Social Problem Unemployment Causes of Unemployment Suicide Cases By Unemployment Solutions Of Unemployment Unemployment Rate in Pakistan Conclusion

2. UNEMPLOYMENT IN PAKISTAN

3. PRESENTED BY:
Group Members:
Zeeshan Ali – BT14146
Iftikhar Ahmed – BT14051
Arsalan Ali – BT14153
Asim Sultan – BT14118
Suleman Hassan – BT14124

4. Social Problem
Unemployment
Causes of Unemployment
Suicide Cases By Unemployment
Solutions Of Unemployment
Unemployment Rate in Pakistan
Conclusion
PRESENTATION AGENDA

5. Definition:
Horton and Leslie: It is often defined as a condition which many people consider
undesirable and wish to correct.
Lindbergh: "It is any deviant behavior in a disapproved direction of such a degree that it
exceeds the tolerance limit of the community".
“We can say that an undesirable and unwanted disturbing situation, which has no
readymade solution, is called a social problem.”
What is Social Problem?

6. Unemployment is definitely a social problem
When large numbers of people are unemployed, it has widespread economic and social
effects. Hunger and homelessness are considered social problems. If you can't feed your
family, or pay your rent, you need help. Social service agencies are set up to provide help
and relief for people in these situations; unemployment is therefore a social problem.
Unemployment a Social Problem

7. “
”
The hardest work in the world is being out of work.
- Whitney Young, Jr.

8. “
”
"The reason why worry kills more people than
work is that more people worry than work."
- Robert Frost

9.  Definition:
 Unemployment refers to a situation in which the workers who are capable of working
and willing to work do not get employment.
 Unemployment is defined as the people who do not have a job, have actively looked
for work in the past four weeks, and are currently available for work. Also, people
who were temporarily laid off and were waiting to be called back to that job are
included in the unemployment statistics.
UNEMPLOYMENT

10. • There are four categories of unemployment:
 Seasonal unemployment.
 Frictional unemployment.
 Structural unemployment.
 Cyclical unemployment.
Types OF Unemployment

11.  Seasonal unemployment occurs when people are unemployed at certain times of the
year, because they work in industries where they are not needed all year round.
 unemployment due to seasonal changes in employment.
 Examples of industries where demand, production and employment are seasonal
include tourism and leisure, farming, construction and retailing
Seasonal Unemployment

12.  Frictional unemployment occurs when a worker moves from one job to another.
 It is a result of imperfect information in the labor market, because if job seekers knew
that they would be employed for a particular job vacancy, almost no time would be
lost in getting a new job, eliminating this form of unemployment.
 A good illustration of frictional unemployment is when students graduate. They join
the labor force and are unemployed until they find work.
Frictional Unemployment

13.  Structural unemployment exists when there are jobs available and people willing to do
work, but there are not a sufficient number of people qualified to fill the vacant jobs.
 In other words, employers can neither find enough workers nor can workers find jobs
for which they are qualified.
 Structural unemployment often occurs when the demand for specific types of labor
changes as the economy changes.
 Mismatch between the skills that workers in the economy can offer, and the skills
demanded of workers by employers
Structural Unemployment

14.  Cyclical unemployment is a type of unemployment which is related to the cyclical
trends in the industry or the business cycle.
 If an economy is doing good, cyclical unemployment will be at its lowest, and will be
the highest if the economy growth starts to falter.
 The demand for products decreases and workers get laid off.
 Results in an excess supply of workers for the remaining available jobs.
 The economy must grow at least as fast as the labor force to avoid cyclical
unemployment.
Cyclical Unemployment

15. The causes are endless and countless. But the major causes of unemployment in Pakistan are as
follows:
1. Economic Causes
2. Social Causes
3. Financial Causes
Major Causes Of Unemployment In Pakistan

16. Low Industrial Growth Rate:
 Low industrial growth rate is 1.7 % in Pakistan.
 Number of industries is not increasing in Pakistan.
 Lack of industries means less opportunities of employment.
Corruption:
 Corruption is one of the most dangerous factor that eroded
Pakistan’s economic and governance system since its inception.
 In 2008, Pakistan was ranked as the 46th most corrupt
country out of the 180 countries of the world.
 The persistently rampant corruption in Pakistan not only
jeopardizes its resolve to fight against unemployment rather adding
to the menace of unemployment from all direction.
1. Economic Causes

17. Reduction In Foreign Employment:
 Due to illiteracy, ill training and lack of skill & efficiency demand for our labor in foreign market
is decreasing.
Use Of Advanced Technology:
 Apoor country uses backward techniques of production and labor intensive technologies.
 When it uses the advanced technology there spread more unemployment in the country.
1. Economic Causes

