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ASSIGNMENT

ON

UNEMPLOYMENT
SUBMITTED TO: SUBMITTED
BY:
MS Sana mam Mohd. Hamdan
Faculty of management & science Mohd. Majid
Jamia Hamdard Abdul Suboor Khan
Abid Hussain

Israr Younus Khan


Imtiyaz Khan
Mohd. Shahidullah

CONTENTS:-
 Introduction.
 Unemployment.
 Features of unemployment.
 International rules relating to unemployment.
 Types of unemployment.
 Urban unemployment
 Industrial unemployment.
 Educated unemployment.
 Rural unemployment
 Seasonal unemployment.
 Disguised unemployment.
 Other types of unemployment
 Structural unemployment.
 Cyclical unemployment.
 Frictional unemployment.
 Causes of unemployment.
 Causes of urban unemployment
 Causes of rural unemployment
 Measurement of unemployment.
 Government policies.
 Remedies.

INTRODUCTION
• It is a universal feature of capitalist economy and varies from
country to country.
• In developed economies unemployment is generally of two
types:-
 Keynesian.
 Temporary
• In under developed economies unemployment is in two form
 Open
 Disguised
• In India there is a serious problem unemployment and
underemployment.
• According to the usual status about 56 per cent of rural males and
31 per cent of rural females belonged to the labour force. The
corresponding proportions in the urban areas were 57 per cent
and 15 per cent, respectively.
• The worker population ratio (WPR) was 43 per cent in the rural
areas and 35 per cent in the urban areas. In rural India, more than
half of the usually employed (‘all’ workers) were self-employed –
57 per cent among males and nearly 62 per cent among fe-males.
The corresponding figures in urban India were 42 for males and 44
for females.
• The unemployment rate was not high for rural areas it was
around 2 per cent, In urban areas, the unemployment rates were
higher than those in the rural rates, nearly 8 per cent.
• Among educated persons, in the
• age group 15 – 29 years, the unemployment rate in rural and
urban areas was 12 per cent and 16 per cent respectively.
UNEMPLOYMENT
• By unemployment we mean that state of affair when in an
economy there are large number of able bodied person of
working age who are willing to work, able to work, but cannot
find employment at a current prevailing wage rate.

FEATURES OF UNEMPLOYMENT
• It is not a permanent feature.

• It applies only to able bodied men of working age.

• Ability to work also implies willingness to work.

• Employment at current wage rate.

INTERNATIONAL RULES RELATING TO UNEMPLOYMENT


• According to UN “The numbers of people aged 16 years old and
above who are not working BUT are willing and able to work AND
are actively searching for a job.”
• According to the ILO definition, “the labour force comprises all
people who work at least one hour a week (employed labour force)
or seek a job for at least one hour a week and are available for the
labour market (unemployed labour force).”
• Following is the data relating to various unemployment rate in
different countries
• Afghanistan 40%
• Iraq 18%
• Iran 12.5%
• France
7.4%
• Pakistan 7.4%
• India
6.8%
• Canada 6.1%
• Bangladesh
2.5%

TYPES OF UNEMPLOYMENT
 Urban unemployment: - Urban unemployment is that
unemployment which exit in urban areas. It is not only painful at
personal level but also at social level. Despite this problem the
government has not given attention to it. Urban unemployment
can be classified into two forms which are as follows:-
 Industrial unemployment: - The exact size of the industrial
unemployment is not known because the necessary data for its
estimation are not available. At present, 65% of the industrial
employment is in the organized sector. It reflects the progressive
growth of capitalism in India.
 Educated unemployment: -It constitutes large part of urban
unemployment and it is a very serious as well as menacing
problem.
 Rural unemployment: - About 80% of the India’s population
lives in rural areas. It is the main problem of the Indian
government and it require huge capitalization of capital. There are
two side of problem which has been discuss as follow:
 Seasonal unemployment:-it is also known as
underemployment and it basically occurs in two situations. Firstly
it can be term as a situation in which a person doesn’t get the
type of work he is capable of doing, he may poses abilities and
expertise.

