The barrier in Economic Growth “Unemployment”
By: Abdullah Sohail
Tags: Energy Crisis, Hard Work, Unemployment, Economic Growth

Unemployment in Pakistan

It is a ground reality that unemployment has become the number one problem of Pakistan. This is mounting by leaps and bounds not just in rural areas but also in urban areas of Pakistan. Many top leading universities of Pakistan producing thousands of young graduates every year but they are failed to provide a good job on completion of their degree. It is a fact that we catch from our friends or relatives who do not get a job even after graduation. According to a survey conducted in 2017 in Pakistan, unemployment has increased to 5.7% and it is still growing. This is a very frightening situation especially for the youth as they are looking to get a job as soon as they have a degree in their hands. But sadly, we are lacking to provide sufficient measures to reduce this unemployment rate. To address this untiring issue, we should look deep into the reasons behind this prevailing unemployment. Although there are numerous causes of this constant issue, some of the major bases of the problems are the following.

Causes

A rapid growth in population

The growth rate of Pakistan is considered as one of the highest population proliferates. The rapid growth of the population is also one of the major determinants of increasing the unemployment rate of Pakistan. There are several reasons for population growth; the need for family planning education, the need for women empowerment, scarcity, fondness to have more sons and many other constraints are there.

Rapid Growth in Population

Constant slump

The current economic crisis in Pakistan is vast due to this there are many trade-offs we can see from the last couple of years. The global slump has affected Pakistan’s economy but unfortunately, we failed to take unusual measures to get rid of the crisis. IMF has agreed to provide a loan of $6 Billion to support Pakistan’s economic condition which may help to have sustainable growth in the country. It may also help to diminish the unemployment rate in the country.

Impact on inflation

The rise in the general price level reduces the buying power of people. Monetary policy can be used to maintain the general price level. The management should also take serious measures to improve employment, so customer’s cost of living does not increase; hence there is a positive revolution in the economy and no increase in inflation.

Culture of Preference (Sifarish)

We can perceive the culture of Preference everywhere in Pakistan. Regardless of the fact, whether you are looking for a job in the private sector or public sector. The culture of Preference (Sifarish) exists there. Such social problems are also one of the major reasons for unemployment. People, who are hard-working and are skilled, don’t get a good job because they don’t have any reference or sifarish. Such kinds of favored treatment should be eliminated from the system and Jobs should be given on merit basis.

High Age of Retirement

Most of the youth are on the waiting list for their turn. Most probably, in several industries, there are several peoples whose ages are more than 60 years and they are still working on different positions, due to this the company have not to space to occupy other candidates, that’s why they don’t open their requirements for a lot of years, and there are thousands of candidates passed out every year and don’t get a job.

Ways to Solve this problem of Unemployment

It will be a difficult task for the government to solve one of the major crucial problems of Pakistan “Unemployment” due to rapid growth in population but still, we have given some solutions to reduce the unemployment in Pakistan and we are hopeful by following these solutions the rate of unemployment in Pakistan can be reduced or decreased.

The first taken to reduce unemployment in Pakistan is the proper planning by the government of Pakistan.

The education system would be equal and well organized.

Vocational and training institutions should be established

The age of retirement would be at least 55 years.

Eliminate energy crisis from Pakistan so that investor comes to Pakistan so, jobs can automatically be created.

The agriculture sector in Pakistan should be developed.

Jobs must be given purely on a merit basis rather than nepotism.

Family planning institutes or centers should be opened to control the growth of overpopulation.

Conclusion

The price of success is hard work, dedication to the job at hand, and the determination that whether we win or lose, we have applied the best of ourselves to the task at hand.