Page 158 - DMGT401Business Environment

Unit 7: Socio-cultural Environment

(e) Seasonal unemployment: Certain industries and traders engage workers for a particular Notes
season. When the season has ended the workers are rendered unemployed. Daily
wage workers in specific agriculture based industry like sugar industry is an example
of this type of seasonal unemployment.
The problem of unemployment has becoming a colossal. Various problems have caused this
problem. There are individual factors like age, vocational unfitness and physical disabilities
which restrict the people. External factors include technological and economic factors. There is
enormous increase in the population. Every year India adds to her population afresh. More than
this every year about 5 million people become eligible for securing jobs. Business field is subject
to ups and downs of trade cycle and globalization. Economic depression or sick industries are
often close down compelling their employees to become unemployed. Technological
advancement contributes to economic development .But unplanned and uncontrolled growth of
technology is causing havoc on job opportunities. The computerization and automation has led
to technological unemployment. Strikes and lockouts have become inseparable aspect of the
industrial world today. Due to these industries often face economic loses and production comes
down. Since workers do not get any salary or wages during the strike period they suffer from
economic hardships. They become permanently or temporarily unemployed. Today young
people are not ready to take jobs which are considered to be socially degrading or lowly. Our
educational system has its own irreparable defects and its contribution to the unemployment is
an open truth. Our education does not prepare the minds of young generation to become self-
employed on the contrary it makes them dependent on government vacancies which are hard to
come. Our State right from the beginning of Five year plans has introduced several employment
generating schemes and programmes over the years but in the absence of proper implementation
and monitoring have failed to achieve the required targets. Recently UPA Government has
come up with Rural Employment Guarantee program which aims to provide minimum days of
employment to people living in the villages. This is a laudable programme if implemented
sincerely because it will provide employment to people during natural calamities like drought,
floods etc. The remedial measures for reducing unemployment may lay greater emphasis on
creation of opportunities for self-employment, augmentation of productivity and income levels
of the working poor, shift in emphasis from creation of relief type of employment to the
building up of durable productive assets in the rural areas and instead of attempting to revert
somewhat to protectionist policies the pace of privatization may be accelerated.

Table 7.1: Labor Force without Jobs

Year Unemployment rate Rank Percent Change Date of Information
2003 8.80 % 110 2002
2004 9.50 % 105 7.95 % 2003
2005 9.20 % 83 -3.16 % 2004 est.
2006 8.90 % 91 -3.26 % 2005 est.
2007 7.80 % 92 -12.36 % 2006 est.
2008 7.20 % 89 -7.69 % 2007 est.
2009 6.80 % 85 -5.56 % 2008 est.

Source: indexmundi.com

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