PROBLEM OF UNEMPLOYMENT IN INDIA
India as a developing country is confronting many problems and unemployment is the most pressing problem. Unemployment directly affects the political, economic and social fabric of the country. Unemployment occurs when a person who is a participant of the labour force and is actively searching for employment is unable to find a job. The most common types of unemployment in India are seasonal, frictional, cyclical and structural.
The National Sample Survey Office’s job survey 2017-2018 had shown a spike in the unemployment rate to over 6 percent, a 45 year high. With 65 per cent of population under the age of 35, the declining job opportunities will have the worst effect in India. Despite the measures taken by the government, India remains a country experiencing severe unemployment problem.
Causes of unemployment in India
The reasons for this unemployment scenario are – excessive burden on agriculture, low agricultural productivity, defective education system, low levels of vocational skills, inadequate growth of agriculture, low investments in manufacturing sector, technology adoption accompanied with high rate of population growth and regressive social norms that deter women from taking employment or contributing their part in the economy. It may also be caused by economic slowdowns, global recession and financial crisis. Unemployment among educated class is also a cause of concern. Thousands of graduates and post graduates are unable to find a job due to lesser number of job opportunities available.
Effects
Unemployment is the most complicated socio-economic problem. Some effects of unemployment are low economic growth, emotional and mental stress, high income inequalities, and disparities leading to poverty. It also results in lesser demand of goods and services and can cause economic slowdown and recession. It increases dependence on working age population and results in labour exploitation due to low wages offered. Unemployed persons can easily be enticed by anti-social elements. Younger generation might indulge in illegal and harmful activities. This also leads to increase in crime in the society. The valuable human asset goes waste and it creates a vicious of poverty.
Initiatives by government
Government has taken several initiatives to increase employment opportunities through its various schemes and programmes. MGNREGA initiated in 2005 provides livelihood security to rural families. Start Up India scheme promotes ease of doing business for start-ups. Stand Up India aims to empower SC/ST and women by providing them loan facility to promote entrepreneurship. PM Mudra Yojana gives loan to micro and unorganized sector to bring them into mainstream economy. Skill development has been an important plank of employment generation policy of government. Deen Dayal Upadhyay Grameen Yojana and Pradhan Mantri Kaushal Vikas Yojana are other steps in this direction.
Way Forward
Though the government has taken several steps, unemployment still remains a complex problem. Some suggestions can be given in this regard. Government should promote small and medium scale industries should encourage more startups and self-employment schemes. Education should be made job oriented with increased emphasis on vocational and technical training. Public investments in sectors such as agriculture, industrialization, education, health, infrastructure, and other labour intensive sectors of the economy can generate more job opportunities. Along with this, removing social barriers for women to ensure their sustained participation in the job market and effective implementation of the government sponsored programmes is the need of the hour.
