- Factors Responsible for Unemployment
- Initiatives by the government to solve the problem of unemployment
Factors Responsible for Unemployment:
Unemployment is defined as a condition when an adult falling under the working age who wants full-time employment is not able to get the job.
Certain factors responsible for Unemployment are listed below:
a) Backward Agriculture
b) High Population Growth
c) Defective Education System
d) Exploitation of Resources
e) Low means of Self-Employment
Steps to Reduce Unemployment:
A few steps to reduce unemployment are:
a) Rapid Industrialization
b) Population control
c) Reconstruction of Agriculture
d) Encouragement of Small Enterprises
e) Rural Development Schemes
Initiatives by the government to solve the problem of unemployment:
1 Integrated Rural Development Programme (IRDP)
The Government of India introduced IRDP in 1978-79, intending to create full employment opportunities in the rural areas. This program included agriculture, forests, fisheries, animal husbandry, cottage industries, construction of canals, roads, and so on. To provide employment, a sum of INR 312 crores was also spent in the Seventh plan, which benefited 182 families.
2. Training for Self–Employment:
The program was launched on August 15th, 1979, and is called the National Scheme of Training of Rural Youth for Self Employment (TRYSEM). Its main objective is to reduce unemployment among the youth. Under this, during the seventh plan, around 11.6 lakh youth given training, which gave young men financial assistance from banks, which varies from INR 3000 to INR 5000 to start any work.
Composite Rural Training and Technical Centres were set up to give training to 2.8 lakh rural youth during 1995-96.
3. Jawahar Rozgar Yojana:
This started on April 28th, 1989, intending to employ one member of every rural family. The job is provided for around 50 to 100 days per year at a workplace, which is nearby the place of residence. 30% of the employment generated is reserved for women. The Central Government has the duty to finance around 80% of the program, which reduces the burden of the state government to only 20%. National Rural Landless Employment Guarantee Programmes were merged with the Jawahar Rozgar Yojana in the year 1989.
4. Nehru Rozgar Yojana (NRY):
The Yojana was started in the year 1989 and included three schemes under itself :
a) The first scheme provides a subsidy to urban poor so that they can set up micro-enterprises. Under this program, in the year 1995, 1.25 lakh families were benefitted.
b) The second scheme ensures arrangements for wage-employment to laborers in the cities with less than 10 lakh population is by the means of providing Indian Economic Development and Elementary Static facilities. In the year 1995, under this scheme, 93 lakhs days of employment have been provided.
c) The third scheme provides urban poor with employment opportunities like house repairing, etc.
5. The Swaran Jayanti Rozgar Yojana:
The plan, which started on 1st December, is meant for providing employment to unemployed in urban areas. It aims at providing self or wage employment to unemployed youth of urban areas. It works upon two plans:
a) Urban Self- Employment Programme
b) Urban Wage Employment Programme
75% of the expenditure is incurred by the Central Government, and the rest is upon state governments. A sum of INR 125 crore was spent upon this during 1997-98.
6. Drought Prone Area Programme:
This program was launched in 70 districts of 13 states, which were prone to drought. It has proved fruitful in removing seasonal unemployment, and under the sixth plan, the program has provided 17 crore and 70 lakh employment days. Under the seventh plan, INR 474 crores were spent on this program.
7. Prime Minister’s Integrated Urban Poverty Eradication Program (PMIUPEP):
The program has been implemented in 1995-96 and aims to provide employment to the poor in the urban area. It aims to cover 50 lakh urban poor from 345 towns. The total expenditure of INR 800 crores is under the Central government, and the rest is with the state’s government.
8. Pradhan Mantri Gram Sadak Yojana (PMGSY):
It is a nationwide plan for the country to provide good all-weather connectivity of roads to unconnected villages. This was introduced in the year 2000 and aimed for the following:
a) To provide roads to all villages with a population of 1000 people and above by the year 2003
b) To also provide roads in hill states, desert areas, and tribal areas with a population of 250 and above.
The scheme has changed the conditions of many villages which fall under the scheme.
9. National Rural Employment Guarantee Act:
This act was later named as Mahatma Gandhi National Rural Employment Guarantee Act – MGNREGA. It aims to guarantee the Right to Work and was passed in September 2005.
a) The main objective is to enhance the livelihood in the rural areas by providing 100 days of wage employment in a financial year to every household which has adult members to do unskilled manual work.
b) Employment has to be provided within 5 kilometers of the applicant’s residence.
c) The minimum wage has to be provided.
d) If the government fails to provide the employment, it has to pay unemployment allowances as compensation.
10. Employment Assurance Scheme:
The Employment Assurance Scheme (EAS) was launched in the year 1994 in 1752 blocks, which are backward in the country. Its main objective was to provide 100 days of the unskilled manual job to the poor in Rural areas.
Apart from the above 10, the Government of India has also launched several other employment and educational schemes such as the NTR Vidyonnathi Scheme for the empowerment of the country’s youth.