Unemployment

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Poverty in India
From Wikipedia, the free encyclopedia

Beggar in Bodhgaya
India suffers from a lot of poverty, which means that many people there do not have enoughmoney. 27.5% of the population was living below the poverty line in 2004–2005.[1] Monthly per capita consumption expenditure is below Rs. 356.35 for rural areas and Rs. 538.60 for urban areas. 1 out of every 4 Indians earns less than $0.40 per day. 75% of the poor are in rural areas. Most of them are daily wagers and landless labourers.

A slum in India
A study was done by the McKinsey Global Institute. This study found 54% of the people living in India were living on a household income of less than 90,000 rupees a year. That means about a dollar per person per day.
National Commission for Enterprises in the Unorganised Sector (NCEUS) published a report in 2007. This report state, 77% of Indians (that means 836 million people), lived on less than 20 rupees per day (USD 0.50 nominal, USD 2.0 in PPP). Most of them have no job or social security. They live in abject poverty.[2][3]
One of the problems with estimating poverty in India is a lack of consistent and reliable numbers. McKinsey study quoted above (46% at $1 a day or above for a household size of 5) is off by a factor compared to 77% under $0.5 a day by NCEUS. To add insult to injury here are some industry numbers that do not fit well with 77% under $0.5 a day. * The number of cell phones in India was 250 Million [4] in Jan 2008; about 400 million in mid 2009 and slated to easily cross 500 Million [5] in 2010 with a current growth rate of over 10 million new cell phones a month. A growth that is clearly not abating. At $20–$200 per cell phone and $0.02-$0.04 a minute rate, it is a luxury that folks earning $1 a day cannot afford after paying for food, housing, clothes. * 2001 numbers for basic amenities from census bureau[6] for percentage household reach were Bi-cycles (45%); TV (31%); radio (33%) do not fit well with 77% under $0.5 a day. All these numbers tally well with industry news. Do note this is 2001 census, about 7 years before 77% under $.5 a day was computed. These are amenities households at $1 a day per person cannot afford let alone those with $0.5 a day per person. The country has grown between 7%-9% a year; i.e. almost GDP almost doubled in these 7 years.
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[change]Cause

Street children in India selling snacks and drinks to bus passengers
There are two views on the cause of poverty in India. * The Developmentalist View: According to this view, India suffers from poverty due to colonial exploitation. * The Neoliberal View: According to this view, the following are the causes of poverty. * Unemployment and underemployment * Lack of property rights * Dependence on agriculture * High population growth rate * Caste system * 10 measures for eradicating poverty from rural society of India * SWASTIK * During the last four decades of planning, the Indian Economy has witnessed a number of changes and the Indian economy stands on a different footing today. However, it is a sorry state of affairs that some of the major basic problems are no less serious today than what they were thirty years back. It may appear paradoxical but it is true that in spite of planned efforts to eradicate the problems of poverty has been increasing in India. * Nearly 50% of our population has been living below the poverty line continuously over a long period. Hence urgent action is necessary to devise an immediate plan of action to remove poverty. The strategy for removal of poverty is not enough. On the basis of past experience and difficulties uncounted in implementations of programmes appropriate steps should betaken to find out suitable alternatives for reducing poverty and inequality. * The major objective of planning should be elimination of poverty instead of giving emphasis on increase in national income. * In order to meet the problem of poverty various measures are to be taken. They are discussed below: * 1) Poverty and unemployment are interred related. Therefore, adequate employment opportunities should be created in rural areas particularly in agricultural sector. In order to eliminate agricultural unemployment it is necessary to improve agriculture in the country. Good seeds, good tools, good manure must be arranged for it if the production is to be increased. The major cause of agricultural unemployment in India is the dependence of cultivation upon the rains. Thus, there should be a proper and good arrangement of irrigation through minor and major projects. * 2) If conditions for marketing agricultural produce do not favor the cultivator, the increase in production will not alleviate the problem of agricultural unemployment. The organisation of the agricultural market will increase the income of the cultivator as well as improve the situation with regard to unemployment. * 3) The total impact of land reform on rural formation has been for less then had been hoped for. Effort should be made to remove the loop holes in land legislations in order to make land reform more meaningful and effective additional lands should be redistributed among landless laborers, the marginal sub marginal farmers, so that they will be able to earn more. Effort should be made to provide the landless laborers with maximum of land by making barren land fertile. * 4) Animal husbandry and cattle breeding have great potential, not only in unemployment but also in overcoming malnutrition. The government should extent special encouragement for animal husbandry, poultry and fish farming. Necessary training for poultry and diary farming should be imparted. * 5) An improvement in agriculture, not supplemented by any other corrective measure cannot provide employment to the increasing population. Besides the farmer should also get some work during that period of the year when he is not engaged in cultivation. Some of subsidiary industry, such cottage industry like furniture making, weaving, spinning, match, barked and ropes etc, can help to a considerable extent in removing unemployment. * 6) In spite of the promise of industrial decentralisation which never seems to arrive. There are some areas of small industries which could, in fact, he located in rural areas. A major element in creating employment in rural areas must mean a removal of some small industrial estates into purely rural areas. They