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Unemployment



                       Submitted By:
 Submitted To:                 Umesh Kumar
                               Puneet Mokta
Prof. Pooja Arora                      FA1
First of all let us know what is
                 Full Employment…

 Full employment is a
condition of the national
 economy, where all or
 nearly all persons willing
 and able to work at the
prevailing wages and
working conditions are
 able to do so.
Then what is Unemployment…
• “Unemployment occurs when people are
  without jobs and they have actively looked for
  work within the past four weeks
            --International Labour Organization
                     Hi, I am here
                      for a job…
Unemployment is more in…
            Urban areas than Rural areas



                 Men than Women



        Agriculture Sector than other sectors



Educated population in overall unemployed population
Classification of Unemployment…
                              Cyclical


                             Disguised


               Involuntary   Structural
Unemployment
               Voluntary     Seasonal


                             Frictional
• A person is out of job because
                of his own desire to not to
Voluntary       work on the prevalent or
                prescribed wages.




              • A person is separated from
                remunerative work and devoid
                of wages although he is
Involuntary     capable of earning his wages
                and is also anxious to earn
                them.
Cyclical Unemployment

• Part of the capitalistic system and a part of trade cycle.
• There is a greater unemployment and when there is a
  depression a large number of people are rendered
  unemployed.

Seasonal Unemployment

• Certain industries and traders engage workers for a
  particular season.
• When the season ends workers are rendered unemployed.
  e.g. Sugar Industry

Frictional Unemployment

• The time period between jobs when a worker is searching
  for, or transitioning from one job to another.
Structural

• When labour market in unable to provide jobs for
  everyone.
• Reasons:- population overgrowth and mismatch between
  expectation of employers and skills of unemployed

Disguised

• When more people are engaged in work than actually
  required e.g. agriculture sector
Reasons…
.




    Labour force   Employment
    growth rate    Growth rate




                                 .
    2.5 %          2.3 %
    annually       annually
Reasons …
Employment & unemployment scenario in
                     India
Category                 1993-1994   1999-2000   2004-2005
Total labour Force       382.0       406.0       469.9
Total Employment         374.0       397.0       459.1
Open unemployment        7.5         9.0         10.8
Unemployment rate        1.9         2.2         2.3
as percentage of Total
labour Force

Employment in            28.0        28.0        26.5
organized sector
Employment in            346.0       369.0       432.6
unorganized sector

Jobs created per         -           4.6         12.4
annum
Working Poor             -           122.0       130.0
Unemployment rate
in India is 9.4% …
Government
 initiatives
The Mahatma Gandhi National Rural Employment Gurantee
                  Act (MGNREGA)



       Swarnjayanti Gram Swarozgar Yojna (SGSY)




       Swarnjayanti Shahari Rozgar Yojna (SJSRY)



        Prime Minister’s Employment Generation
                 Programme(PMEGP)
Actions that can be taken …
• Increase access to credit to encourage
  entrepreneurship

• Provide incentives for new initiatives

• Strengthen or enforce legislation

• Publicize opportunities in the media
Suggestions….

Family planning programmer and
development plans should be reformed.


Provide skill training to the new entrants
to the labour force
Unemployement

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Unemployement

  • 1. Unemployment Submitted By: Submitted To: Umesh Kumar Puneet Mokta Prof. Pooja Arora FA1
  • 2. First of all let us know what is Full Employment… Full employment is a condition of the national economy, where all or nearly all persons willing and able to work at the prevailing wages and working conditions are able to do so.
  • 3. Then what is Unemployment… • “Unemployment occurs when people are without jobs and they have actively looked for work within the past four weeks --International Labour Organization Hi, I am here for a job…
  • 4. Unemployment is more in… Urban areas than Rural areas Men than Women Agriculture Sector than other sectors Educated population in overall unemployed population
  • 5. Classification of Unemployment… Cyclical Disguised Involuntary Structural Unemployment Voluntary Seasonal Frictional
  • 6. • A person is out of job because of his own desire to not to Voluntary work on the prevalent or prescribed wages. • A person is separated from remunerative work and devoid of wages although he is Involuntary capable of earning his wages and is also anxious to earn them.
  • 7. Cyclical Unemployment • Part of the capitalistic system and a part of trade cycle. • There is a greater unemployment and when there is a depression a large number of people are rendered unemployed. Seasonal Unemployment • Certain industries and traders engage workers for a particular season. • When the season ends workers are rendered unemployed. e.g. Sugar Industry Frictional Unemployment • The time period between jobs when a worker is searching for, or transitioning from one job to another.
  • 8. Structural • When labour market in unable to provide jobs for everyone. • Reasons:- population overgrowth and mismatch between expectation of employers and skills of unemployed Disguised • When more people are engaged in work than actually required e.g. agriculture sector
  • 9. Reasons… . Labour force Employment growth rate Growth rate . 2.5 % 2.3 % annually annually
  • 11. Employment & unemployment scenario in India Category 1993-1994 1999-2000 2004-2005 Total labour Force 382.0 406.0 469.9 Total Employment 374.0 397.0 459.1 Open unemployment 7.5 9.0 10.8 Unemployment rate 1.9 2.2 2.3 as percentage of Total labour Force Employment in 28.0 28.0 26.5 organized sector Employment in 346.0 369.0 432.6 unorganized sector Jobs created per - 4.6 12.4 annum Working Poor - 122.0 130.0
  • 14. The Mahatma Gandhi National Rural Employment Gurantee Act (MGNREGA) Swarnjayanti Gram Swarozgar Yojna (SGSY) Swarnjayanti Shahari Rozgar Yojna (SJSRY) Prime Minister’s Employment Generation Programme(PMEGP)
  • 15. Actions that can be taken … • Increase access to credit to encourage entrepreneurship • Provide incentives for new initiatives • Strengthen or enforce legislation • Publicize opportunities in the media
  • 16. Suggestions…. Family planning programmer and development plans should be reformed. Provide skill training to the new entrants to the labour force