Topic: UNEMPLOYMENT IN PAKISTAN

PRESENTED BY:

Group Members: Abdul Raffay - 31072

Faisal Ilyas – 31181

Faiza Nasir – 20373

Moeed Shahid - 30947

Mohsin Ahmed Khan - 30932

Introduction

Factors of Unemployment

Unemployment Rate in Pakistan

Suicide Cases By Unemployment

Causes of Unemployment

Conclusion

PRESENTATION AGENDA

Definition:

Unemployment refers to a situation in which the workers who are capable of working and willing to work do not get employment.

UNEMPLOYMENT

Copyright©2003 Southwestern/Thomson Learning

Unemployment Rate 2005-2015

The factors of unemployment are numerous. But the major factors of unemployment in Pakistan

are as follows:

1. Poor Governance

2. Political Instability

3. Corruption

Major Factors Of Unemployment In Pakistan

1. Poor Governance: Good governance is an essential pre-condition for employment as it establishes the enabling

regulatory and legal framework essential for the sound functioning of land, labor, capital and

other factors of market

Whereas good governance is considered to be non-existent in Pakistan and poor governance is

taken one of the key underlying causes of unemployment in Pakistan.

Factors of Unemployment

2. Political Instability: Political stability is fundamental to the creation of an enabling environment for growth and

development.

Unfortunately the political dilemma has furthermore cornered this issue

Factors of Unemployment

2. Political Instability: Economic agents , particularly investors , must be reassured with regard to the continuation

of policies ,should have confidence in the government’s credibility in order to operate effectively , and in the case of investors ,be induced to take risks .

Factors of Unemployment

3. Corruption:

Corruption is one of the most dangerous factor that eroded Pakistan’s economic and governance system since its inception.

In 2008, Pakistan was ranked as the 46th most corrupt country out of the 180 countries of the world.

The persistently rampant corruption in Pakistan not only jeopardizes its resolve to fight against unemployment rather adding to the menace of unemployment from all direction.

Factors of Unemployment

Unemployment Rate in Pakistan

Suicide Cases By Unemployment

Over the same period, 1,160 cases of attempted suicide were reported. According to the report:

469 people committed suicide for domestic reasons

136 because they were unemployed 193 over disputes within families 74 over the rejection of marriage proposals 85 after fights with parents 97 because of poverty 159 for other reasons.

“

”Unemployment is capitalism's way of getting you to

plant a garden. 

- Orson Scott Card

The causes are endless and countless. But the major causes of unemployment in Pakistan are as

follows:

1. Economic Causes

2. Social Causes

3. Financial Causes

Major Causes Of Unemployment In Pakistan

Low Industrial Growth Rate:

Low industrial growth rate is 1.7 % in Pakistan.

Number of industries is not increasing in Pakistan.

Lack of industries means less opportunities of employment.

1. Economic Causes

Reduction In Foreign Employment:

Due to illiteracy, ill training and lack of skill & efficiency demand for our labor in foreign market is decreasing.

Use Of Advanced Technology:

A poor country uses backward techniques of production and labor intensive technologies.

When it uses the advanced technology there spread more unemployment in the country.

1. Economic Causes

High Population Growth Rate:

The population of Pakistan is increasing at a rate of 2.1 %. Due to high rate about two million people enter into the labor market each year.

Law And Order Situation Of Karachi:

Karachi is the biggest and an ideal place in terms of industrial base of Pakistan. Investors are not willing to invest in Karachi due to violence that has taken

over Karachi in the past few years.

2. Social Causes

Lack Of Confidence In Educated Persons:

A student may have a master’s degree ,but when he walks into an office for his interview , he lacks confidence.

In the end so many students of this type are rejected and left unemployed.

2. Social Causes

Illiteracy & Literacy:

Illiteracy and literacy both are the causes of unemployment in Pakistan. Due to Illiteracy people are not able to work and they remain unemployed. On the other hand number of educated is increasing annually but government is unable to

create employment opportunities e.g, students of B. Com. are increasing at very fast speed but they cannot find jobs and admissions for higher education.

Rate of illiteracy in Pakistan is 42.3 %.

2. Social Causes

Lack Of Credit Facilities:

It is so difficult to manage the personal business and self-employment due to absence of easy credit facilities.

Accordingly, shortage of credit facilities is also a main cause of unemployment.

Deficiency Of Capital: There is shortage of capital that leads to low level of saving and investment in

Pakistan. It results in low rate of capital formation and caused in unemployment.

3. Financial Causes

In conclusion, another erupting challenge standing before Pakistan is wide-spread unemployment. Thousands of educated graduates are jobless.

Hundreds of thousands of unemployed workers are forced to lead their lives below their status.

Large scale unemployment has serious effects on the country’s production also.

Moreover, the country’s population has drastically increased during recent years.

CONCLUSION

Therefore, every step taken to improve the living standard of common man proves to be futile and ineffective. Progress and prosperity is impossible without the reduction in unemployment.

We conclude that there are two major elements, which can reduce the unemployment Use of labor intensive industries Adoption of self-reliance policy.

CONCLUSION

“

”The hardest work in the world is being out of work. 

- Whitney Young, Jr.