case study (unemployment and underemployment)
DESCRIPTION
TRANSCRIPT
by: Ivy Lontoc Capistrano
Unemployment and
Underemployment
- occurs when people are
without work and actively seeking
work.
Unemployment
- a person is out of job because of his own desire to not to work on the prescribe wages or salary
Involuntary
- a person is separated from remunerative work anddevoid of wages although he is capable of earnings his
wages.
Voluntary
Philippines January 20131/
January 2012
Population 15 years and over (in 000)2/ 63,682 62,683
Labor Force Participation Rate (%) 64.1 64.2
Employment Rate (%) 92.9 92.8
Unemployment Rate (%) 7.1 7.2
Underemployment Rate (%) 20.9 18.
Estimates for January 2013 are preliminary and may
change.
The Philippines topped Indonesia, Malaysia,
Singapore, Thailand, China and South Korea in terms of the unemployment rate, the
BLES said.
The total number of unemployed persons in the country reached 2.9 million in January 2012
or 7.2% of the 40.3 million Filipinos in the labor force. This was lower than the 7.4% unemployment rate
recorded in the same period last year.
Bureau of Labor and Employment Statistics (BLES)
Causes of unemployment:
Rapid Population
Growth Economic
Inflation
Economic Recession
Changing Technology
Demand for highly
skilled labor
Global Competition
Illiteracy
Over 70% of total labour force is illiterate or educated below primary level
Agriculture – backward farming 70 % population depend on it
Effects in Individual:
Unemployment
increases
susceptibility to:
malnutrition,
illness,
mental stress,
and loss of self-
esteem, leading to
depression.
As well as anxiety, it can cause depression, lack of confidence, and
huge amounts of stress. They will begin to lose social contacts, and good social
skills.
Effects in Individual:Unemployed individuals
are unable to earn money to meet financial
obligations. Failure to pay mortgage payments or to pay rent may lead
to homelessness through fo
reclosure or eviction.
Effects in Social :
During a long period of unemployment, workers
can lose their skills, causing a loss of human
capital. Being unemployed can also
reduce the life expectancy of workers
by about 7 years.
High
unemployment can
also cause social
problems such as
crime; if people
have less
disposable income
than before, it is
very likely that
crime levels within
the economy will
increase.
Types of UNEMPLOYMENT
SEASONAL UNEMPLOYMENT
- Seasonal unemployment
refers to a situation where a
number of persons are not able to find jobs during some months of
the year.
CYCLICAL UNEMPLOYMENT
-Because of business cycles, many firms reduce the demand for inputs, including labor in recessional
periods when production declines.
- Cyclical unemployment can be
zero in full expansions during a
business cycle.
TECHNICAL UNEMPLOYMENT
-Unemployment caused by
technological changes or new methods of
production in an industry or business.
FRICTIONAL UNEMPLOYMENT
-- This is a type of voluntary unemployment
that arises because of the time needed to
match job seekers with job openings. Just as friction always takes
place before the slider comes to its final
position on the surface, people need time to find
the best job, thus voluntarily rubbing back
and forth between choices and staying.
DISGUISED UNEMPLOYMENT
-- When more people are engaged in some
activity than the number of person
required for that, this is called disguised
unemployment. Disguised
unemployment exists where part of the
labor force is either left without work or is
working in a redundant manner
where worker productivity is
essentially zero.
-
Underemployment refers
to an employment situation
that is insufficient in some
important way for the
worker, relative to a
standard.
Under employment can also refer to:
1. "Overqualification" or "overeducation", or the employment of workers with high
education, skill levels, or experience in jobs that
do not require such abilities.
Under employment can also refer to:
2. "Involuntary part-time" work, where
workers who could (and would like to) be
working for a full work-week can only find
part-time work.
Under employment can also refer to:
3. "Overstaffing" or "hidden unemployment" (also
called "labor hoarding"), the practice in
which businesses or entire economies employ workers who are not fully
occupied.
EDUCATION is not the answer in unemployment and underemployment
Education is the
solution?
The most important lesson I have learned is that education
just doesn't prepare you for what comes next. Your degree might
teach you the skills you need for a workplace or career field, but it
won't show you how to get there !
INTRODUCTION
Formal education is not always the best way to give people practical skills. Educational programmes are seldom an initiative of
governments, and are frequently based on generic recommendations, more than on the specific needs of the economy. The result is a continuous mismatch between education provided
and labour market requirements.
THE RESULT IS THAT GLOBAL SCHOOL ENROLMENT RATES, ESPECIALLY AFTER PRIMARY SCHOOL, REMAIN VERY LOW. BUT THIS
IS BY NO MEANS THE ONLY PROBLEM. EDUCATION FOR ALL IS NOT NECESSARILY A SOLUTION IN ITSELF SO LONG AS THERE IS NO WAY OF
ASSURING THE QUALITY OF EDUCATION OFFERED.
Wangari Maathai
A solution to this would be the development of vocational training programmes. They have been
identified as a useful tool to give young people technical skills that are immediately usable without having the
problems of school fees and related costs.
According to the ILO: (International Labour Organization)
"The increase in the numbers of youth in secondary and tertiary education is a positive development; however, labour markets in many countries are presently unable to accommodate the expanding pools of skilled young graduates."
Technical Vocational Training and Education is the provision of skills, knowledge, attitude and values needed at work. In contrast to general education,
learning in TVET is centred on applied, as opposed to academic; it is about practical, as opposed to theory;
and it is about skills, as opposed to simplicity. It is meant to prepare learners for careers based on manual and practical activities and relates to a
specific trade in which the learner participates, hence the term vocational, while technical means that the learner directly develops expertise in a particular
group of techniques.
I would give the same advice that I would give myself: be brave, be flexible and look
forward. Because once the door of education closes behind you there
is really no other direction in which to go.
CONCLUTION