will carry their power allocations with them and could then be an element in small scale industrialisation in rural areas. * However, this by itself will not be adequate to foster rural industrialisation in a dynamic sense. What is required is a new concept of modernisation combining Indian Traditional rural artisan skills with power availability and with an appropriate technology. A substantial portion of value added can appear from units set up efficiently in areas where artisans can greatly increase their output by modernisation of their technology. * 7) There is the need to strengthen all the poverty alleviation programmes, particularly IRDP. All the organisation deficiencies in an execution of the programme such as the shortage of technical and expert staff, delays in release of funds and inadequacies in funds, lack of proper co ordination should be removed. It is essential to see that the target groups are not wrongly selected to ensure leakage of benefits to the non poor. Other drawbacks in the programme implementation such as right and non-co-operative attitudes of the officials, corrupt practices in sanctioning of loans should also be taken into consideration. * Efforts are to be made to remove the deficiencies in the implementation of TRYSEM programme such as poor infrastructural support to enable the trainees to follow the pursuits, lack of co-ordination among DIC, banks and Training Institute and lack of follow up to the trained. Govt instead of sticking to only few traditional crafts, new vocations conducive for income generating activities should be selected in order to make TRYSEM and DWCRA programmes more effective. * Adequate care is to be taken that while implementing JRY. The ingredient are not missed in it on the whole, for smooth implementation of various programmes the entire administrative set up should be properly co ordinate. * 8) The personal disabilities of a person include illness, physical handicap, old age etc and for this the methods suggested are specialised health services, adequate wage provision to maintain health, other social security schemes and new vocational opportunities. * 9) The recent increase in population and pressure exercised on the limited resources of the country has brought to the forefront the urgency of the problem of family planning and population control. Thus, family planning or family welfare programmes should be effectively implemented. Adequate awareness about small family norm has to be created among the people and steps should be taken to make it a people programme. * 10) There is lack of political and social awakening among the rural people. The programme of poverty alleviation is not so simple as to be successfully solved by the Government, thus there is a great need for political and social awakening. People should be made aware of various programme and benefits of these programmes, so that people at the lowest rung of Rural Society may make substantial progress in making their lives more economically productive. * Eradication of poverty needs a multiplied strategy. But as things stand the most important, indeed the central one, has to be the creation of massive wage employment opportunities both on private and public accounts in rural areas. Then other programmes will provide opportunities for the able and the enterprising. It is time resources organisation and skill is directed to this end, if poverty is to be tackled in the decade to come. * How to remove unemployment in India? * Steps to Remove Unemployment * Indian Economic Development and Elementary Statistics * 2. Adoption of Labour Intensive Techniques: * Despite the fact that the Strategy of Prof. Mahalanobis for basic and key industries is based on capital intensive techniques, our government should try to adopt labour intensive techniques for new fields of production. * 3. Rapid Industrialization: * To solve the problem of industrial unemployment, remedy lies in stepping up industrial efficiency. It means that the expansion of existing and the development of new industries are urgently required. Some basic industries like iron and steel industries, defense, chemical, power generation and atomic etc., should be set up. * 4. Population Control: * There is no second opinion to say that population in India is rising at a very high speed. Unless this problem is not checked, the problem of unemployment cannot be solved properly. * Efforts should be made to raise the agricultural and industrial production. Therefore, special drive should be made to make the programme of family planning a good success especially in rural and backward regions of the country. * 5. Re-orientation of Education System: * As regards the problem of educated unemployment in urban areas, India should reconstruct and overhaul the education system according to the changing environment of the country. * There must be vocationalisation of education. Proper education should be imparted to the younger men who will be in position to start certain cottage and small scale industries of their own choice especially at village level. * 6. Extension of Social Services: * India is still lagging behind in the sphere of education, medical science and other services as compared to the advanced countries of the West. Therefore, efforts should be made to extend these services to rural folks in the backward regions of the country. * 7. Decentralization: * Experience shows that lack of gainful opportunities of employment in villages and small towns has led to the migration of people to metropolitan cities in search of alternative jobs. * This has created the problem of over crowdedness and urbanization. Under these circumstances, it is advisable to encourage industries around small towns preferably according to the local environments. * 8. Encouragement to Small Enterprises: * To provide the opportunities for self employment, small scale industries should be given top priority. They should be provided liberal loans, raw material training facilities and infrastructure and market facilities etc. * It is a good luck that Sixth Five Year Plan (1980-85) has given due consideration to provide these facilities under the scheme of self-employment. Similar steps have been proposed in Eighth Five Year Plan. * 9. Guiding Centers and More Employment Exchanges: * The economists are of unanimous view that more employment exchanges should be opened in rural as well as in urban areas to give guidance to the people to search employment. They should also be motivated for self employment proposals. * 10. Rural Development Schemes: * As rural sector is dominant and agriculture is the basic occupation of the people, therefore, urgent need of the hour is to introduce rural development schemes. * It is correctly believed that there is no other remedy than a massive programme of investment in rural development and massive injection of science and technology into the methods of production followed in rural areas in their agricultural and non-agricultural activities. * -------------------------------------------------