 Disguised unemployment: -When more people are engaged in


some activity than the number of person required for that, this is
called disguised unemployment. For example: An agricultural field
requires 4 laborers but people engaged in this activity is 6 then this
unemployment for 2 labors is called disguised unemployment

 Other type of unemployment: -

 Frictional Unemployment:- Experienced by a worker while he


switches from one job to another .Applies for fresh graduates
Productive part of economy Increases workers long term welfare
and efficiency.
 Classical Unemployment: -Also called as real wage
unemployment. Real wages are set above market clearing level.
 Structural Unemployment: -Caused due to mismatch between
job offered by employers and potential workers.
Pertain to geographical location, skills, and many other factors.

 Causes Of Unemployment

 Causes for urban unemployment


 Insufficient economic development.
 Defective system of education.
 Slow growth of industrialization.

 Causes for rural unemployment


 Pressure of population on land.
 Lack of alternative occupation.
 Seasonal nature of agriculture.
 Social setup.

 Measurement Of Unemployment
 A person working 8 hours a day for 273 days in a year is regarded
as employed.
 Basically there are 3 types of estimates of unemployment that
were generated in the 27th round of NSS which are as follows: -
 Chronic unemployment: - It measured the number of person
who remained unemployed for a major part of the year. It is
also referred to open unemployment.
 Weekly status unemployment: - It measures the number of
person who did not find even a hour work during survey
week.
 Daily status unemployment: - It measures the person who
did not find work on a day or some days during the survey
week.
 Government Policies : -
 Many sided approach The policy expects employment
-

generation under the various programmes of raising investment


and production there are sub-policies pertaining to have various
forms of unemployment.
 Greater emphasis on self employment – An important aspect
of the policies is its emphasis on the creation of facilities for self-
employment. (60%majorty of total employed is self employed and
the rest are based on the wages.)
 Accent on productive work and asset creation – It lays
emphasis on the productive employment. This adds to capital
stock at present and ensures output flows in the future.
 Partly targeted, partly estimated employment – It has two
parts. One part aims at achieving fixed targets of employment and
the second part consists of the estimated employment that is
generated as a result of the various investments and programmes.
 Employment-based investment and production - It
significant amount of resources has been devoted to employment
generating activity.
 Special employment programmes – As weaker section of the
society have little access to normal development programmes
that aims at generating employment opportunity for the groups.
 Employment for Educated – Made for the educated both in the
rural and urban areas.
 Manpower planning – Proper development of Human
Resources and their rightful deployment.

These are some policies which is run by government –

1. The Integrated Rural Development Programme (IRDP) – It


aims at up lifting its target group of the poorest among poor.
2. The Small Farmer Development Agency (SFDA) - Programme
seeds to help weak farmer.
3. The Drought Prone Area Programme (DPAP) - Aims at
developing areas frequently affected by the drought.
4. The Desert Development Programme (DDA) - Specially
meant for the poorest families is the National Scheme of (TRYSEP)
Training of Rural Youth for Self Employment.
5. The National Rural Development Programme (NREP) -
Provides work for labour for earning.
6. Rural Landless Employment Guarantee Programme
(RLEGP) - It is guarantees minimum employment in the lean
reasons.
7. Jawahar Rozgar Yojana (JRY) - It was launched on April, 1989.
Aims to creation of productive community aspects for direct and
continuing to the priority groups.
8. Nehru Rozgar Yojana (NRY) - Aims to creating One Million jabs
annually.
9. Prime Minister’s Rozgar Yojana (PMRY) - It was launched on
October, 1993. It has been designed to provide to more than One
Million for educated unemployed youth.
10. 20 – Point Programme- Promotion of rain-fed-agriculture,
Better use of irrigation water, Bigger harvest, Special programme
for rural labour and farmers, Clean drinking water for all, Health
for all, Expansion on education, Housing fir the people .
 Remedies
 Remedies to rural unemployment
 Effective control of population.
 Breakthrough in agriculture.
 Spread of village industries.
 Land reform measures.

 Remedies to urban unemployment


 Reform educational institution.

 Promotion of low capital intensity.

 Decentralization & dispersal of industrial activity.

 Promotion of small scale industries.

References
NSS 62nd ROUND
Economic environment by saleem shaiekh
Wikipedia
Ministry of labor

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