18. Poor Governance:
 Good governance is an essential pre-condition for employment as it establishes the enabling
regulatory and legal framework essential for the sound functioning of land, labor, capital and other
factors of market
 Whereas good governance is considered to be non-existent in Pakistan and poor governance is
taken one of the key underlying causes of unemployment in Pakistan.
1. Economic Causes

19. High Population Growth Rate:
 The population of Pakistan is increasing at a rate of 2.1 %.
 Due to high rate about two million people enter into the labor market each year.
Karachi Situation:
 Karachi is the biggest and an ideal place in terms of industrial base of Pakistan.
 Investors are not willing to invest in Karachi due to violence that has taken
over Karachi in the past few years.
2. Social Causes

20. ■ Lack Of Confidence In Educated Persons:
 Astudent may have a master’s degree ,but when he walks into an office
for his interview , he lacks confidence.
 In the end so many students of this type are rejected and left
unemployed.
■ HIGH AGE OF RETIREMENT:
 The age of retirement in Pakistan is 60 years and it is really high age of retirement and the
government of Pakistan is directly responsible for this factor. There are various educated
people are in wait of jobs but high age of retirement is making young ones frustrated.
2. Social Causes

21. Illiteracy & Literacy:
 Illiteracy and literacy both are the causes of unemployment in Pakistan.
 Due to Illiteracy people are not able to work and they remain unemployed.
 On the other hand number of educated is increasing annually but government is unable to
create employment opportunities e.g, students of B. Com. are increasing at very fast speed but
they cannot find jobs and admissions for higher education.
 Rate of illiteracy in Pakistan is 42.3 %.
Afghan Refuges:
 Afghans refugee to Pakistan is the additional problem of unemployment in Pakistan. When
American army attacked on Afghanistan in 2001 about 13 years ago and due to this plenty of
Afghans migrated to Pakistan for making them save till the betterment situation of their
country but the situation in Afghanistan is still critical. The migrated people caused labour
markets as they are ready to work for fewer wages.
2. Social Causes

22. Lack Of Credit Facilities:
 It is so difficult to manage the personal business and self-employment due to absence of
easy credit facilities.
 Accordingly, shortage of credit facilities is also a main cause of unemployment.
3. Financial Causes

23. Unemployment affects not just the person himself but also his/her family and in the long
run the society where he lives.
Unemployment brings with it despair, unhappiness and anguish. It forces people to live
their lives in a way they do not wish to – The life expectancy is negatively affected.
Life expectancy is the ease by which people living in a time/place are able to satisfy their
needs/wants. Here are the main aspects:
Effect of unemployment on society

24. Tension At Home:
Quarrels and arguments at home front which may lead to tension and increased
numbers of divorces etc.
Mental Health:
Mental health problems like: Low self-confidence, feeling unworthy, depression and
hopelessness. The recently unemployed may develop negative attitudes toward common
things in life and may feel that all sense of purpose is lost. Frequent emotions could be –
low self-esteem, inadequateness and feeling dejected and hopeless.
Effect of unemployment on society

25. Political issues:
Loss of trust in administration and the government which may lead to political
instability.
Tension over taxes rise:
Unemployment also brings up discontent and frustration amongst the tax paying citizens. In
order to meet the demands of the unemployment fund the government many a times may
have to increase the taxes thus giving way to restlessness amongst the tax paying citizens.
Insecurity amongst employees:
The prevailing unemployment and the plight of the unemployed people and their families
may create fear and insecurity even in the currently employed people.
Effect of unemployment on society

26. Crime and violence:
Increase in the rate of crime.
Social outing:
Unemployment may bring a decrease in social outings and interactions with other people,
including friends.
Standard of leaving:
In times of unemployment the competition for jobs and the negotiation power of the
individual decreases and thus also the living standard of people with the salaries packages
and income reduced.
Effect of unemployment on society

27. Employment gaps:
To further complicate the situation the longer the individual is out of job the more
difficult it becomes to find one. Employers find employment gasps as a negative aspect.
No one wants to hire a person who has been out of work for some time even when
there’s no fault of the individual per say.
Lose of skills’ usage:
The unemployed is not able to put his/her skills to use. And in a situation where it goes on
for too long the person may have to lose some of his/her skills.
.
Effect of unemployment on society

28. Suicide Cases By Unemployment
Over the same period, 1,160 cases of attempted suicide were reported.According to the report:
469 people committed suicide for domestic reasons
136 because they were unemployed
193 over disputes within families
74 over the rejection of marriage proposals
85 after fights with parents
97 because of poverty
159 for other reasons.

