Problem of Unemployment - Human Resources and Economic Development, Indian Economy | Indian Economy - B Com PDF Download

Unemployment means a person willing to work but unable to find a qualified job. Our country is facing many problems but one of the serious problem is of unemployment. Many graduates, doctors, engineers, scientist are unemployed or working underemployed. Due to unemployment we are wasting our country’s human resource.

The unemployed rate in between age group 15- 29 has been increased since 2009-2010. According to the Global Employment Trends 2014 the unemployment rate has raised to 3.8%, last year it was 3.7%. The International Labour Organisation (ILO) has said in the recent report that India has shown rise in the unemployment in the last two years.

If the problem of unemployment is solved it will help in development of the country. With Population of 1.20 billion in our country the unemployment rate is increasing day by day. The problem of unemployment is rising but still many industries are facing the problem of skilled candidate for their company. There is a boom of software companies, Outsourcing companies in India, but still facing the problem of unemployment.

Here are some of the reasons why there is unemployment in India

1. There are employment opportunities in India, but the rising population problem creates the unemployment. If the population grows in the same rate the next generation will face more problems of unemployment. If there is vacancy for 1 position 100 or 1000 apply for the position and only one gets the job and others remain unemployed.
2. Inflation
3. Indians don’t take jobs which are below their grades. Many find it difficult to work at the below qualification level job.
4. Low wages or salary below the market rate.
5. Many big industries look for the skilled candidate only, for their company.
6. Recession
7. Many Employers give preference to the experienced candidates only and not the fresher.
8. Not enough or new jobs: As per the experience & analysis , number of new government jobs is decreasing every year. Government is not able to create enough jobs keeping in mind the Indian population.
9. Slow business expansion
10. Advanced Technology: Earlier for a task hundreds or thousand people were required to do a work but now due to the advanced technology only one person can do many people’s work. With the advanced technology companies are hiring few persons to operate the machine. Give a command on computer and the work is done this has cut off the employment of many.
11. Corruption: In Government sector and in some private sector people get the job by giving the bribe. Even though the candidate is not that qualified but if he gives the bribe he gets the job. So to get a government job give a bribe.The qualified candidate remains unemployed as no money to give the bribe.

Problems caused due to unemployment

• Unemployment and poverty goes side by side. The problem of unemployment gives rise to the problem of poverty.
• Young people after a long time of unemployment find the wrong way to earn money.
• To get rid from the unemployment stress, they accept alcohol or drugs.
• Unemployed youths accepts suicide as the last option of their life
• Lower economic growth
• Increase rate in Crimes. As the employed youth don’t have anything to do they start doing robbery, murder etc.
• Health issues i.e it affects mentally as well as physically

Solutions to the unemployment in India

1. The very first solution for the unemployment is to control the rising population of our country. Government should motivate people to have small families. Indian government has started initiatives to control the population but still the population is rising.

2. The quality of Indian education should be improved. The current education system is not upto the level. Government should keep a strict watch on the education system and try to implement new ways to generate skilled labour force. Government should select a committee to look after the schools and universities. The syllabus taught is of no use to the industries so the education should be as per the current requirements of the industries. Before completing the education a practical knowledge should be given.

3. Also today’s youth should join the institute or select the course where proper training is given and the course is as per the current industries requirements. Take the course as per your interest and which will bright your future.

4. Government should encourage and develop the agriculture based industries in rural areas so that the rural candidates don’t migrate to the urban areas. More employment should be generated in rural areas for the seasonal unemployment people.

5. Rapid Industrialization should be created.

6. Development of the rural areas will stop the migration of the rural people to the urban cities and this will not put more pressure on the urban city jobs.

7. Government should allow more foreign companies to open their unit in India, so that more employment opportunities will be available.