Economic harmful effects of unemployment :
1. Due to unemployment, labourers are exploited. They have to accept low wages and work under unfavourable conditions.
2. Production is impaired.
3. Production becomes less.
4. The capital formation becomes less.
Social harmful effects of unemployment :
1. The life span of people gets reduced.
2. The social level of people declines.
3. Conflicts may occur between the people of a community.
The Usual, Weekly and Daily levels of Unemployment :
- Usual level of unemployment : Those people who invest a lot of their time in doing the work are included in this. In our country, usual level work or work for 183 days is considered as median. The person who works for 183 or more days is called employed worker.
- Weekly level of unemployment : In weekly status unemployment, status of the person in the period of one week before the survey is considered, and if a person becomes the part of this work force, then he is considered as employed on weekly level, otherwise he is considered unemployed.
- Daily level of unemployment : In daily status unemployment, status of the person for each day in the seven days prior to the survey is considered. The daily status un-employment is the ratio of the labour days of weekly unemployment to per week total labour days.
Efforts by the government to create employment opportunities : Central and State government are regularly forming new programmes to create employment in the country.
These are divided into 2 parts, i.e., Direct and Indirect:
- Direct programmes : New programmes are being formed regularly by the government in direct manner. Steps are taken to provide security to the sectors like industries, hotels and transport. Government provides employment in these sectors in a direct way.
- For example: Government is trying its best to increase growth in the industries and thus it increases employment.
- Indirect Method : New programmes are being regularly formed by the government in an Indirect manner. The indirect methods not only improve the employment opportunities, but also place a positive effect on health services, primary education, water supply, housing facilities, construction of village roads, development of barren land, sanitation, etc. In this way, with employment at a side, full development takes place at rapid pace.
