Unemployment can be described as a situation when a person is physically and mentally capable to work with an eligible remuneration, but doesn’t get a chance to prove himself. Unemployment in other words means only unintentional unemployment where a person willing to work at the existing wage rate does not get a job.
According to The Economist, Indian labor laws are inflexible and restrictive, and this is one of the reasons for the unemployment situation, combined with its weak infrastructure.
Below are the main causes of unemployment in India:
Unprogressive Growth of Economic
The Indian economy is developing yet the role of economic growth is very slow because of conservatism, superstition, lack of ambition, undue respect for customs. This slow growth failed to provide adequate unemployment opportunities for a growing population.
Constant Rising of Population
India can be hailed as the second-most populous country in the world and this constant hike in population has been a big issue in India. Behind unemployment, the huge population is the main cause. According to the 10th plan, the unemployment rate in India is 11.1%.
Agriculture is a Seasonal Occupation
In India, about 60% of the population is dependent on agriculture for their income and that’s why India is considered an agricultural country. Due to the seasonal nature of agriculture in India, jobs are available for a few months, but the rest of the time people suffer from unemployment.
The slow-moving Growth of industrialization
In India the rate of industrial growth is very slow, despite the emphasis on industrialization, employment opportunities are very low as a result of slow industrialization.
Shortage of Electricity
India faces a shortage of electricity in different rural parts of the country. Due to the shortage of electricity, the growth of the industry is very slow and people are being neglected day by day. Due to the crisis of coal and raw materials, people do not get employment throughout the year.
In India, people are divided into several castes and Indians often follow the caste system. Thus, work has been specified for certain casts in some areas. In many cases, the job is offered to people in a certain community who are not fully qualified for the job but qualified candidates who are seeking a job with interest and who are definitely punctual about their career do not get the job. So it gives birth to unemployment.