2. “People engaged only in production activity
are called worker”
OR
Worker is an individual who is in some
employment to earn a living. And contributing
to the flow of good and services in the
economy.
Worker
3. They have following type
1. Self –employed
2. Hired worker
3. Casual worker
4. Regular worker
Types of Worker
4. “Worker are those who are
engaged in their own business or
own profession.
Like farmer etc”
Self- Employed
5. Hire worker are those who work for
other , they render their service to
other and as a reward , get wages /
salaries .
Example:- Teacher etc.
Hire Worker
6. Casual worker are the daily
wager, they are not hired by
their employer on regular
basis. They are not given social
security benefit. Like:-
provident fund etc
Casual Worker
7. Regular worker are on permanent
pay –roll of their employment . they
are entitled to all social security benefit
including pension, gratuity and
provident fund. Example:- Government
job etc.
Regular Worker
8. Labour supply refer to the
amount of labour that the
worker are willing to offer
corresponding to a particular
wage rate.
Labour Suppy
9. Labour Force
All the members of a particular
organization or country who are able to
work, viewed collectively.
"a firm with a labour force of one hundred
people"
10. WorkForce
The people engaged in or available for work, either in a
country or area or in a particular firm or industry.
11. GDP
Gross Domestic Product, abbreviated
as GDP, is the total value of goods and
services produced in a country.
GDP as an economic indicator is used
worldwide to show the economic health of
a country.
12. Job Less Growth
Situation where Gross Domestic Product of an
economy grows faster than the employment
opportunity which result in unemployment.
14. “A man is unemployment only when
he is both without a job or not
employed and also desires to be
Employed.”
OR
“An individual is considered to be
unemployed when he is ready and
willing to work at the prevailing rate
of wages but does not get work.”
Unemployment
15. Types of Unemployment
Structural unemployment
Structural unemployment occurs when certain industries
decline because of long term changes in market conditions.
For example, over the last 20 years UK motor vehicle
production has declined while car production in the Far East
has increased, creating structurally unemployed car
workers. Globalisation is an increasingly significant cause
of structural unemployment in many countries.
16. Types of Unemployment
Regional unemployment
When structural unemployment affects local areas of an
economy, it is called ‘regional’ unemployment. For example,
unemployed car workers in the Midlands and Essex add to
regional unemployment in these areas. In the UK, the further
we move away from the affluent South East the greater the
unemployment rate. Geographical immobility makes regional
differences more extreme.
17. Types of Unemployment
Classical unemployment
Classical unemployment is caused when wages are ‘too’
high. This explanation of unemployment dominated
economic theory before the 1930s, when workers
themselves were blamed for not accepting lower wages,
or for asking for too high a wage. Classical unemployment
is also called real wage unemployment.
18. Types of Unemployment
Frictional unemployment
Frictional unemployment, also called search unemployment, occurs
when workers lose their current job and are in the process of finding
another one.There may be little that can be done to reduce this type of
unemployment, other than provide better information to reduce the
search time. This suggests that zero unemployment is impossible at any
one time because some workers will always be in the process of
changing jobs.
19. Types of Unemployment
Voluntary unemployment
Voluntary unemployment is defined as a situation when workers
choose not to work at the current equilibrium wage rate. For one
reason or another, workers may elect not to participate in the
labour market.There are several reasons for the existence of
voluntary unemployment including excessively generous welfare
benefits and high rates of income tax.Voluntary unemployment is
likely to occur when the equilibrium wage rate is below the wage
necessary to encourage individuals to supply their labour.
