A Report on
Unemployment Problem in Bangladesh Submitted to: Didar Hossain Faculty, Faculty, College of Arts and Science Submitted by: Group Name: Spark Member: Name
ID
1 .Shegufta Shahrin
13103170
2.Shamanta Islam
13106198
3.Firojul Islam
13106195
4.Mahtab Hossain
13106186
5.Yeasir Arafat
13106200
6.Md Shofiqul Islam
13106202
Date:22/03/ 2013 1
Table of Contents Contents
Page
1.Title Page
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2. Table of Contents 3.List of Graphs 4.Body
2 3 4-14
4.1: Intoduction:
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4.2 History of unemployment in Bangladesh 4.3 Cause of unemployment
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4.4 Bangladesh unemployment Rate
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4.5 Effect of unemployment problem:
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4.6 UNDP report about Bangladesh:
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4.7 Unemployment is turning into a very serious issue 4.8 District wise Unemployment
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Recommendations
14
5
13
Conclusion
15
List of References
16
2
Graph No-1
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Body: 4.1: Intoduction: Unemployment means the state of being without any work both for the educated and uneducated for earning one’s livelihood. Unemployment problem has become a great concern all over the world. But nowhere in the world is this problem as acute as in Bangladesh. Thousands of people in our country are without any job.Unemployment scenario of the graduate level in Bangladesh has been a serious problem. Lately, graduates are more prone to acquire business education, which is more transferable to the t he job. Despite that, the business graduat es are frustrated with the burden of education, as there are concurrent occurrences of joblessness. Ho wever, the prevalent dilemma of employability appears, as there are imbalances due to expected skills/qualifications by the ultimate employers.
Description: 4.2 History of unemployment unemployment in Bangladesh: Historically for a long time British administration was the main cause of this problem. After ending Mughol reign when British came in Sub continent (India, Pakistan, Bangladesh) they started to do business, they exploited the sub-continent. They did not establish any Industry which is helpful to remove the unemployment problem. Though some Industry was made but all of them were placed in Indian Terr itory. itory. So Bangladesh region was neglected from the Br itish period. After ending British rule in 1947 Pakistan adopted the same rule they established all kinds of Industry in West Pakistan not in East Pakistan. As a result of Pakistani monopoly rule we saw the freedom fighting war in 1971. After nine months continuous war it is divided and named East Pakistan as a Bangladesh. After 1971 Bangladesh has been facing political crisis badly. As a result no government can take long term massive step to remove the unemployment problem. Within 37 years Bangladesh has experience about eight new governments and two assassination incident at the top level country leader. So now political crisis is one of the major causes of unemployment problem in Bangladesh. Among others two t wo major parties BNP and Aowamileague are busy to gain only political power. None of these parties are trying to do 4
anything to solve the country’s co untry’s major problem “UNEMPLOYEMENT PROBLEM” Recent attitude and activity of political parties are very hateful to the common people. peop le. By election if a party goes to power then another party cannot accept that, they do not go to parliament they do not express constructive opinion in the parliament which is helpful for common people. But they should not do it. May be there is some discrimination d iscrimination of the election result but there are overall acceptation of the common people.
4.3 Cause of unemployment: unemployment:
Rapid Population Growth Limited land
Fragmentation of land
Backward Method of Agriculture
Decline of Cottage Industries
Defective education
Inadequate Employment Planning
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Rapid Population Growth:
It is the leading cause of unemployment in Rural Bangladesh, particularly in rural areas, the population is increasing rapidly. It has adversely affected the unemployment situation largely in two ways. In the first place, the t he growth of population directly encouraged the u nemployment by making large addition to labour force. It is because the rate of job expansion could never have been as high as population growth would wou ld have required. It is true that the increasing labour force requires the creation of new job opportunities at an increasing rate. But in actual practice employment expansion has not been sufficient to match the growth of the labor force, and to reduce the back leg o f unemployment. This leads to unemployment situation secondly; the rapid population growt h indirectly affected the unemployment situation by reducing the resources for capital formation. Any rise in population, over a large absolute base as in India, implies a large absolute abso lute number. It means large additional expenditure on their rearing up, maintenance, and education. As a consequence, more resources get used up in private consumption such as food, clothing, shelter and some on in public consumption co nsumption like drinking water, electricity medical and educat ional facilities. facilities. This has reduced the t he opportunities of diverting a larger proportion of incomes to saving and investment. Thus, population growth has created obstacles in the way of first growth of the economy and retarded the growth of o f job opportunities.
