Unemployment and it’s situation in asia:

Unemployment and it’s situation in asia: Introduction: Statement of problem: Unemployment is the number of employees who are at least 16 years old, who are not working, and who have been trying to find a job. Lacking a job often means lacking social contact with fellow employees, lack of self-esteem, mental stress and illness, and of course the inability to pay bills and to purchase both necessities and luxuries. These effects are especially serious for those with family obligations, debts, and/or medical costs, where the availability of health insurances often linked to holding a job. South Asia’s unemployment rate stayed at 4. 7 per cent in 2005and South-East Asia and the Pacific’s unemployment rate was 6. 1per cent. Objective of the study: Major objectives of our study related to this term paper are to discuss: * Major causes of unemployment in developing countries * Major effects of unemployment in developing countries * Change in employment and unemployment pattern around the globe and with specific importance to Asian countries. Methodology and sources of data: Most of the data is collected from internet for this term paper. Statistics are gathered from reliable sites of ILO (International labor Organization), WB (World Bank), ADB (Asian Development Bank) and SBP (State Bank of Pakistan). Percentages are used to discuss changing pattern of employment and unemployment. Body: Global cause of unemployment: Unemployment is not the result of any one cause. It makes its appearance in a great variety of circumstances, some in personal factors, some in economic changes, and some in legislative and regulatory conditions. Industrial and technological changes may force workers to readjust and relocate. And in another way the low demand, high population growth rate, discriminations, illiteracy, technical progress, the rise and fall of industries, trade union behavior, seasonal nature of jobs etc., or combinations of these factors lead to unemployment. Less opportunities for women to take part in labor force in Asian countries is also contributing to increase the overall ratio of unemployment. Finally we can say that each type of unemployment can have different and more than one causes but the need is to control these situations. Costs and effectives of unemployment: Unemployment is potentially very damaging, it can destroy the lives of individuals, parents and children and severely affecting a country’s economy. For the individual, unemployment can be psychologically damaging, eroding a person’s self-esteem. Unemployment in the family context will cause added stress. In many countries the common scenario is that unemployment takes families in to the poverty trap. Unemployment damages the economic and social stability of any society. Societies which fail to secure employment to their people invite political instability, social unrest and economic insecurity. The link between unemployment and crime has also been well established. A rise in unemployment will seriously damage a country’s economy. Unemployment represents a terrible waste of national resources. Situation of unemployment in Asian country: South Asia’s unemployment levels have raised from 2. 9 per cent in 2005 to 3. 4 per cent in 2011 and the annual employment growth rate has come down during the second half of the 2000s as compared to the first half. Data from the Asian Development Bank (ADB) show that unemployment has increased in Pakistan, Bangladesh and the Maldives, while it has decreased only in Sri Lanka during this period. Suggestions and conclusions: Governments should take the following steps to solve this problem: 1- Govt. should make efforts to push economic growth process to stimulate production and investment. 2- Govt. should seriously try to boost exports through expand the tax base and lowering tariffs. 3- Govt. should announce a package for the development of agriculture sector. 4- More Technical and Vocational training facilities should be provided. In this way unemployed people will get the chance to enhance their skills and become able to earn reasonable income. Finally the growing human poverty challenges faced by all Asian countries and specially Pakistan need to be addressed through integrated policies and approaches at individual and collective levels. Efforts on the part of national governments, supported by the international community, can be complemented for this.