UNEMPLOYMENT

SYNDROME AMONG

NIGERIAN GRADUATES:

CAUSES, EFFECTS AND

SOLUSION.

BY

OMEH KATE

AKP/WRR/BMG/BUS/HND2006/0018
BEING A PROJECT WORK SUBMITED TO THE DEPARTMENT OF

BUSINESS ADMINISTRATION, SCHOOL OF BUSINESS STUDIES,

AKWA IBOM STATE POLYTECHNIC, IKOT OSURUA, IKOT

EKPENE, IN PARTIAL FULFILMENT FOR THE AWARD OF

HIGHER DIPLOMA (HND) IN BUSINESS ADMINISTRATION.

SEPTEMBER 2008

CERTIFICATION

We hereby certify that this research project was carried out by OMEH

KATE (AKP/WRR/BMG/BUS/HND/2006/0018)

.......................................................................................................for the

award of HIGHER NATIONAL DIPLOMA CERTIFICATE. Department of

Business Administration, Akwa Ibom State Polytechnic. Ikot Asurua.

2
______________________ ____________________

DATE

Project supervisor

_____________________ ________________

DATE

Centre co-ordinator

DEDICATION

This research project is dedicated to the Almighty God for His ever

enduring love, kindness, mercy and grace all through the course of this

programme. Father, I thank and worship you and give You all the Glory

and Honour.

3
 ACKNOWLEDGEMENT

I thereby which to Acknowledged the following people that has made my dream

and purpose in life to come through. First of all, thanks to Almighty God who

gave me power and wisdom, and the grace to be educated and to my dear One

and Only love that gives me Joy, MR

___________________________________________ and my dear mother Mrs.

4
___________________________________________ who is an encouragement

to my life and my brothers and Sisters ________________

________________________________________________________________

___ for their love towards me in prayer, also my supervisor who has been a

great help to me. _______________________________________ and my

lovely Register of warri center MRS Stella Oyabugbe and my late Co-odinator

of warri Centre late Dr Alex Obinala of blessed memorial for his fatherly love

towards me and my father

______________________________________________________ whose

Vision for my life was to be great and useful in life and those many love ones

too numerous to name. My prayer to God Almighty is that HE should bless you

richly in JESUS NAME.

ABSTRACT

Unemployment is a state of disequilibrium in the economy. In Nigeria

unemployment has been recognized as economic problem, and solutions are

being sought to wipe it out or at least reduce it to manageable levels.

5
In this research work, attempt was made to examine how unemployment

generated in Nigeria with particular reference to our university and polytechnic

graduates.

The research viewed this ugly trend (unemployment) in the country under the

following headlines: involuntary unemployment, frictional unemployment,

structural unemployment, classical unemployment and cyclical

unemployment.

It was discovered that the basic causes of unemployment are government made

laws, individual, society, economic growth and insufficient effective demand

for goods and service in the economy.

At an individual level, the solution to unemployment may be as simple as

getting a job, or getting more training, but the research has revealed that the

following criteria could serve as solution:--- Philips curve, demand side, supply

side and tax-related.

CHAPTER ONE

INTRODUCION

1.1 BACKGROUND OF THE STUDY

6
Unemployment is viewed in this research work as a state in which an

able-bodied individual is actively seeking, but is unable to secure, any

gainful employment.

Unemployed individuals are unable to earn money to meet financial

obligations. Failure to pay mortgage payments or to pay rent may lead to

homelessness through foreclosure or eviction. Unemployment increases

susceptibility to malnutrition, illness, mental stress, and loss of self-

esteem, leading to depression.

Statistics of Nigerian unemployment seems to consist, not of uneducated,

rural populations, who have been uprooted by failing agricultural

production resulting from the absence of mechanization and decreasing

incomes, but of some highly educated populations, as

well, who normally, would form the core of the productive vanguard in a

developing country. In other words, many of Nigeria's unemployed and

consequently poor, are well educated and skilled, even by European and

American standards.

Extant literature refers to Nigeria's underemployment and low

productivity, as constituting a vicious cycle that explains the endemic

poverty in the country. Unless Obadan & Odusola of the National Center

for Economic Management & Administration (NCEMA), Ibadan,

are wrong, Nigeria will have no prospect of measurable development or

7
 of improving the welfare of its people, unless it enhances the chances of

employment for its university graduates.

1.2 STATEMENT OF THE PROBLEM

In looking at the unemployment syndrome among Nigerian graduates,

causes, effects and solution, some of the questions easily come to mind

are:

1. what are root causes of the unemployment in Nigeria?

2. what are the major effects on individual and the society?

3. what is the nature of relationship between poverty, unemployment and

growth in Nigeria?

4. what steps should be taken to ensure that growth is such that brings

about decrease in unemployment in Nigeria?

5. how unemployment is individual and social problem

6. what are the possible cost of unemployment?

7. how can the problem of unemployment be solved?

1.3 HISTORICAL DEVELOPMENT OF THE STUDY

Preliterate communities treat their members as parts of an extended family and

thus do not allow unemployment. In precapitalist societies such as European

feudalism, the serfs were never "unemployed" because they had direct access

to the land, and the needed tools, and could thus work to produce crops. Just as

on the American frontier during the nineteenth century, there were day laborers

8
and subsistence farmers on poor land, whose position in society was somewhat

analogous to the unemployed of today. But they were not truly unemployed,

since they could find work and support themselves on the land.

Under both ancient and modern systems of slave-labor, slave-owners never let

their property be unemployed for long. (If anything, they would sell the

unneeded laborer.) Planned economies such as the old Soviet Union or

today's Cuba typically provide occupation for everyone, using substantial

overstaffing if necessary. (This is called "hidden unemployment," which is

sometimes seen as a kind of underemployment,) Workers'

cooperatives—such as those producing plywood in the U.S. Pacific

Northwest—do not let their members become unemployed unless the co-op

itself goes bankrupt. Artificially increasing employment in this way however

means employing workers beyond their worth: the workers are making a loss,

and are from societies point of view not usefully employed.

Nigeria is a nation that is endowed with multifarious and multitudinous

resources-both human and material. However, due to gross mismanagement,

profligate spending, kleptomania and adverse policies of various governments

of Nigeria, these resources have not been optimally utilized; these resources

have not been adequately channeled to profitable investments to bring about

maximum economic benefits. As a result of the foregoing, Nigeria has been

bedeviled with unemployment and poverty. Economic growth, which is

9
supposed to be a solution to the problems of unemployment and poverty,

appears not to be so in Nigeria. Nigeria’s official statistics show that economic

growth has not always been accompanied by decline in unemployment and

poverty.

Statistics of Nigerian unemployment seems to consist, not of uneducated, rural

populations, who have been uprooted by failing agricultural production

resulting from the absence of mechanization and decreasing incomes, but of

some highly educated populations, as well, who normally, would form the core

of the productive vanguard in a developing country. In other words, many of

Nigeria's unemployed and consequently poor, are well educated and skilled.

Youth and Graduate Unemployment

A report by the World Bank (Andrew Dabalen and Olatunde A. Adekola, 2002)

and another by Bankole Oni of the Nigerian Institute for Social Research

(NISER) complains that Nigeria, with half the population of West Africa and a

vast spread of natural resource endowments, the country has the potential to be

the source of growth and prosperity for the whole region, instead of its current

economic under-performance, which is erratic and short of expectations, such

10
that 66% of Nigeria’s citizens, educated youth especially, live below the

international poverty line, at just $1.00 a day or $300.00 a year compared to

Libya with $12,000.00 a year and Malaysia with $8,000.00 per capita annually.

