manual work
to the rural poor.
β’ Mahatma Gandhi National
Rural Employment
Guarantee Act
(MGNREGA) 2005
β’ Skill Development
Program- promoting
people to learn new and
in-demand skills for nation
building
β’ Make in India- promoting
manufacturing in India.
β’ Startup India- Become job
creator rather than job
seeker.
β’ Compulsory 3 Internship
Program.
30. UNEMPLOYMENT BENEFITS IN USA
β’ Unemployment insurance programs pay
money to workers who become unemployed
through no fault of their own.
β’ Extended Unemployment Insurance - Some
states provide 13 weeks of benefits during
periods of high unemployment.
β’ Unemployment insurance benefits are
taxable.
β’ Education Assistance.
β’ Self-employment Assistance.
https://www.usa.gov/unemployment
31. EFFECTS OF UNEMPLOYMENT
β’ Loss of human resource
β’ Increase in Poverty
β’ Social Problems
β’ Exploitation of Labours
β’ Decrease in per capita GDP
32. CONCLUSION
β’ Unemployment is major
social, political and
economic issue.
β’ Govt. has taken many
steps, some were good,
but many failed.
β’ Emphasize on full-time
employment.
β’ Emphasize on skill
development
β’ Strengthen Education
System.
β’ Invest for creating jobs
for new talent.