29. The first thing to do to reduce unemployment in Pakistan is the proper planning
by the government of Pakistan.
The education system of Pakistan should be equal and well managed .Education
should be up to the mark. Educational Institutes should be opened not only in
cities but also in villages.
We should take full benefit from science and technology to solve this
problem.
Government should play its important role to address unemployment.
New industries, hospitals and universities should be opened to increase
availability of jobs.
Solution Of Unemployment

30. Proper planning regarding population. We should make proper planning programs
to develop awareness in family.
Same facilities should be given to cities and villages to stop migration of
people towards cities.
Infrastructure of cities should be corrected. Corrupt people should be punished.
There should be equal law and order for poor and rich people.
To address unemployment and run industries properly, Energy crisis can
be solved by making dams and promoting nuclear plants.
Solution Of Unemployment

31. Well recognized training and technical institutions are need to be established
where skills programs are offered.
The age of retirement should be at least 55 years.
Remove energy crisis so that investor comes to Pakistan thus job placement will
automatically be created.
There should be peace across the country so foreigners will not hesitate to invest
in Pakistan.
The agriculture sector should be developed.
Jobs should be given purely on merits.
Encourage multinational companies to business in Pakistan.
Family planning centers should be opened to control the flow of over
population..
Solution Of Unemployment

32. Unemployment Rate 2010-2016 in Pakistan
WHAT IT IS: (Definition)
The unemployment rate measures the percentage of employable people in a
country's workforce who are over the age of 16 and who have either lost
their jobs or have unsuccessfully sought jobs in the last month and are still
actively seeking work.
WHY IT MATTERS:????
Employment is the primary source of personal income and has a major
influence on consumer spending and overall economic growth

33. Copyright©2003 Southwestern/Thomson Learning
Unemployment Rate 1991-2017 in Pakistan
Unemployment Rate in Pakistan remained unchanged at 5.90 percent in 2016 from 5.90
percent in 2015. Unemployment Rate in Pakistan averaged 5.47 percent from 1985 until
2016, reaching an all time high of 7.80 percent in 2002 and a record low of 3.10 percent in
1987.

34. Unemployment Rate in Pakistan
Pakistan
Labour Last Previous Highest Lowest Unit
Unemploym
ent Rate
5.90 5.90 7.80 3.10 percent [+]
Unemploye
d Persons
3620.00 3580.00 3730.00 903.00 Thousand [+]
Employed
Persons
57420.00 56520.00 57420.00 26961.00 Thousand [+]
Population 207.77 189.87 207.77 45.85 Million [+]
Living Wage
Family
28800.00 29000.00 29000.00 27500.00 PKR/Month [+]
Living Wage
Individual
14400.00 14500.00 14500.00 13300.00 PKR/Month [+]
Wages High
Skilled
49800.00 41100.00 49800.00 41100.00 PKR/Month [+]
Wages Low 20700.00 17000.00 30700.00 17000.00 PKR/Month [+]

35. Pakistan has the 10th largest labor force in the world. According to the Labor
Force Survey 2013-14, the total labor force in the country is 60.09 million. Out of
this, 3.58 million people are unemployed and 56.52 million people are
employed. Pakistan being the 6th most populous country in the world, with
population growth rate of around 1.92 percent per annum, is adding a large number
of people to the labor force.

36. Youth employment has remained one of the major concerns of the government.
Youth in Pakistan face various disadvantages including limited job search expertise,
a mismatch between education, aspirations and employers’ requirements and a lack
of mobility, among other factors. The government envisions long- term investment
in human capital through formal and informal education as well as
strategically strengthening the links between education and the labor market. The
government is fully committed to improve the employment level in the country.
For this purpose many programs and projects for youth’s employment has been
introduced. As a result, the unemployment rate has decreased from 6.24 percent in
2012-13 to 6.0 percent in 2013-14. The detail of labor force and unemployment
status is presented in the above tables.

37. Pakistan has increased its self-employment rate from 33.3% to 39.9% between
2009 and 2012. Pakistani have been using the famous website “Freelancer.com”
which helped in decreasing unemployment rate and increase the self-employment
rate. Pakistan is the 3rd largest user of “freelancer.com” following America &
India.
We consider entrepreneurs as the engine of economic growth. When
entrepreneurs set up new businesses numerous job opportunities are available for
people on small as well as big scale.
SELF-EMPLOYMENT &
ENTREPRENEUR SHIP IN PAKISTAN

38. In conclusion, another erupting challenge standing before Pakistan is wide-spread
unemployment.
Thousands of educated graduates are jobless.
Hundreds of thousands of unemployed workers are forced to lead their lives
below their status.
Large scale unemployment has serious effects on the country’s production also.
Moreover, the country’s population has drastically increased during recent years.
CONCLUSION

39.  Therefore, every step taken to improve the living standard of common man proves to be
futile and ineffective. Progress and prosperity is impossible without the reduction in
unemployment.
 Unemploymentisaproblemthatleadstosomeotherproblems like poverty and crimes. Therefore we
should care about it and find a way to solve thisproblem.
CONCLUSION