Bankole does not hesitate to assert that "the main causes of Nigeria's poor

economic performance have been economic and social mismanagement and

misguided policy choices.

A key-note pronouncement by Dr. Akinola, Primate of All Nigeria Anglican

Communion, at a Youth Conference in Abuja, in 2004, attended to the issue of

"youth and graduate unemployment and its many attendant problems," alluding

to "idle hands becoming Satan’s workshop." While conceding that no ready

solutions availed him, he hinted at the fact that, unemployed graduates had been

ensnared by crime, such as "419," armed robbery, and others.

The national unemployment rate, estimated by the Office of Statistics as

4.3 percent of the labor force in 1985, increased to 5.3 percent in 1986 and 7.0

percent in 1987, before falling to 5.1 percent in 1988 as a result of measures

taken under the SAP. Most of the unemployed were city dwellers, as indicated

by urban jobless rates of 8.7 percent in 1985, 9.1 percent in 1986, 9.8 percent in

1987, and 7.3 percent in 1988. Underemployed farm labor, often referred to as

disguised unemployed, continued to be supported by the family or village, and

11
therefore rural unemployment figures were less accurate than those for urban

unemployment.

1.4 OBJECTIVE OF THE STUDY

The main objective of the study is to determine the Unemployment

syndrome among Nigerian graduates.

The subsidiary objective includes:

i. to determine the causes of unemployment among Nigerian

graduates

12
 ii. to determine the positive and negative effects of

unemployment on individual and the society

iii. to show how politics could be one of the causes of

unemployment

iv. to determine various types of unemployment available

v. to determine the possible means of reducing the

unemployment rate or eradicate it totally.

vi. To fine a long standing solution to unemployment problem

among graduates.

1.5 SIGNIFICANCE OF THE STUDY

This study is significant because it will produce data on the

unemployment syndrome among Nigerian graduates that will be

useful to:

1. federal ministry of labour and productivity

2. national union of local government employees

3. state civil service commission

4. federal civil service commission .

5. managers and top executives in organized private sector

6. united nation commission on employment

7. students carry a research work in this same issue.

13
1.6 LIMITATIONS OF THE STUDY

The survey research method has the limitation that it was ‘once shot’ or at

most ‘two shot’ and that diminishes its capability to generate data with

which to determine the causal relationships of variables. There was also

the limitation of the reluctance of the respondents to give answers to

survey probes.

The Questionnaire method of primary data collection was limited to the

verbal responses of subjects to pre-arrange questions. It also had

limitation that its usefulness depended on the level of education of the

subjects. There was the limitation of the problem of memory in

remembering past facts. The structured nature of the questionnaire may

compel the respondents to give answers that they do not fully endorse,

There was the limitation of the rigidity of the research instrument, which

diminishes the amount of information that could be gathered.

There was the limitation that the cost of administering the questionnaire

was very high due to high administrative, personnel and traveling costs

especially when some of the respondents were initially not on their seats.

There was the limitation that the researcher and the field data collectors

were not policemen and so they could not force some of the respondents

if they refuse to give answers. There was also the limitation of the

scarcity of time and money resources.

14
1.8 STRUCTURE OF WORK

This research work is to be organized in five chapters as follows:

1. Introduction

2. Review of Related Literature

3. Research Methods and Producers

4. Data presentation and Analysis and

5. Summary, Findings, Conclusion and Recommendation.

REFERENCES

1. International Labour Organization: Resolution concerning

statistics of the economically active population,

15
 employment, unemployment and underemployment,

adopted by the Thirteenth International Conference of

Labour Statisticians (October 1982); see page 4; accessed

November 26, 2007 (PDF).

2. Edmond Malinvaud, "The theory of unemployment reconsidered",

Oxford: Basil Blackwell, 1977, ISBN 0631144757

3. http://www.daviddfriedman.com/Academic/Price_Theory/PThy_1st_Edn

_Ch22/PThy_1st_Edn_Chap_22.html

4. America's Great Depression p. 45

5. Schweickart, David (2002). After Capitalism. Rowman & Littlefield

Publishers, Inc., 97.

6. F. A. Hayek, The Constitution of Liberty

7. Alain Anderson, Economics. Fourth edition, 2006

CHAPTER TWO

REVIEW OF RELATED LITERATURE

16
2.1 THE SPECTRUM OF UNEMPLOYMENT

Unemployment is not the result of any one cause. It makes its appearance

in a great variety of circumstances, some in personal factors, some in

economic changes, and some in legislative and regulatory conditions.

Throughout the year some workers may appear in the labor market and

then withdraw. Students work during the summer and return to school in

September. Building and construction activities, logging and lumbering,

slaughtering and meat packing are very seasonal and give rise to a

considerable amount of temporary unemployment. Similarly, industrial

and technological changes may force workers to readjust and relocate.

Jobs, wages, and working conditions always point the way.

The Bureau of Labor Statistics of the United States Department of Labor

keeps careful watch of unemployment and diligently counts the numbers.

But in its long history the Bureau has never prepared a systematic

collection, organization, and analysis of the unemployment created by

labor laws and regulations. Yet this kind of unemployment is more

important by far than seasonality or industrial and technological change

to which labour markets readily adjust. It is chronic and lamentable as it

creates large armies of unemployed, impoverishes many people, breeds

discontent, indignation, anger, and, worst of all, being interpreted

erroneously, may turn public opinion against the enterprise order itself. In

17
the end, it may even deliver the economy into the very hands that cause

the unemployment.

Whenever government forcibly raises employment costs, it causes

marginal labour, that is, labor that barely covers its costs, to become

submarginal. It does not matter whether government orders wage rates to

rise or benefits to be improved, the workday to be shortened, overtime

pay to be raised, funds to be set aside for sickness and old age, or any

other benefit to be granted. A small boost renders few workers

submarginal, a large boost affects many. In matters of employment they

now are “unproductive” and cannot be used economically.

Chronic unemployment obviously is a political disease that springs from

the primitive notion that government can improve everyone’s income and

working conditions by legislation and regulation. It is an affliction that

stems from misinterpretation and misinformation about work and income

and from an undaunted faith in collective force and coercion. It clearly

reflects the spirit and mentality of our age. Unless they soon will give

way to the spirit of individual freedom and enterprise the rate of

unemployment is likely to rise.

There is no ready escape from the consequences of labour laws. Surely,

most young workers are willing and ready to accept employment at

18
 honest market rates; they are even prepared to ignore the labour laws and

work under market conditions. But most employers do not dare to violate

the laws. The penalties leveled at them always are onerous and degrading

no matter what their motives may be. Nevertheless economists estimate

that some 30 percent of unskilled youths find ready employment in the

“underground economy” where wages are paid according to productivity.

Many small family enterprises employ and train millions of young

people.

2.2 NIGERIA PERSPECTIVES

Population issues have once more re-surfaced in the front burner of

public discourse. The edition of the Patito's gang which dealt with the

issues on Minaj TV on August, 3l, 2002.

Prior to this, the honourable Minister of Health, professor A.B.C Nwosu

was quoted as saying that over population was responsible for the poor

quality of life and standard of living in Nigeria ( THISDAY, July 12,

2002 P.4). First, anybody who is conversant with what Rev. Fr. George

Ehusani dubbed in his book as the complex politics of population control

in Africa and the Third World which reached its crescendo in the 80s will

understand that Nwosu was neither speaking for himself nor for the

federal government. Certainly, he was speaking for the neo-colonialists

19
and powerful international agencies like the IMF, World Bank, United

States Agency for International Development (USAID) etc which have

been ceaselessly labouring to reduce the population of Third World

countries. They have been achieving this goal through powerful,

advocacy and by making population reduction a pre-condition for

granting developmental aids to developing countries.