Unemployment
* From Wikipedia, the free encyclopedia * For payments paid to unemployed people, see unemployment benefits. For unemployment in the USA, seeunemployment in the United States. * * Unemployed men outside a soup kitchen in Chicago, 1931 * Unemployment (or joblessness) occurs when people are without work and actively seeking work.[1] The unemployment rate is a measure of the prevalence of unemployment and it is calculated as a percentage by dividing the number of unemployed individuals by all individuals currently in the labor force. During periods of recession, an economy usually experiences a relatively high unemployment rate.[2] In a 2011 news story, BusinessWeek reported, "More than 200 million people globally are out of work, a record high, as almost two-thirds of advanced economies and half of developing countries are experiencing a slowdown in employment growth".[3] * There remains considerable theoretical debate regarding the causes, consequences and solutions for unemployment. Classical economics,New classical economics, and the Austrian School of economics argue that market mechanisms are reliable means of resolving unemployment.These theories argue against interventions imposed on the labor market from the outside, such as unionization, minimum wage laws, taxes, and other regulations that they claim discourage the hiring of workers. Keynesian economics emphasizes the cyclical nature of unemployment and recommends interventions it claims will reduce unemployment during recessions. This theory focuses on recurrent shocks that suddenly reduce aggregate demand for goods and services and thus reduce demand for workers. Keynesian models recommend government interventions designed to increase demand for workers; these can include financial stimuli, publicly funded job creation, and expansionist monetary policies. * In addition to these comprehensive theories of unemployment, there are a few categorizations of unemployment that are used to more precisely model the effects of unemployment within the economic system. The main types of unemployment include structural unemployment which focuses on structural problems in the economy and inefficiencies inherent in labour markets including a mismatch between the supply and demand of laborers with necessary skill sets. Structural arguments emphasize causes and solutions related to disruptive technologies and globalization. Discussions of frictional unemployment focus on voluntary decisions to work based on each individuals' valuation of their own work and how that compares to current wage rates plus the time and effort required to find a job. Causes and solutions for frictional unemployment often address barriers to entry and wage rates. Behavioral economists highlight individual biases in decision making and often involve problems and solutions concerning sticky wages and efficiency wages. Contents [show] | * -------------------------------------------------
[edit]Definitions, types, and theories * * * "Driver looking for work" Unemployed German laborer in 1949 * Economists distinguish between various overlapping types of and theories of unemployment, including cyclical or Keynesian unemployment, frictional unemployment, structural unemployment and classical unemployment.[4] Some additional types of unemployment that are occasionally mentioned are seasonal unemployment, hardcore unemployment, and hidden unemployment. The U.S. BLS measures six types of unemployment, U1–U6. A recent alternative classification is intoobstructional, developmental, and contractional unemployment.[5] * Though there have been several definitions of voluntary and involuntaryunemployment in the economics literature, a simple distinction is often applied. Voluntary unemployment is attributed to the individual's decisions, whereas involuntary unemployment exists because of the socio-economic environment (including the market structure, government intervention, and the level of aggregate demand) in which individuals operate. In these terms, much or most of frictional unemployment is voluntary, since it reflects individual search behavior. Voluntary unemployment includes workers who reject low wage jobs whereas involuntary unemployment includes workers fired due to an economic crisis, industrial decline, company bankruptcy, or organizational restructuring. * On the other hand, cyclical unemployment, structural unemployment, and classical unemployment are largely involuntary in nature. However, the existence of structural unemployment may reflect choices made by the unemployed in the past, while classical (natural) unemployment may result from the legislative and economic choices made by labour unions or political parties. So, in practice, the distinction between voluntary and involuntary unemployment is hard to draw. The clearest cases of involuntary unemployment are those where there are fewer job vacancies than unemployed workers even when wages are allowed to adjust, so that even if all vacancies were to be filled, some unemployed workers would still remain. This happens with cyclical unemployment, as macroeconomic forces cause microeconomic unemployment which can boomerang back and exacerbate these macroeconomic forces. * -------------------------------------------------
