Unemployment

In simply terms, unemployment is the state of not having a job. A country is said to have a high rate of unemployment when many of its citizens do not have jobs. When a lot of people are without work in a nation, levels of poverty are also high due to lack of income sources.

Causes

Lack of skilled and technical training

 The current business environment is such that there is high demand for skilled and techno-savvy employees. This has been necessitated by the incorporation of technology in many business processes. Lack of skilled and technical training will thus make it difficult for an individual to find gainful employment.

 Lack of education

 A majority of those without employment in many economies are those who lack education. Going to school equips one with relevant skills and training required in the job place.

Underpayment

 It can be very frustrating when one works without being adequately compensated for the job done. Underpayment occurs when qualities are not recognized. The employer’s primary focus is to increase profit margins at the expense of workers. Workers sometimes have to work very long hours to make ends meet.

Employment of children at lower wages

This is another unethical business practice geared towards increasing profits. It occurs mainly in countries or regions with weak labor laws and institutions. Such children are employed as unskilled workers and therefore paid as such.

Large population

 When an economy has more workers than the labor market demands, the level of unemployment will be high. It means that even skilled workers who are willing and able to work will be without jobs because of unavailability of employment vacancies

Lack of job opportunities

 Countries where a high number of young people have studied up to the university level but with limited job vacancies have serious unemployment problems.

Education

They say education is the key to success. It opens the door to many possibilities and equips one with both life and work skills. The lack of education condemns one to a life of poverty.

Skilled Based Training, Vocational Training, Technical training

 Skills and techniques should be taught through skilled-based training, vocational training, and technical training. This would greatly benefit those who are unable to afford university education or did not obtain sufficient grades to get into one. It would help tackle the problem of unemployment among the youth in rural areas who tend to end their pursuit of education after completing high school. Equipping them with such skills make them employable in a labor market that is very dependent on technical skills and training. Such training would also put them in a position where they qualify for better pay.  

Creation of diversified job opportunities

 Economic policies go a long way in determining the rate of unemployment in a country. Good economic policies will lead to the creation of jobs and reduce the level of unemployment in a country. Generation of better employment opportunities at all levels such as skilled, unskilled and professionals can also minimize the rate of unemployment.

Explore the hidden qualities

 Creating awareness to help people find their hidden qualities can also be a way to address the problem of unemployment. This would encourage self-employment and reduce over-dependence on the formal job sector.

Improved communication for available job opportunities

 For many people, the biggest challenge is usually in identifying the available job opportunities. Where does one start from? Who do you talk to? What is the best way to make the application? There should be improved communication for the available employment vacancies to guide those interested in where to look.