Their popular hype goes this way; "Nigeria is over-populated.

Consequently, quality of life in Nigeria is low. Therefore, if Nigeria

needs any loan or other assistance from the IMF or the World Bank, the

pre-condition is that she must be ready to reduce her population through

compulsory mass sterilization of men and women, infanticide, abortion,

euphemistically referred to as family planning etc". Part of the strategy is

to put something in women to make them impotent, unable to bear

children in the future.

Nigeria is economically underproductive, relative to its potential for

significant development. Similarly, Nigeria's capacity to employ its own

population seems to diminish progressively, despite the country's

quantifiable fiscal ability resulting from the production and disposal of

oil. The third arm of this tripartite conjecture is that the level of

unemployment in Nigeria appears to grow arithmetically every year, in

contrast to its regional neighbors, most of which have far less resources.

20
 Much of the unemployment is recorded in the urban cities, such as Lagos,

Abuja, Ibadan, etc.

Statistics of Nigerian unemployment seems to consist, not of uneducated,

rural populations, who have been uprooted by failing agricultural

production resulting from the absence of echanization and decreasing

incomes, but of some highly educated populations, as well, who

normally, would form the core of the productive vanguard in a

developing country. In other words, many of Nigeria's unemployed and

consequently poor, are well educated and skilled.

UNEMPLOYMENT: CAUSES

The purpose of the discussion below is to point out the overall effects and

inherent trade-offs of policies affecting unemployment. Knowledge of the

effects and trade-offs of policies makes possible reasoned discussion and

choices among various policy options.

Because a healthy economy providing jobs for all who want to work is

the best unemployment antidote, the discussion begins with an analysis of

economic growth. Other unemployment policies can be best studied by

examining incentives -- those of employers to provide jobs and those of

21
 potential employees to look for jobs. Finally, it is important to study the

overall effects of policies designed specifically to reduce unemployment.

2.3.1 Economic Growth

Other things being equal, the greater the amount of goods and services

produced, the greater the labor required for production. Because

economic growth and employment go hand in hand, regulation and

taxation that discourage the operation of business will also reduce the

demand for labour. Many entrepreneurs are faced with regulations that

force allocation of resources away from production.

2.3.2 Employer Incentives

Employers will hire workers if the revenue resulting from the workers'

labour exceeds the costs of hiring and employing that labour. These costs

are not limited to wages and salaries plus fringe benefits; they include

contributions to programs such as social security and unemployment

insurance as well as the costs of employee selection and training. A

reduction in employer-mandated social security and unemployment

insurance contributions per worker clearly would encourage employment

and thus is a possible anti-unemployment policy. Because reductions in

these contributions would lower program funding, the trade-off between

two policy goals (expanded employment opportunities and Treasury

22
 revenue adequate to fund existing programs) is clear, and again the policy

maker's assessment of the value of such programs is important.

Work-sharing programs, in which more workers are employed and hours

per worker are reduced, tend to increase employer costs because of the

selection and training costs incurred for new employees and because the

employer is not free to choose the number of workers and hours per

worker that minimize costs. Rather than simply redistributing income

from old to new workers, the increased costs and decreased profits

accompanying work-sharing induce employers to raise prices and/or

curtail production. Increased prices discourage consumer demand and,

like reduced production, lead to decreased demand for labor, an effect

contrary to that intended by advocates of work-sharing.

2.3.3 Employee Incentives

Individuals will be more interested in working as their take-home pay

increases and their income from other sources decreases. Accordingly,

the incentive for people to work will be increased if their income taxes

and social security contributions are reduced. Again, a trade-off between

employment and Treasury revenue exists in this policy decision,

although, as noted above, supply-siders have argued that the reduction in

tax rates will engender a higher offsetting increase in output and

employment, so that Treasury revenue will actually increase.

23
In addition to increasing take-home pay by reducing taxes, the

government could attempt to increase the gross pay to workers by

increasing the minimum wage. Unfortunately, rather than increasing the

pay for a given job, mandated wage floors such as the minimum wage

may simply cause certain jobs to disappear, or indeed, never come into

existence.

Income sources that are reduced when people work, such as

unemployment compensation and welfare, affect work incen- tives. Many

of these programs have implicit tax rates in that their payments are

reduced as labor earnings increase, so that the overall increase in income

resulting from work is less than earnings, being reduced by the decrease

or total loss of program support. These implicit tax rates, like those of the

explicit income tax, can discourage work. Accordingly, the following

trade-offs present themselves in unemployment insurance, welfare, and

other transfer program policy options: (1) cutting program payments, thus

encouraging people to look for jobs, but also reducing income to those

who fail to find jobs, and (2) granting income to eligible persons

independently of their work experience, thus removing the disincentive

effect of the programs on work effort (although also possibly supporting

people who don't need the income). A sample "independent payment"

program would be to give a lump-sum unemployment insurance payment

24
 to a person when he becomes unemployed rather than paying him an

amount for each week of unemployment. Under this arrangement, there is

no incentive for an individual to remain unemployed, since he receives no

additional payments to compensate for lengthy unemployment. However,

because an individual would receive the same amount if the duration of

his unemployment were brief or lengthy, individuals with short periods of

unemployment might he "over-subsidized "

2.4 TYPES OF UNEMPLOYMENT

According to economist Edmond Malinvaud, the type of unemployment

that occurs depends on the situation at the goods market, rather than that

they belong to opposing economic theories. If the market for goods is a

buyers' market (i.e.: sales are restricted by demand), Keynesian

unemployment may ensue while a limiting production capacity is more

consistent with classical unemployment.

2.4.1 Frictional unemployment

Frictional unemployment occurs when a worker moves from one job to

another. While he searches for a job he is experiencing frictional

unemployment. This is a productive part of the economy, increasing both

the worker's long term welfare and economic efficiency.

25
2.4.2 Classical unemployment

Classical or real-wage unemployment occurs when real wages for a job

are set above the market-clearing level. This is often ascribed to

government intervention, as with the minimum wage, or labour unions.

Some, such as Murray Rothbard, suggest that even social taboos can

prevent wages from falling to the market clearing level.

2.4.3 Structural unemployment

Structural unemployment is caused by a mismatch between jobs offered

by employers and potential workers. This may pertain to geographical

location, skills, and many other factors. If such a mismatch exists,

frictional unemployment is likely to be more significant as well.

2.4.4 Seasonal unemployment occurs when an occupation is not in demand at

certain seasons.

2.4.5 Keynesian unemployment

Cyclical or Keynesian unemployment, also known as demand deficient

unemployment, occurs when there is not enough aggregate demand for

the labour. This is caused by a business cycle recession, and wages not

falling to meet the equilibrium rate.

2.4.6 Involuntary unemployment

26
 Involuntary unemployment does not exist in agrarian societies nor is it

formally recognized to exist in underdeveloped but urban societies such

as the mega-cities of Africa and of India/Pakistan, given that, in such

societies, the suddenly unemployed person must meet his survival needs,

by getting a new job quickly at any strike price, entrepreneurship, or

joining the invisible economy of the hustler.

2.4.7 Politics Causes Unemployment

Chronic unemployment is obviously a political disease that springs from

the primitive notion that government can improve everyone's income and

working conditions by legislation and regulation. It is an affliction that

stems from misinterpretation and misinformation about work and income

and from an undaunted faith in collective force and coercion. It clearly

reflects the spirit and mentality of our age. Unless they soon give way to

the spirit of individual freedom and enterprise the rate of unemployment

is likely to rise.

