Unemployment: Nightmare Of India

Unemployment is a state of being unemployed. It is a situation where able-bodied people are looking for a job, cannot find a job. The “Bureau of Labor Statistics” defines unemployed people as those who are jobless and have actively looked for work in the past four weeks. However, economists across the world have debated over the causes of the Unemployment for several years.

Causes:

There are many theories which can be used to describe the reasons of the Unemploment.

1. Immigration: When new people move into a country, there starts an usual shortage of jobs. As the jobs are limited, the immigrant population suffers from unemployment. This phenomena may also happen when a neighbouring country has suffered from a Political crisis such as Ethnic cleansing or any other political instability. India also suffers from this type of unemployment problem when Bangladesh got liberated from Pakistan in 16th Decemeber 1971, and millions of refugees came to India crossing border and settling in the nearby states.

2. Labour wage: Unemployment happens when the labour wage becomes very low. This decrease in wage can be Voluntary which happens due to the greedy Industrialists packing up more profit, and Involuntary when the company or industry becomes bankrupt. In 1929, The Great Depression happened in the US and Europe due to lowconsumerdemandandthecompaniesstartedlayoffworkers, resulting into unemploment. India today ensures the Minimum Wage Act 1948 to support the working class.

3. Skill gap: When the work force are not enough skilled to be employed, the unemployment rate becomes high. After the independence, the workforce was not skilled to be employed. That’s why the Govt. decided to set up PSUs(Public Sector Undertkings) to provide enough employment opportunity to the unskilled poor.

However, there are other reasons among which the formers are mostly important.

Types of Unemployment:

• When people voluntarily give up their jobs to do something else (study, farming, family care), there also unemploment happnes. However, this unemployment is not bad, because persons are not looking for a job.

• When people are looking for job but the political-economic criteria doesn’t create jobs, unemployment happens. This is severe as persons are looking for jobs to fulfil their basic needs.

Unemployment inIndia:

Unemployment has become a very serious trouble in india, the rate of which is 7.6% recorded in April 2019.

The ages old Caste System, Slow Economic Growth, Increasing Population, Lack of apathy towards Agriculture, Lazy mindset, Slow Growth of industrues etc. have resulted in the unemployment.

Government’s Measure:

Since post-independence, the GoI has always tried to eradicate poverty by creating jobs through many means. However, the socialist Indian Political leaning has always prevented foreign companies to set up their businesses in the soil. But after the Gulf War crisis, the Liberalisation of the Economy began in 1990s and eventually India’s Money market and Capital Market started picking up growth. Stock Markets have a very healthy growth rate with the increasing Entrepreneurship in India which puts India in 77th position in “Ease of Doing Business”.

A Long Way toGo:

However, recent NSSO(National Sample Survey Organisation) data leakages show that India has a very high unemployment rate with 45years highest. Corruption is still a problem which turns down very good moves by the Govt. Even people’s mindset is not very promising. India has a unemployment rate of 7.6% in April 2019 which shows that we are still many foots backward and we have a lot to go.

Source:www.wikipedia.org,www.economicdiscussion.net,www.thebalance.com,www.google.com
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