Labor force include all persons who are of ten years and above , and during the period are without work, currently available for work and seeking for work. According to Stats the unemployment rate increases from 7.40% in 2009 to 15.20% in 2010. The percentage change is 105.41% which is the worst in last 10 years.
Major Causes of Unemployment:
Employment in the private sector absolutely stopped because they shifted their capital to other countries because of nationalization of industrial units badly affected the investment industrial sector.
The higher growth rate of population is the major cause of unemployment in Pakistan. The resources of the country are limited because population has exceeded the optimum level.
Karachi, Lahore, Sialkot and Faisalabad are the biggest industrial base of Pakistan, but investors are reluctant to invest there because of unrest and violence.
Our educational system is also responsible for increasing unemployment rate among the educated youth. The attitude of our youth towards the choice of a career is unrealistic and unproductive. Rapid mechanization and computer technology also causing unemployment.
Lack of infrastructure and facilities in the field of energy, telecommunication and transportation also prevent the industrialist from setting up new industries.
Lack of enough industries to employ ever increasing number of graduate in Pakistan
The government is not involving in capital expenditures which create more jobs.
Main issue of unemployment in our country is that whenever a new technology comes as software or hardware then all the people starts studying about that. Then at the end, you will see ten thousand students of a particular field about 5 to 10 job vacancies.
Things are not handled in appropriate manner, as the vacancies are less but job seekers are more than that.
Opportunities are not enough and system of reference is so much indulged in our society that if a company needs employees then workers of that company will provide some resume to them of their relatives and friends so in this way many people don't get the opportunity to apply for those jobs.
Suggestions:
Economic Revival package should announce by the government for the revival of industries sector, to stimulate production and investment.
Government should try to boost exports through broadening the tax base and lowering tariffs.
Government should announce multiple packages for the development of agriculture sector.
A number of fiscal and monetary measures should be taken to attract industrialists and particularly foreign investment.
Technical training facilities should be provided. In this way unemployed people will get a chance to enhance their skills and become able to earn more reason able income.
The education system and institutes should take initiative and show way to the unemployed youth of Pakistan. The small - medium enterprises have lot of scope in the country. The unemployed youth should be encouraged by the institute to start their own business for the betterment of the Pakistan. As it is better to help yourself as no one can help you.