2.5 COST/EFFECTS OF UNEMPLOYEMENT

2.5.1 Individual: Unemployed individuals are unable to earn money to meet

financial obligations. Failure to pay mortgage payments or to pay rent

may lead to homelessness through foreclosure or eviction.

Unemployment increases susceptibility to malnutrition, illness, mental

27
 stress, and loss of self-esteem, leading to depression. Another cost for the

unemployed is that the combination of unemployment, lack of financial

resources, and social responsibilities may push unemployed workers to

take jobs that do not fit their skills or allow them to use their talents.

Unemployment can cause underemployment.

2.5.2 Society: An economy with high unemployment is not using all of the

resources, i.e. labour, available to it. Since it is operating below its

production possibility frontier, it could have higher output if all the

workforce were usefully employed. However, there is a tradeoff between

economic efficiency and unemployment: if the frictionally unemployed

accepted the first job they were offered, they would be likely to be

operating at below their skill level, reducing the economy's efficiency. It

is estimated that, during the Great Depression, unemployment due to

sticky wages cost the US economy about $4,000 billion. This is many

times larger than losses due to monopolies, cartels and tariffs.

During a long period of unemployment, workers can lose their skills,

causing a loss of human capital. Being unemployed can also reduce the

life expectancy of workers by about 7 years. High unemployment can

encourage xenophobia and protectionism as workers fear that foreigners

are stealing their jobs. Efforts to preserve existing jobs of domestic and

native workers include legal barriers against "outsiders" who want jobs,

28
obstacles to immigration, and/or tariffs and similar trade barriers against

foreign competitors.

Finally, a rising unemployment rate concentrates the oligopoly power of

employers by increasing competition amongst workers for scarce

employment opportunities.

Above those mentioned, there are many social and economic effects they
include:

-A loss of production and output because those who are unemployed are
not able to add towards GDP.

-A misallocation of resources this occurs because those who are

employed will have the burden of paying for the unemployed. This in
time will result in a fall in living standards.

-A decline in labour market skills because those who are persistently

unemployed will lose valuable skills.

-A cost to the government for the simple reason that the government must
fund the unemployed increasing its budget deficit.

-High unemployment means there is an excess supply of jobs. This means

that employers can more easily find labour and are less likely to increase
wages to attract workers.

-High unemployment often results in increased domestic violence, crime,

health problems and negative psychological effects.

29
 2.6 AIDING THE UNEMPLOYED (CURE/SOLUTION TO
UNEMPLOYMENT)

The most developed countries have aids for the unemployed as part of the

welfare state. These unemployment benefits include unemployment

insurance, welfare, unemployment compensation and subsidies to aid in

retraining. The main goal of these programs is to alleviate short-term

hardships and, more importantly, to allow workers more time to search

for a good job.

At an individual level, the solution to unemployment may be as simple as

getting a job, or getting more training.

Societies try a number of different measures to get as many people as

possible into work. However, attempts to reduce the level of

unemployment beyond the Natural rate of unemployment generally fail,

resulting only in less output and more inflation.

2.7 MEASUREMENT OF UNEMPLOYMENT

Though many people care about the number of unemployed, economists

typically focus on the unemployment rate. This corrects for the normal

increase in the number of people employed due to increases in population

and increases in the labor force relative to the population. The

30
 unemployment rate is expressed as a percentage, and is calculated as

follows:

The ILO (INTERNATIONAL LABOUR ORGANISATION) describes 4

different methods to calculate the unemployment rate.

• Labour Force Sample Surveys are the most preferred method of

unemployment rate calculation since they give the most comprehensive

results and enables calculation of unemployment by different group

categories such as race and gender. This method is the most

internationally comparable.

• Official Estimates are determined by a combination of information from

one or more of the other three methods. The use of this method has been

declining in favour of Labour Surveys.

• Social Insurance Statistics such as unemployment benefits, are computed

base on the number of persons insured representing the total labour force

and the number of persons who are insured that are collecting benefits.

This method has been heavily criticized due to the expiration of benefits

before the person finds work.

• Employment Office Statistics are the least effective being that they only

include a monthly tally of unemployed persons who enter employment

offices.

31
 These percentages represent the usual rough ranking of these different

groups' unemployment rates. The absolute numbers change over time and

with the business cycle.

2.8 CONSEQUENCES OF UNEMPLOYMENT

Unemployment has obvious and well-documented links to economic

disadvantage and has also been connected in some discussion to higher

crime rates (Cantor and Land 1985; Ottosen and Thompson 1996),

especially among the young (Britt 1994), suicide, and homicide (Yang

and Lester 1994; Ottosen and Thompson 1996). Garry Ottosen and

Douglas Thompson (1996) broaden the consequences of unemployment,

relating it to increases in the incidences of alcoholism, child abuse, family

breakdown, psychiatric hospitalization, and a variety of physical

complaints and illnesses. Some researchers have emphasized the

importance of preventing youth from falling into unemployment traps.

Robert Gitter and Markus Scheuer (1997) suggest that unemployment

among youth not only causes current hardship, but may also hinder future

economic success. This is because unemployed youths are not able to

gain experience and on-the-job training and because a history of

joblessness signals that the individual may not have the qualities that are

valued in the labor market.

32
 Unemployment may impair the functioning of families (see, for example,

Liker and Elder 1983; Barling 1990) by affecting the parents' interactions

with their children and the interactions between partners. Although it has

been shown that unemployed parents spend more time with their children,

the quality of these interactions suffers in comparison with those of

employed parents. Unemployment, particularly among male partners, is

also likely to lead to major role changes in the home. For example,

whether it is because they have more time or they feel that they have to
undertake additional household duties when they are no longer the financial

provider for the family, unemployed husbands are more likely to increase

their participation in domestic activities (e.g., household tasks, shopping,

meal preparation). In some circumstances, the loss of financial responsibility

among husbands may lead to discontent within the marriage: unemployed

husbands are more likely to have disagreements and arguments with their

spouses than are employed husbands, and this has the potential to lead to

spouse abuse and marriage dissolution.

2.9 How unemployment is individual and social problem

Unemployment is caused by many factors in a modern market economy.

It can be caused by rapid technological change, business cycle or

recessions, seasonal factors in some industries particularly such as

changes in tastes and climatic conditions which affects demand for

33
 certain products and services, individual perceptions and willingness to

work and search for jobs, their values and attitudes towards some jobs

and about employers, accessibility for retraining and acquisition of work

skills, willingness and perception of unemployed of the benefits of

training and the possibility for them to get a job after the training even

though they have a chance to get a job, discrimination in the workplace

based on race, color. religion, ethnicity, age and class.

It can be seen from the above causes unemployment in a particular period

can be a combination of caused by social factors and how the economy as

a whole works and also due to the subjective individual factors. In a

sociological point of view according to functionalist and conflict theorists

the unemployment is caused primarily by the social factors than by the

individual factors. However according to Max Weber and symbolic

interaction theories individuals construct their own social constructs and

perception and they can be subjective in their behavior and there fore can

become unemployed even though the actual condition they can get a job

in the job market.

Among the openly unemployed rural population, almost two-thirds were

secondary-school graduates.

