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Unemployment in India

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Unemployment in India

India has been facing huge problem of unemployment and underemployment from years. The state of joblessness for an able man and who is willing to work is known as unemployment. Unemployment is much higher in urban areas than in rural areas and too women face the unemployment more.


Unemployment can be voluntary or involuntary according to some economists and social thinkers. A voluntary unemployment is the condition when a person is out of job just for his own desire due to any reason. In involuntary unemployment a person is separated from remunerative work and devoid of wages inspite of having all the capabilities.

Various problems like enormous increase in the population, age, vocational unfitness and physical disabilities, technological and economic factors have caused this problem. Other problems also contribute towards unemployment. Several socio-economic problems like poverty, malnutrition, antisocial and criminal activities, drug and substance abuse, etc. are the result of ill effects of unemployment.

According to NSSO survey the overall unemployment rate was 7.3% in 1999–2000, the unemployment rate in rural areas was 7.2% and that in urban areas was 7.7%. Due to the regulation and many further obstacles almost 30% of workers are occasional workers who work only when they get jobs and remain unpaid for the rest of the time. Only 10% of the workforce is in regular employment.

Five year plans has introduced several employment generating schemes and programs over the years but due to lack of proper implementation and monitoring didn’t achieved the required targets. The Rural Employment Guarantee program is a praiseworthy effort by UPA Government as it will provide employment to rural people for a minimum hours even during natural calamities like drought, floods and so on.

Underemployment, disguised unemployment, regional imbalances in the unemployment scenario in India are another important factors. Unemployment in India has increased and is expected to increase further to 30% by 2020. The decline in job creation in agriculture has been identified as one of the important reasons behind the increasing unemployment in India.
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