What is Human Resource Development (HRD) ? * inShare * * | The field of HRD or Human Resource Development encompasses several aspects of enabling and empowering human resources in organization. Whereas earlier HRD was denoted as managing people in organizations with emphasis on payroll, training and other functions that were designed to keep employees happy, the current line of management thought focuses on empowering and enabling them to become employees capable of fulfilling their aspirations and actualizing their potential. This shift in the way human resources are treated has come about due to the prevailing notion that human resources are sources of competitive advantage and not merely employees fulfilling their job responsibilities. The point here is that the current paradigm in HRD treats employees as value creators and assets based on the RBV or the Resource Based View of the firm that has emerged in the SHRM (Strategic Human Resource Management) field.The field of HRD spans several functions across the organization starting with employee recruitment and training, appraisals and payroll and extending to the recreational and motivational aspects of employee development. | * Indeed, one reason for the emergence of the RBV or the SHRM paradigm is that with the advent of the service sector and the greater proportion of companies in the service sector, employees are not merely a factor of production like land, labor and capital but in fact, they are sources of competitive advantage. This is characterized by many CEO’s calling employees their chief assets and valuing their contribution accordingly. As a matter of fact, many IT and Financial Services companies routinely refer to employees as the value creators and value enhancers rather than just resources doing their job. * What this has meant is that the field of HRD has become prominent and important for organizations and has morphed into a function that takes its place among other support functions in organizations and indeed, it is the main driver of competitive advantage. Further,the field of HRD now has taken on a role that goes beyond employee satisfaction and instead, the focus now is on ensuring that employees are delighted with the working conditions and perform their jobs according to their latent potential which is brought to the fore. This has resulted in the HRD manager and the employees of the HRD department becoming partners in the organization’s progress instead of just yet another line function. Further, the HR managers now routinely interact with the functional managers and the people managers to ensure high levels of job satisfaction and fulfillment. The category of people managers is a role that has been created in many multinational companies like Fidelity and IBM to specifically look into the personality related aspects of employees and to ensure that they bring the best to the table. * Finally, HRD is no longer just about payroll or timekeeping and leave tracking. On the other hand, directors of HRD in companies like Infosys are much sought after for their inputs into the whole range of activities spanning the function and they are expected to add value rather than just consume resources. With this introduction, we will be moving into the module covering HRD with each aspect of the HRD function and the associated topics being covered here. It is hoped that the readers would gain an overall perspective about HRD after going through the HRD module.
The Importance of HRD
By Kevin Sandler, eHow Contributor * * * * Print this article
HRD can happen through training and efficient utilization of resources.
Human resource development (HRD) is an essential component for growth and economic development. It can occur at both the nationwide level and the firm-wide level. The enhancement of HRD of a country is dependent on the government and national policies, while at the firm or micro level HRD can happen through training and efficient utilization of resources. Resources are efficiently utilized to support HRD when the maximum benefit is created at the lowest possible cost.
Other People Are Reading * About HRD * The Benefits of HRD 1. Economic Development * As the human resources of a country develop, the country progresses and the benefits spread all over the country. Better skilled and well-trained human resources attract a larger foreign direct investment into the country and improve the brand image of the country internationally. HRD for an economy is dependent on the economic policy of the government and the effort by the institutions in the economy to actively participate in the development process.
Increase in Entrepreneurial Activity * Human resource development may occur as a result of better education, training or development of vocational skills for individuals. This activity results in an increase in entrepreneurial activity due to the creative process that is encouraged by HRD. Moreover, even in an economy faced by high levels of unemployment, vocational training can generate substantial number of entrepreneurs who look for self-employment. Thus, HRD opens more options and wider avenues of success for individuals. * Sponsored Links * Get New Customers Online
Advertise On Google. Get 2000 INR Advertising Credit When You Sign-Up www.Google.com/AdWords Increase in Productivity * HRD leads to better and efficient utilization of the available resources. The same numbers of individuals are able to improve their performance through training or learning of more productive skills. This leads to an increase in productivity in the same company at the firm-wide level and to an increase in the overall value of goods produced at the country-wide level. An increase in productivity of employees generates high economic progress for the country.
Counteracting Social Taboos * HRD can lead to a change in social perception of many people and can result in the development of the society. Better educated and skilled workers can think and act more constructively and result in a change of the social environment. Improved education leads to self-awareness and prevents individuals from embracing superstitions.
Human Rights * A better trained and educated workforce is well aware of its rights and is better able to protect against human rights violations. Workplace environments improve and workers rights are acknowledged with HRD.

Profitability * At the firm-wide level, HRD leads to increased productivity and better client service. This leads to increased revenues at reduced costs for the company. Most companies today are focused on hiring a well-trained and competitive workforce in order to develop a unique selling point and enhance their profitability.
Demographic Effect * HRD results in more households with two working parents. This provides enhanced income for the household and at the same time reduces the time available to parents for raising kids. As a result, a better educated workforce results in a smaller increase in the population of the country. For countries like India, HRD can help prevent the population from increaseing beyond control. *