34
 REFFERENCES

http://www.google.ca/search?

hl=en&q=CAUSES+OF+UNEMPLOYMENT&meta=

http://www.google.ca/search?

hl=en&q=CAUSES+OF+UNEMPLOYMENT&meta=

http://www.bizcovering.com/Business-and-Society/Causes-of-

Unemployment.42495

<a href="http://family.jrank.org/pages/1724/Unemployment-

Consequences-Unemployment.html">Unemployment - Consequences Of

Unemployment</a>

http://goliath.ecnext.com/coms2/gi_0199-4732102/Employment-in-

Nigeria-Brief-Article.html

35
 http://www.photius.com/countries/nigeria/economy/nigeria_economy_un

employment.html

CHAPTER THREE

RESEARCH METHODS AND PROCEDURES

3.1 RESEARCH DESIGN

The research method selected for the study is a combination of a survey

and an industrial study. The survey research method is described

hereunder that:

(i) It is a design in which primary data is gathered from members of

the sample that represents a specific population;

(ii) It is a design in which a structure and systematic research

instrument like a questionnaire or an interview schedule is utilized

together with the primary data;

36
(iii) It is a method in which the researcher manipulates no explanatory

variables because they have already occurred and so they cannot be

manipulated;

(iv) Data are got directly from the subjects;

(v) The subjects give the data the natural settings of their workplaces;

(vi) The answers of the respondents are assumed to be largely

unaffected of the Context in which they are brought;

(vii) The impacts of the confounding factors are “controlled”

statistically; and

(viii) The aim of the research may span from the exploration phenomena

to hypotheses testing (stone 1995).

The survey research method has some merit, which are to be articulated

hereunder: In the survey research method, the sample of the respondents

is selected in such a way as to make for the generally low due to the

utilization of big sample sizes, which results in generally low sample

errors. Also the probability sampling techniques utilized in selecting the

samples of the respondents in a survey especially, the selecting the

samples of the respondents in a survey especially, the random sampling

techniques makes it possible to give every element in the population a

known and chance of belonging to the sample and by so doing, sample

bias is either minimised or completely eliminated (Stone 1995). Sampling

37
even as a compromise has a lot of strength. The survey research method

also has the merit that data collection takes place in the “natural” settings

of the workplace rather than an activated laboratory. Data is collected

directly from the respondents. The advantage that the survey yields data

that suggests new hypothesis is very illuminating. There is also the merit

that a set of systematic data collection instruments such as questionnaire

interview schedules and observation gadgets can either be used alone or

in conjunction with other instruments (Stone, 1995).

The survey research method also has some demerits. There is the demerit

that there is a decreased willingness of the subjects to give responses to

survey probes. There is the demerit that most surveys are “one shot” or at

most “two short” as opposed to the panel type of research design, in

which repeated measures are taken on the same sample using

questionnaires. The result of this shortcoming is that the ability of the

survey research method to yield data with which to test the causal

relationships of variables is minimized (stone, 1995).

There is also the demerit of the survey that in terms of total expenditure,

the survey research methods is a highly costly research method due to a

large administrative, and/or personnel and travel expenses especially

when the research and the field data collectors have to do several trips to

get at some subjects that were not originally available. There is also the

38
 demerit that the structured and pre-arranged response formats of many

survey measures e.g. questionnaires and structure interview schedules

many compel the subjects to give response which they do not really

accept (stone, 1995 ).

Apart from the choice of the survey research design, the industry is also

chosen for the study. The study on the internal control in the aviation

industry is for only industry and there was the need to deliver

questionnaires to the managers in at least two firing investigation in some

depth.

3.2 SAMPLING

Spiegel (1992) observes that sampling theory is a study of the

relationship existing between a population or universe and the samples

drawn from it. The population in this study is the entire staff of the firm.

In order to make conclusions of sample theory and statistical references

to be valid, a sample must be selected as to be representative of the

population (Spiegel, 1992 ). One way in which a representative sample

may be got, is by the process of stratified random sampling. In this

research work, the technique of simple random sampling is used to select

the sample of 100 respondents from a total sample size of 200.

39
 The list of all the senior staff in the two firms in the aviation industry is

got from the personnel department of the firms in the industry. The

numbers are written on a piece of paper, put in a basket and the papers are

folded to cover the numbers and one of the pieces of paper is selected at a

time without replacing it and any name corresponding to the number

becomes a number of the sample. This method of sampling without

replacement is done until the sample of 100 respondents per firm is got.

3.3 DATA COLLECTION

As earlier stated, the primary data collection instrument in this study was

the questionnaire. In the questionnaire method of primary data collection,

a heavy dependence was placed on verbal reports from the subjects to get

information on the role of packaging as a management strategy.

The questionnaire had a lot of merits. It needed less skill to administer.

Further, Questionnaire can be administered to a big number of individuals

at the same time. Also with a specific research budget, it was usually

possible to cover a brooder area and to get information from more

subjects by a questionnaire. The impersonal nature of a questionnaire, its

structure and standardized wording, its order of question, its standardized

instructions for recording answers might make one to conclude that if

40
offers some uniformity from one measurement occasion to another

(Selltiz et al, 1976).

Another merit of questionnaire was that subjects may have a bigger

confidence in their anonymity, and thus feel freer to express views they

feel might be disapproved-Another attribute of the questionnaire that is

sometimes, through not always desirable is that it might place less

pressure on the subjects for immediate response (Selltiz et al, 1976).The

questionnaire also has some demerits. It has been estimated that for

purpose of giving dependable responses to a questionnaire, one

respondents must be considerable educated, Thus one of the demerits of

the usual questionnaire is that it is appropriate only for with a

considerable amount of education. There is also the demerit that subject

may be reluctant and unable to report on the particular subject matter.

Also, if a subject misinterprets a question or give his or her answer in a

batting manner, there is often a little that can be done to ameliorate the

situation. In a questionnaire, the information the researcher gets is limited

to the fixed alternative answer format, when a specific answer is not

available, it can lead to errors (Selltiz, 1976).

There is also limitation of memory in reporting on past facts. There is

also a problem beyond memory. Usually, the cause of a failure to report

41
past facts is not forgetting in the usual sense of the word but rather, it

may be motivational. Also the researcher is not a policeman that can

compel answers. That is, the information may not be readily accessible to

the subject and thus the subject may be reluctant to put forth enough

alternative information that he or she is only barely conscious of (Selltiz

et al, 1996).

In this research project a structured and undisguised questionnaire is

utilised which is made up of two parts namely, the personal data section

and the section on the data on the actual subject matter of the work. The

questionnaire is undisguised in the sense that the purpose of the data

collection which is to collect primary data for writing up the researcher’s

HND project is made known to the 200 respondents. The questionnaire is

structured in the sense that the questions are logically sequenced and are

to be asked to the respondents in the same manner and no follow up

questions are to be allow. Some of the questions are of the fixed

alternative answer format type. Ten (10) of the questions have yes or no

answers, Ten (10) of the questions have alternative answers for the

respondents to tick.

The structured questionnaire has the merit that it yields data that is easier

to analyse than data produced by an unstructured questionnaire. Also the

structured nature diminishes both researchers and research instrument

42
 biases. It however has the demerit that the rigidity of the research

instrument diminishes the amount of information that could be got.

The method of communication of the research instrument is by means of

the personal interview. The method has the merit that it produces a better

sample of the population than either mail or the telephone methods. It

also has the merit that it gives a very high completion and response rates.

It has the merit that the interview has a bigger sensitivity

misunderstandings by the respondents and gives a chance for clarification

of misunderstood questions.

It has the merit that it is a very feasible method (Selltiz et al, 1976). The

personal interview method has the demerit that it is more costly than the

mail or the telephone methods of communication of a questionnaire.

3.4 FIELD WORK

The researcher and three other field data collectors did the fieldwork.

The field data collectors were other classmates also offering the part-time

HND program, who have also offered Research Methodology and are

staff of the firm’s studies and so they had no problem gaining entrance in

the firms. They were to be trained by the researchers on how to gain

entry , greet the respondents and , how to tick the questionnaire correctly,

and honestly.