Limited
land:
Land is the gift of nature. It is always constant and cannot expand like population growth. Since, the population rate in Bangladesh increasing rapidly, rapidly, therefore, the land is not not sufficient for the growing population. As a result, resu lt, there is heavy pressure on o n the land. In rural areas, most of the people depend d directly irectly on land for their livelihood. Land is very limited in comparison to population. It creates the unemployment situation for a large number of persons who depend on agriculture in rural areas.
Fragmentation of land:
In Bangladesh, due to the heavy pressure on land of large population results the fragmentation of land. It creates a great obstacle in the part of agriculture. As land is fragmented and agricultural work is being hindered the peo ple who depend on agriculture remain unemployed. This has an adverse effect on the empl e mployment oyment situation. It also leads to the poverty of o f villagers.
Backward Method of Agriculture:
The method of agriculture in Bangladesh is very backward. Till T ill now, the rural farmers followed the old farming methods. As a result, the farmer cannot feed properly many people by the produce of his farm and he is unable to provide his children with proper education or to engage them in any profession. It leads to unemployment problem.
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Decline of Cottage Industries:
In Rural Bangladesh, village or cottage industries are the only mans of emp loyment particularly of the landless people. They depend directly on various cottage cott age industries for their livelihood. But, now-a-days, these are adversely affected by the industrialization process. Actually, it is found that they cannot compete with modern factories in matter or production. As a result of which the village industries suffer a serious loss and gradually closing down. Owing to this, the people who work in there remain unemployed and unable to maintain their livelihood.
Defective education:
The day-to-day education is very defective and is confirmed within the class room only. Its main aim is to acquire certifi cert ificated cated only o nly.. The present educational system is not job oriented, it is degree oriented. It is defective on the ground that is more general then the vocational. Thus, the people who have getting general education are unable to do any work. They are to be ca lled as good for nothing in the ground that they cannot have any job here, they can find the ways of self employment. It leads to unemployment as well as underemployment.
Inadequate Employment Planning:
The employment planning of the government is not adequate in comparison to population growth. In India India near about two million million of people are added yearly to our existing existing population. But the employment opportunities did not increase according to the proportionate rate of population growth. As a consequence, a great difference is visible between the job opportunities and population growth. On the other hand it is a very difficult task on the part o f the Government to provide adequate job facilities to all the people. Besides this, the government also does not take adequate step in this direction. The faulty employment planning of the Government expedites this problem to a great extent. As a result the problem of unemployment is increasing day by day
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4.4 Bangladesh unemployment Rate: According to figure no-1 Unemployment Rate in Bangladesh decreased to 4.50 percent in 2010 from 5.10 percent in 2009. Unemployment Rate in Bangladesh is reported by the Bangladesh Bureau of Statistics. Historically, from 2003 until 2010, Bangladesh Unemployment Rate averaged 4.6 Percent reaching an all time high of 5.1 Percent in December of 2009 and a record low of 4.3 Percent in December of 2006. In Bangladesh, the unemployment rate measures the number of people actively looking for a job as a percentage of the labour force. This page includes a chart with historical data for Bangladesh Unemployment Rate.
