In India, there is a particular problem with the educated unemployed. Why? This article will discuss the various factors that may lead to such an issue. You will learn about the different types of unemployment in the country and the differences between disguised, seasonal, and open unemployment. You will also learn about the difference between a job opportunity and a qualification mismatch. Why is Educated Unemployed a Peculiar Problem of India.
Why is educated unemployed a peculiar problem
In India, educated unemployed has been an ever-growing problem, which affects millions of people. There are many factors that contribute to the phenomenon, but the most common is a lack of job opportunities. It is not easy to find a job, especially in a country where education is open to anyone. Educated people are unable to find the jobs that are available since they don’t have the appropriate skills for them.
A variety of factors are involved in the educated unemployed phenomenon, including a shortage of skills and a scarcity of available labor. The problem is also exacerbated by the fact that there are so many people in the workforce who do not have the necessary qualifications for the jobs.
As a result, many young and well-educated people end up struggling to support themselves. This situation is not only difficult to overcome, but has a negative impact on the long-term growth of the economy.
Another factor in the educated unemployed dilemma is the low salaries offered by companies. These salaries don’t provide the kind of working conditions that young graduates would prefer.
KEY Differences between disguised unemployment
There are three types of unemployment in the country. One of these is disguised unemployment, and the other two are technological and educational. Educated unemployment is also known as structural unemployment.
Technological unemployment is caused by changes in production techniques. This can be caused by recessions in business. Educated unemployment on the other hand is a result of defective education provided by the educational system. These people cannot find jobs based on their skill set.
Unemployment among educated workers is a major issue in the nation. It is mostly utilized in the agriculture industry. The caste system, which prevents young people with talent from succeeding, is the cause. Low-paying occupations are not something they want to undertake. These educated people must learn how to use their knowledge and talents effectively in order to land a decent job.
Constant modifications to manufacturing processes are the root cause of technological unemployment. Labor is relocated as a result of these developments. Long periods of unemployment are possible for competent workers. The educational system’s inability to adequately prepare pupils is a major contributing factor to educated unemployment. These folks are capable of performing white-collar employment but lack the credentials needed to do so.
Types of Unemployment
There are various types of education-related unemployment in India. These include frictional unemployment, chronic unemployment, structural unemployment, and seasonal unemployment.
Frictional unemployment is a type of unemployment that occurs because there is a long lag between the time a person seeks a job and the time they actually find a job. This type of unemployment is caused by a number of factors including poor labor force management, lack of information, and improper adjustment between supply and demand.
Chronic unemployment refers to the number of unemployed persons for a period of a year or more. During the financial crisis of 2008, the rate of cyclical unemployment was seen.
Structural unemployment is a barrier to economic development in India. It is caused by changes in the economic structure of a country. For instance, the introduction of technological advances may cause a decline in jobs. The growth of the population is also one of the reasons for educated unemployment in India.
Seasonal unemployment in India is a result of a mismatch between the type of work available and the availability of workers. Some industries only hire workers during certain seasons of the year.
In a developing economy, disguised unemployment is a problem that plagues the agriculture and unorganized sector. It is characterized by a high labor force that is not employed efficiently. This increase in the labor force increases the burden on limited resources. As a result, a lot of people are in need of jobs, but many are not looking for them. Some are working part-time but may be capable of working full-time.
The situation in India is bleak. About 60 million of the total population are not working, while the rest is in need of work. There are a number of causes for this. Many of them are related to poverty, malnutrition, anti-social activities, and drug abuse.
Disguised unemployment is most common in agro-based industries. However, this form of unemployment can also be found in the urban sector. In the rural sector, disguised unemployment is more prevalent because of the seasonal nature of employment. Agricultural laborers find employment only during the busiest seasons.
Although it is not officially tracked, disguised unemployment is a widespread issue in developing countries. In fact, it is one of the leading causes of poverty in many nations.
Numerous young individuals in India are impacted by the issue of educated unemployment. Jobs are becoming available at a quicker rate than the population increase. The economy of the nation is undoubtedly impacted by these issues.
Unemployment among the educated is a societal ill. It is brought on by inadequate schooling. There are many different things that go into this.
To address this issue, the government has introduced a number of plans and initiatives. They include the Start-up India Program and the National Skill Development Mission. The government should also invest in career-focused training in addition to these. This would help the economy as a whole as well as job hunters.
Another important reason for educated unemployment is the lack of investment in certain sectors of the country. Agriculture, for instance, has a high incidence of seasonal unemployment. While agriculture is an industry that employs 62 percent of the working population, it has not been able to provide work all year round.
Another major factor is the caste system. Many young people are not able to get a job because of the caste system. People are also motivated by their family members to take jobs overseas.
The absence of work in various months of the year is referred to as seasonal unemployment. This kind of unemployment is particularly prevalent in sectors centered on agriculture. Seasonal unemployment is a significant issue in a growing nation like India. In addition to contributing to economic overstimulation, it also fuels social discontent.
The growth in “disguised unemployment” in rural India is one illustration of this. The issue is brought on by the overburdening impact of population growth on agriculture. Therefore, there is not enough labor available. Therefore, there is no marginal productivity. Agriculture is the backbone of India. Since agriculture is a seasonally based occupation, agricultural laborers are only employed during busy seasons.
On the other hand, the education sector is considered the most labor-absorbing sector in India. As a result, educated youth are unable to get employment.
A study has shown that the number of graduate and postgraduate unemployed is increasing at a faster rate than matriculate unemployment. Educated unemployment is a major hindrance to economic growth in India.
Old Education System as the Current Requirement
The old education system has been in decline for some time now. It’s no surprise that a hefty portion of the formerly educated populous is ill-suited for a modern world. To their credit, some countries have gone the extra mile in developing educational systems that will enable them to compete in a modern, knowledge-based economy. Sadly, those that have not had a leg up on the competition may find themselves at a disadvantage in the near future.
One of the most important lessons is that we need to rethink the old way of doing things. This includes reevaluating the way we educate our children and how we engage them in the process. That said, the aforementioned fable is the least of our worries. We need to be proactive in our efforts to tackle the scourge of unemployment. Fortunately, there are a handful of organizations that are dedicated to the task. Moreover, they’ve put together a robust set of metrics to assess how we can help ourselves in this battle. Among other things, they have introduced an “Operation Education” program. Those who qualify are eligible to receive a stipend to supplement their existing educational efforts.
Job opportunity & qualification mismatch
When a person is trained in one field but then works in another, it is referred to as a “field of study mismatch.” It may lead to reduced pay and less happiness at work. In some circumstances, employees might need to switch to a different line of work or even downgrade to a position requiring less education.
In a cross-national setting, field-of-study mismatch has been examined in a number of research. Most studies that assess the frequency of mismatch rely on self-reported data. Less research, however, has been done on the variables that affect field-of-study mismatch at the individual level.
In order to comprehend the root reasons for field-of-study mismatch, a more thorough examination of the labor market is required. Skills demand and supply are two significant mismatch factors. Working circumstances, employer preferences, and career ambitions are examples of supply factors. The capacity of the labor market to recognize and use abilities from many disciplines is one of the demand drivers.
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The supply and demand of skills in the job market can be used to forecast the frequency of field-of-study mismatch. The likelihood that a worker will find employment in their subject of study increases with the level of skill supply.