43
3.5 DESCRIPTION OF DATA PRESENTATION AND ANALYSIS

TOOLS

The data presentation tools were simple bar charts, histograms, and

pictorial tables. The most important parts of a table include;

(a) Table numbers

(b) Title of the table

(c) Caption

Stub or the designation of the rows and columns

The body of the table.

The head note or prefatory note or explanatory just before the title;

Foot note, which is an explanation not at the end of the page

(h) source note, which refers to the literally or scientific source

of the table(Mills and Walter 1995)

Anyiwe (1994) has observed that a table has the following merits

over a prose information that;

A table ensure an easy location of the required figures;

Comparisons are easily made utilizing a table than a prose information;

44
 (k) Patterns or trends within the figures which cannot be

visualised in the prose information can be revealed and

better depicted by a table; and

A table is more concise and takes up a less space than a

prose formation:

The data is to be analysed by means of percentage, cross tabulation

and the z test of population proportions for testing the three

hypotheses. Percentages express the ration of two sets of data to a

common base of 100. Percentages facilitate comparison and

address the problem of the misleading tendency of absolute in

which 8 over 10 is greater than 12 over 15 as the first ratio gives a

percentages of 80 while the later gives a percentages of 75 . Cross

tabulation involves utilising a table to display two or more

variables. The z test of population of the respondents who said yes

to a particular yes or no question is given at 5% level of

significance to a particular (Spiegel, 1992)

It is in this respect that this study finds it worthwhile to address the following
questions using time series data for a 31-year period, 1970-2000: (a) what is the

45
nature of relationship between poverty, unemployment and growth in Nigeria?
(b) what steps should be taken to ensure that growth is such that brings about
decrease in unemployment and poverty in Nigeria?

REFERECES

Anyiiwe, E. M. A. EXOSTAT! Statistical Handbook of Economist,

Social Scientists, (Yaba, Lagos: Ama Resources

Nigeria Limited, 1994)

Mills, G. Ho, and Wallter, J. A. Technical Writing, (New York: Holt,

Rinehart and Winston, 1995)

Selltiiiz, C. Wrightsman, L. S., and cook, S. W. Research Methods in Social

Relations,(New York: Holt, Rinehart and

Winstons, 1976).

Spiegel, M. R. Schaun’s outline of theory and problems of

statistics in S. I. Units, (New York: Mcgraw-hill

book company 1992)

46
Stone, E. Research method in organisational behaviour (Santa, Monica,

California:Good Year publishing company

incorporated, 1995).

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS

4.1 INTRODUCTION

In the previous chapter, the research methods and procedures have been

handled. In this chapter the data presentation and analysis are to be done.

The data is to be presented by means of tables, two simple bar charts, one

histogram and one pie chart to make it amenable for further analysis. By

analysis, it meant the act of noting relationship and aggregating the set of

variables with similar attributes and also breaking the unit of their

components (Mills and Walters 1995).

47
 In this research work, the researcher accepts the contention of Podsakoff

and Dalton (1995) that the factual information from the data can be used

as a basis for reasoning, calculation and discussion.

Apart from the heading above, the other headings in this chapter includes:

1. Data presentation,

2. Percentage analysis

3. Cross- tabulated analysis

4. Hypothesis testing

4.2 DATA PRESENTATION

TABLE 1

THE SUMMARY OF THE PERSONAL DATA OF THE RESPONDENTS

1 SEX FREQUENCY
Male 150
Female 50
Total 200
2 Marital status Angles
suspended
Married 130
in degree
Single 70
Total 200
3 AGE
21-30 years 90
31-40 years 90
41-50 years 10
51-60 years 10
Total 200
4 HIGHER
EDUCATIONAL
QUAIFICATION

48
 DIPLOMA
OND 10 18
HND 30 54
FIRST DEGREE 80 144
SECOND DEGREE 20 36
ACA 40 32
TOTAL 20 36
200 360

The marital statuses of the 200 respondents, it is found that 130 of them

are married while 70 of them are single. For the ages of the 200

respondents they are 21-30 years, 31-40 years, 15-60 years with

frequencies of 90 and 10 respectively. For the highest educational

qualification of the 200 respondents they are diploma, OND, HND, First

Degree, Second Degree, A.C.A. and they have frequencies of 10, 30, 80,

20, 40 and 20 respectively.

Figure 4.1 below shows the simple bar chart of the data on the sex of the

respondents

FIGURE 4.1: THE SIMPLE BAR CHART OF THE DATA ON THE SEX OF THE
RESPONDENTS MALE
160
150
150
FEMALE
140
130
120
110 50

100

90
80

70
49

M F Sex of the respondents

 Source: from data in table 1

From figure 4.1 above, it is shown that male respondents have the modal

frequency of 150 of the 200 respondents while the female respondents

have the frequency of 50 of them.

Figure 4.2 below shows the simple bar chart of the data on the marital

statuses of the respondents.

FIGURE 4.2: THE SIMPLE BAR CHART OF THE DATA ON THE MARITAL
STATUSES OF THE RESPONDENTS

MARITAL STATUS OF THE RESPONDENTS

140

120

100

80

60

40
Frequency

20

0
MARRIED SINGLE
MARITAL STATUS OF THE RESPONDENTS
Frequency
MARITAL STATUS Percent
OF THE RESPONDENTSValid Percent Cumulative
Percent

Valid MARRIED 130 65.0 65.0 65.0

SINGLE 70 35.0 35.0 100.0

50
Total 200 100.0 100.0
From figure 4.2 above, it is shown that the married respondents have the

modal frequency of 130 out of the 200 respondents while the single

respondents have the frequency of 70 of them.

FIGURE 4.3: THE HISTOGRAM OF THE DATA ON THE AGES OF

THE RESPONDENTS.

AGE OF THE RESPONDENTS

100

80

60

40
Frequency

20
Std. Dev = .78
Mean = 1.7

0 N = 200.00
1.0 AGE
2.0OF THE RESPONDENTS
3.0 4.0
Frequency Percent Valid Percent Cumulative
Percent
AGE OF T HE RESPONDENT
Valid 21 - 30 YEARS 90
S 45.0 45.0 45.0

31 -40 YEARS 90 45.0 45.0 90.0

41 - 50 YEARS 10 5.0 5.0 95.0

51 - 60 YEARS 10 5.0 5.0 100.0

51
Total 200 100.0 100.0
 SOURCE: From the data in Table 1.

From figure 4.3 above, it is shown that the age classes are 20.5-30.5

years, 30.5-40.5 years, 40.5-50.5 years and 50.5-60.5 years with

frequencies of 90, 10, and 10 out of 200 respectively. This shows that

this is a bi-modal distribution as the age classes of 20.5-30.5 years and

30.5-40.5 years have a frequency of 10.

Figure 4.4 below shows the pie chart of the data on the highest

educational qualifications of the 200 respondents.

EDUCATIONAL QUALIFICATION OF THE RESPONDENTS
Frequency Percent Valid Percent Cumulative
FIG.4.4 THE PIE CHART OF THE DATA ON THE HIGHEST Percent
Valid DIPLOMA 10 4.8 5.0 5.0
OND
EDUCATION QUALIFICATIONS30 14.3THE 200 15.1
OF RESPONDENTS20.1
HND 80 38.1 40.2 60.3
FIRST DEGREE 19 9.0 9.5 69.8

SECOND DEGREE 40 19.0 20.1 89.9

ACA 20 9.5 10.1 100.0

Total 199 94.8 100.0 52
Missing System 11 5.2
Total 210 100.0
EDUCATIONAL QUALIFICATION OF THE RESPONDENTS

Missing DIPLOMA
ACA
OND

SECOND DEGREE

FIRST DEGREE HND

SOURCE: From the data in table 1.

