What is unemployment? Discuss the causes of unemployment in India.

by - April 21, 2022

What is unemployment? Discuss the causes of unemployment in India.

Definition and causes of unemployment.




Definition / concept of unemployment: -


In general , unemployment is when a person makes a difference between what he has and what he needs to get. Regarding the definition of unemployment, De Malley said that unemployment is a situation where a person remains unemployed despite having the will and the inclination to work. Following this definition, certain elements of unemployment can be identified. Such as -
(A) The person shall be functional.
(B) The person shall have qualifications for employment.
(C) The person will have the desire to get the job.
(D) The person will try to get the job by his hard work.
If a person does not get a job despite having all these elements, then that person can be called unemployed. Notably, monks, bankrupt, vagabonds, mentally unbalanced - these individuals are not considered part of unemployment.



Reasons for Unemployment in India: -


1. Acute Inflation: -
India's rapid population growth is one of the major causes of unemployment. Rapid population growth has exacerbated the problem of illiteracy - leading to unemployment; On the other hand, employment opportunities have been greatly reduced.

2. Unequal distribution of population: -
Geographically, India's population is unequally distributed. States such as West Bengal, Bihar, Maharashtra, etc. are densely populated areas; Sikkim, Manipur, Mizoram etc. are sparsely populated areas. This unequal distribution of population has created unemployment in densely populated areas.

3. Lack of capital : -
Indian industrialists, the government on the one hand expects such higher production; On the other hand, it shows stinginess in investing. This reduces the chances of creating new jobs. The production area is managed only with the interests of the owner in mind.

4. Geographical immobility: -
Geographical immobility can be observed in a significant portion of Indian citizens. In other words, they do not show the tendency to go to other places to find work according to their qualifications and abilities. As a result, somewhere , there are no workers available for work; On the other hand, the workers became unemployed due to lack of work.



5. Instability of market economy: -
At present most of the workers are facing employment uncertainty due to various reasons like market fluctuations, labor unrest, layoffs, strikes, lock-outs etc. This leads to unemployment both directly and indirectly.

6. Increase in the number of educational unemployed: -
The number of educational unemployed is increasing as the educated youth are highly dependent on jobs. In the post-globalization era, instead of increasing employment opportunities, every government and non-government organization has shrunk its staff. As a result, the opportunity to create new jobs has been closed.

7. Decrease in the amount of agricultural holdings: -
In modern times, joint families in India have broken up into single families. Due to the division of agricultural land, the amount of land per capita has decreased drastically. As a result, unemployment has been created.

8. Use of modern equipment: -
In the 21st century, with the advent of globalization, modernization and liberalization, the use of modern machinery has increased in every aspect of the Indian economy. This has resulted in massive layoffs in the manufacturing sector. The use of computers in government and non-government organizations, the use of modern machinery in agriculture, etc. have paved the way for staff contraction.



9. Economic Infrastructure: -
Lionel Eddy thinks that there is never a special opportunity to eliminate unemployment in a broken economy. Although India's economy is dynamic, the policies that are formulated in the economic field are not able to solve the problem of unemployment in any way.

10. Personal reasons: -
There are some people who do not show the mindset of finding work by their own labor. Again, many refrain from doing certain jobs as "small jobs". Thus a class of people fall victim to unemployment for personal reasons.

11. Political dishonesty: -
Although some disqualified persons are employed due to dishonesty in politics, nepotism, etc., it has an adverse effect on the wider social sphere.

12. The role of illiteracy and education: -
It has not yet been possible to spread ‘’ education for all ‘’ in India. According to the 2011 census, one-fourth of the population in India is still illiterate. This huge illiterate population is one of the main causes of unemployment. Unemployment is also on the rise among educated people due to lack of professionalism in education.

Unemployment has also become a burning issue in India due to the failure of self-employment schemes, lack of effective government policy, lack of vocational training, increase in the number of unorganized sectors, extinction of retail business due to omnipotent attitude of multinational corporations.



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