Types of Unemployment
Unemployment means, being without a job for those who are talented and wiling to work. It is not the problem of developing countries but developed countries are also suffering from it. The ratio of unemployment is constantly increasing. Unemployment has many types, depending upon the economical problems.
Frictionless unemployment arises when workers try to seek such jobs which are according to their capability and experience. Friction in this case refers to the unsuitability between the worker and the job available. The amount of frictional unemployment depends upon the occurrence with which workers change jobs and the time it takes to find new one. This type of unemployment can be decreased a bit by providing the workers a variety of suitable jobs. Structural unemployment arises when there is an inequality between the workers required and the types of workers available. Difference may be caused due to the lack of skills, location or personal liking. Rapid development taking places in the technology. This requires newly skilled workers. Industries employ new workers and the old workers are left behind jobless. Sometimes a plant in dilapidated or industry is closed. It throws the workers out of the work leaving them jobless. The workers with inadequate qualification or training are left unemployed. Sometimes highly qualified persons remain jobless due to the less number of available jobs .cyclic of unemployment results from lack of demand. When the business is down, the workers are laid off
Unemployment is not a trivial problem in its nature. It is very deep and complicated problem. It holds back the smooth running of the country. It can cause obstinate social problems and massive corruption. Therefore, it should be undertaken before it paralyzes the whole structure of society.
By Hina Nisar(288/10)
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