From figure 4.4 above, the Highest Educational Qualifications are

Diploma, O.N.D, First Degree, Second Degree and A.C.A and the

53
 subtend angles equal to 180, 540, 1440, 360, 720 and 360 and respectively

at the center of the circle.

PERCENTAGE ANALYSIS
Table 2 below shows the percentage analysis of the responses to the yes
or no Questions.
S/N QUESTIONS YES % NO % TOTAL TOTAL
IN NUM. IN %

1 Can unemployment be caused 190 95 10 5 200 100

by an individual?
2 Is there any relationship 200 100 0 0 200 100
between poverty, unemployment
and growth?
3 Does government 190 95 10 5 200 100
regulation cause
unemployment?
4 Can unemployment leads to 180 90 20 10 200 100
sickness and mental disorder?
5 Does unemployment leads to 200 100 0 0 200 100
homelessness and loss of self-
esteem?
6 Can we say that unemployment 100 80 40 20 200 100
is one of the causes of youth

54
 disturbances in the community?
7 Is unemployment a social 200 100 0 0 200 100
problem?
8 Can government do something 85 30 15 200 100
to reduce the rate of
170
unemployment in the country?

9 Does politics contribute to

the cause of
unemployment? 200 100 0 200 100
10 Is it possible eradicate 200 100 0 0 200 100
unemployment totally
from the society?

SOURCE: From the questionnaires administered

Table 2 above shows the answers to the yes or no questions in both

absolute numbers and percentages. The 200 respondents were asked if the

unemployment be caused by an individual. 190 of them making 95% said

yes and 10 of them making 5% of them said no. The 200 respondents

were asked whether there is any relationship between poverty,

unemployment and growth. 100 respondents making 50% of them said

yes. The respondents were asked if government regulation can cause

unemployment, 190 of them making 95% of them said yes while 10 of

them making 5% of them said no.

The 200 respondents are asked whether unemployment can lead to

sickness and mental disorder, 180 of them making 90% said yes and 20

of them making 10% of them said no. The 200 respondents were asked if

unemployment can lead to homelessness and loss of self-esteem 100 of

them making 50% said yes. The 200 respondents were asked whether

55
unemployment is one of the causes of youth disturbances in the

community. 160 of them making 80% of them said yes and 40 of them

making 20% of them said no.

The 200 respondents are asked if unemployment is a social problem.

100% of them said yes. The 200 respondents are asked if government can

do something to reduce the rate of unemployment in the country. 170 of

them making 85% of them said yes and 30 of them making 15% of them

said no. The 200 respondents are asked if politics contribute to the cause

of unemployment 100% of them said yes. They were asked if it is

possible to eradicate unemployment totally from the society.100 of them

said yes.

`4.4 CROSS – TABULATED ANALYSIS

Table: 3 below shows the analysis of the statuses of the 200 respondents

TABLE: 3 THE ANALYSIS OF THE STATUSES OF THE 200

RESPONDENTS.

STATUS FREQUENCY PROPORTION

SENIOR 80 0.4

STAFF
JUNIOR STAFF 120 0.6
TOTAL 200 1
SOURCES: From the questionnaires administered.

56
 From the table 3 above, it is shown that the 200 respondents has the

proportion of 0.4 for senior staff and 0.6 for the junior staff making a

proportion of 1 in all .

TABLE 4: THE ANALYSIS OF THE COST OF

UNEMPLOYMENT

COST OF UNEMPLOYMENT F P(%)

i. individual 110 0.55

ii. society 90 0.45

TOTAL 200 1

F. Stands for frequency, p for proportion.

SOURCE: from the questionnaires administered.

From table 4 above it is shown that the cost of unemployment are:

1. cost to individual

2. cost to the society

57
They have frequencies of 110and 90 respectively out of 200 making

proportions of the total of 0.55, and 0.45 respectively.

TABLE 5: THE ANALYSIS OF THE CAUSES OF UNEMPLOYMENT

CAUSES OF UNEMPLOYMENT FREQUENCY PROPORTION

i. Economic growth 40 20
ii. Technological advancement 35 17.5
iii. Politics 30 15
iv. Government regulation 55 27.5
v. Individual 40 20
Total 200 100

SOURCE: From the questionnaires administered.

From Table 5 above, it is shown that the major causes of unemployment

by the respondents are economic growth, technological advancement,

politics, government regulation and individual. They have frequencies of

40, 35, 30, 55 and 40 respectively out of 200 making proportions of the

total of 20, 17.5, 15, 27.5 and 20 respectively.

Table 6 below shows the analysis of the components of their internal

control system

TABLE. 6: THE ANALYSIS OF THE COMPONENTS OF THEIR

58
 PACKAGING SYSTEM.
COMPONENT FREQUENCY PROPORTION
I: inputs 75 0.375
Ii: processing 85 0.425
units
Iii: outputs 40 0.20
TOTAL 200 1.000

Source: From the questionnaire administered

From table 6 above it is shown that the components of their packaging

system are processing units, Inputs and output in a descending order of

magnitude. They have frequencies of 85. 75 and 40 respectively

TABLE:7 THE ANALYSIS OF THE UNEMPLOYMENT

MEASUREMENT
MEASUREMENT FREQUENCY PROPORTION
1: Official Estimates 58 29
2: Labour Force Sample 60 30
Surveys materials
3: Social Insurance Statistics 17 8.5
4. Employment Office Statistics 65 32.5
200 100

SOURCE: From the questionnaires administered.

From table 7 above, the constraints on packaging system are lack of

knowledge of materials, choice of packaging materials and cost of

packaging. They have frequencies of 82,60,and 58 out of 200 respectively

giving proportions of 0.41, 0.30, and 0.29 respectively.

59
4.5 HYPOTHESES TESTING
Three hypotheses are to be tested as follows, that the proportion of the
respondents that said yes is 90% when asked:
1. If UNEMPLOYMENT IS CAUSE BY INDIVIDUAL;
2. If UNEMPLOYMENT IS CAUSE BY GOVERNMENT REGULATION
3. If UNEMPLOYMENT IS CAUSE BY TECHNOLOGICAL
ADVANCEMENT
The alternative hypotheses in each case are that the proportion is greater

than 90% at 5% level of significance. The z test of the population

proportions is used.

TABLE 8: THE COMPUTATIONAL DETAILS OF THE THREE

HYPOTHESES
HYPOTHESES CALCULATED TABLE DECISION
NO. VALUES VALUE
1 2.357 1.045 Reject Ho
2 4.714 1.645 Reject Ho
3 4.714 1.645 Reject Ho
HO: P = 0.9
HA: P > 0.9
SOURCE: From the data in table 2 and from the statistical table
From table 8 above it is shown that for each of the three hypotheses, the

calculated value is greater than the table value and so the null hypotheses

in each case is rejected and the alternative hypothesis is accepted. So in

each case the proportion of the respondents who said yes is greater than

90%

60
 REFERENCES

Mills. G .A AND Walter, J.A.C. 1995)

Technical writing New York: holt. Rinehart and Winston.

Podsakoff, p.m and Dalton, P.R. (research methodology in

organisational studies. Journal of management. Volume 13,

number 2, 419 – 441

61
 CHAPTER FIVE

FINDINGS, SUMMARY, CONCLUSION AND RECOMMENDATION

5.1 FINDINGS

Through this research, the researcher has been able to discover and

established the fact that:

1. The unemployed are those who want and are able to work but who

have no work at present. They might alternatively be described as having

no work, being available for work, and looking for a job or waiting for

their work to resume or begin in the near future

2. Unemployment levels are increasing dramatically in many parts of the world.

3. Unemployment has obvious and well-documented links to

economic disadvantage and has also been connected in some

discussion to higher crime rates this our country.

4.

5.2 SUMMARY

62
According to Adrian Sinfield, when there is high unemployment

(1) the employed feel less secure;

(2) workers are less willing to leave unsatisfactory jobs;

(3) divisions in society increase;

(4) the prospect of equality of opportunity decreases. Some local areas

can develop a culture of despair. Lea and Young argue that this occurred

in some inner cities of Britain and helped cause the riots of the 1980s.

Various attempts have been made to link unemployment to many social

ills such as ill-health, premature death, attempted and actual suicide,

marriage breakdown, child battering, racial conflicts and football

hooliganism. There is evidence to link unemployment to poor health. For

example,

(1) some unemployed graduates in this nation had poorer mental health

than employed ones; (2) in 1971 a study based on the British census

found a 20% higher mortality rate among the unemployed than among the

employed; (3) a 1982 study of Edinburgh found the suicide and attempted

suicide rate of unemployed men was 20 times higher than that of

employed men; (4) studies indicate that children of the unemployed are

not as tall as those of the employed. Such studies do not actually show

that unemployment causes ill health, but they establish a statistical

correlation. Chas Critcher, Bella Dicks and Dave Waddington in the early

1990s studied the effect of unemployment on two pit villages in

63
Yorkshire using a questionnaire method. In both villages pit closure

resulted in significant long-term unemployment, and there were high

stress levels throughout the community. Women suffered as much as

men; wives of miners had to bear the brunt of family poverty and cope

with male despair. There were social and economic problems for the

community as a whole, and the fabric of the villages started to decay.

Crime increased. Both villages were communities that had experienced

total disorientation. Unemployment costs the taxpayer. Between 1979 and

1985 unemployment benefits amounted to 33 billion. There is also a loss

of tax revenue, since people who are out of work do not pay taxes.

In Nigeria, the national unemployment rate, estimated by the

Office of Statistics as 4.3 percent of the labour force in 1985, increased to

5.3 percent in 1986 and 7.0 percent in 1987, before falling to 5.1 percent

in 1988 as a result of measures taken under the SAP. Most of the

unemployed were city dwellers, as indicated by urban jobless rates of 8.7

percent in 1985, 9.1 percent in 1986, 9.8 percent in 1987, and 7.3 percent

in 1988. Underemployed farm labour, often referred to as disguised

unemployed, continued to be supported by the family or village, and

therefore rural unemployment figures were less accurate than those for

urban unemployment.

64
 The International Labor Organization (ILO) is trying to do something

about unemployment in Nigeria. The ILO says that 6.4-million Nigerians

are looking for work, which would make the unemployment rate there 4.7

percent.

5.3 CONCLUSION

The unemployed can be distinguished from the much larger number who

are employed, on their own account or by an employer, or who, unlike the

employed and the unemployed, are not in the labour force. The employed

have jobs, although some may be temporarily absent from work because

of illness, strikes, bad weather, etc. Those not in the labour force do not

want to or cannot participate in the LABOUR MARKET. They include

housewives, students, retirees, etc.

Because of the unemployment problem and all the evils that it brings

about, the large youth population is often considered more a burden than

a boon for the nation by the general people, but not so by the policy

makers who continue to remain optimistic and inspire others into

believing that it is this youth who will change the future of the nation for

the better.

5.4 RECOMMENDATION

65
The trust for modernization in African countries has produced a variety of

unintended consequences which created in-coherences in the social and

psychological worlds of large number of citizens.

Cyclical unemployment is caused by the economic downturns. When the

economy improves the unemployment rate falls. In this case, is it

recommended that government should be more concern about the

improvement of nation’s economy.

-Structural unemployment is caused by changes in the structure of the

economy. I.e. a technological shift can replace jobs that used to be held

by often low skilled or unskilled workers. It recommended that people

should engage themselves constantly in training and retraining in order to

meet the ever-changing need/demand in the labour market.

-Frictional unemployment is caused by those who are temporarily

unemployed moving from one job to another. At any one time there will

be some who are frictionally unemployed. The researcher hereby

recommend that people should be satisfied with their current employment

to avoid move about.

-Seasonal unemployed are those such as grape pickers who are

unemployed for half the season because there is a lack of demand for

66
them in a particular season. When the season of the job elapses, people

should not relax but move to a different job.

-Long term unemployed are those who have been out of work for 18

months or longer. It is usually extremely hard for those people to gain

employment. It is recommended that such people should learn a particular

trade to later become self-employed.

67
 REFFERENCES

When persons e number of citizens. When persons experience extreme social

dislocations and anxieties with regard to legitimate expectations and values,
they often are in APPENDIX 1 COVERING LETTER

Department of Business
Administration Akwa Ibom State
Polytechnic
Continuing Education Centre
Km 3 Refinery Road,
Effurun-Warri
Dear sir/ madam,
QUESTIONNAIRE

You will no doubt share with me the conviction that a Higher National Diploma
student in the above department is researching on unemployment syndrome among
Nigerian graduates: effects and solution
Please take the little time required to complete the attached questionnaire.

Your responses are to be kept in the strictest confidence and share under no
circumstances to be divulged. They are to be combined with those of other subjects to
get composites and averages for writing up the researcher’s HND project.
Yours sincerely,

KATE OMEH.

68
 APPENDIX II: QUESTIONNAIRRE
Unemployment Syndrome among Nigerian graduates: Causes, effects and solution.

PERSONAL DATA

1 SEX: MALE FEMALE

2 Marital status Married Single

Divorced Widowed Separated

3 Age : Less than 20 years 21-30 years

31-40 years 41-50 years Above 60 years

4 Highest Education Qualifications

Senior School Certificate Diploma O.N.D

H.N.D. First Degree Second Degree

Professionals Qualification (state which) _______________

(5) Status: Senior Staff Junior Staff

69
DATA ON UNEMPLOYMENT SYNDROME

(4) Unemployment is a state in which an able-bodied individual is actively seeking, but is

unable to secure, any gainful employment.

Yes No

(6) Is it possible eradicate unemployment totally from the society?

Yes No
(7) Does politics contribute to the cause of unemployment?
Yes NO

(8) Can government do something to reduce the rate of unemployment in the country?
Yes No
(9) Is unemployment a social problem?
expectation Yes No
(10) What are the steps to control unemployment in the country?

Steps

i. Establish goals and standard for al the unemployed graduates

ii. Implementing the plan

iii. Measuring performance against goals

iv. Evaluating

v. Taking action if things are okay

vi. Taking corrective action if things are not okay

70
 vii. Modifying plans

viii. Modifying operations

(11) Is Official Estimates, one of the means of measuring unemployment? No

YES

(12) Can we say that unemployment is one of the causes of youth disturbances in the

community?

Yes No

(13) What are the different types of unemployment that is prevalence in the country ?

TYPES

i. Frictional
unemployment
ii Employee Incentives

(14) Can Economic Growth cause unemployment?

YES NO
(15) Does unemployment leads to homelessness and loss of self-esteem?

YES NO
(16) Can unemployment leads to sickness and mental disorder?

NO YES

(17) Does government regulation cause unemployment?

YES NO
(18) Is there any relationship between poverty, unemployment and growth?

YES NO
(19) Can unemployment be caused by an individual?

NO YES
71
 (20) Unemployment may impair the functioning of families

NO YES

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