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4.5 Effect of unemployment unemployment problem: problem: The effects of rural-urban migration in Bangladesh are analyzed to identify a relationship between migration and underdevelopment. Poverty, unemployment and natural hazards appear to be the main reasons for the rural exodus. The preference for moving to a large city is found to be determined by the urban bias in planning both by national and international authorities, and by the public amenities and resources available in the urban areas. An analysis of the levels and trends in urbanization reveals the notable role. Rural-urban migration in the rapid growth of the urban po pulation. Most migrants are young, unmarried males of working age. A case study of migrants in Dhaka City illustrates the reasons for and consequences of migration. It is concluded that rural-urban migration is mainly a survival strategy of o f the rural poor. To think about greater welfare of the country they should keep patient, they should support the Government they should assist the Government to take the t he long term strategy to remove the unemployment problem. I f we watch towards Japan, Korea, Malaysia what we will see? Due to Industrialization they have changed a lot. Without Industrialization no nation can expect strong economic basement and solution of unemployment problem. After political settlement the first and foremost thing for Banglades h is, to build up industry to remove the unemployment problem. If they can assure the political calm and stable situation, then foreigner will come to invest in manufacturing secto r to build new industry. In this respect Transportation, Road and Highway, Electricity should be reconstructed strongly otherwise everything will be failed. Especially Auto mobile and Electronics Industry are the major items to intensify a co untry’s overall financial condition. Most of money is spent in these two sectors. Lot of population can be employed in this industry. Because by surrounding a automobile or electronics industry hundreds of sup porting small industry will be built up. As a result a lot of people peop le will be employed. In this respect Government should adopt a strong and strict policy about importing used car. After establishing automobile industry they shou ld ban import of all used car. Used car import is destroying the environment and employment opportunity. To intensify the overall industrialization our Ambassadors who are employed in different countries specially Japan, Korea, Malaysia, Singapore can help the Government to adopt strong, effective, active and successful policy. Because they are well known with those countries environment, government and people. They have practical and expert feeling about the development policy in different sector of the respective country. We have already wasted a lot of time. We don’t want to live as the poorest and neglected nation in the world. We want our economic growth, our honor. We have a lot of workforce and a lot of money in the Bank. But due to proper utilization and proper development planning we are staying in back. In this regard Political leader, Intellectual, Industrialist, Planner, Ambassador, Teacher St udent and migrated generation in abroad should contribute to achieve the country’s economic progress. If we can take proper steps to obtain our economic growth, then we can remove our unemployment problem. God says if you want to love me try to love people first. If you believe in God you have to love people. Ask yourself according your ability and responsibility how much has you done to 9
help the people to help the country? 80% People Peo ple are living in rural area. After a long struggle a village parents educate his children helped them to grown up. They help them to gain college or university degree. Rest duty is yours. That is Government. Yes It is Government’s duty to provide job, to create job for our young generation. It is fundamental duty of a Government to solve the problem of Unemployment. Bangladesh is one of the most populated country in the world but according the people's demand there is not enough job facilities.
4.6 UNDP report about about Bangladesh: Bangladesh: Over the last 10 years Bangladesh has made impressive gains in key human development indicators. In the 2004 UNDP Human Development Report, Bangladesh ranked 138 among 177 countries with an HDI score of 0.509, which places it among countries considered to have achieved medium human development. This is the result of macroeconomic stability, low population growth, increase in women’s empowerment, reduction in aid dependence, food selfsufficiency, effective disaster management capac ity, ity, promotin pro moting g non-governmental non-go vernmental organizations (NGOs), free and fair parliamentary elections, a vibrant, pluralist, democratic civil society marked by cultural activism and developmental debates, and an active and free press.
The UNDP Gender Development Index (GDI) for 2004 ranked Bangladesh 110 among 144 countries, an increase of 13 positions since 1999. This improvement reflects a closing of the gap between men and women in key indicators such as life expectancy. However, a GEM rank ing of 76 shows continued low levels of female representation in government, in decision-making positions and in ownership of economic assets. A significant gender disparity persists in both income and human poverty, especially at the lower end of income distribution. The female disadvantage in child mortality has remained persistent, while the female-male gap in acute malnutrition has increased over the past decade. The 1999-2000 Labor Force Survey estimates that of the 74.2 million working age population (15 - 64 years), about 21.6 percent are employed for wages and salaries, a two percent increase since the 1995-96 LFS. However, while 33.9 percent of men work for wages, only 8.4 percent of women receive some form of o f remuneration. There are an estimated 7.4 7. 4 million million working wo rking children out of which 3.2 million million children are child laborers. Twenty four percent of o f the working population is self-employed. Unemployment rates in Bangladesh, estimated at 4.3 percent, are 10
comparatively low due to pervasive under-employment and the large number of people considered being out of the labor force. Unemployment rates are high among the youth, especially among young men under the age of 30. There has been a significant increase in the reports of violence across Bangladesh. Accurate information regarding the nature and extent of violence in the country remains scarce due to lack of data. There is, however, an emerging “culture of violence” which is o f rising concern. Violence within the family remains the most under-reported crime in Bangladesh. Cases of marital violence are routinely labeled as “domestic disputes”, and as such do not merit assistance within families, let alone police intervention. This reflects, among other things, the existing exist ing patrimonial social structures that force woman into passive acceptance of violence. According to government statistics, one woman is subjected to violence every hour. Though the Bangladesh Constitution is co mmitted mmitted to the equa lity lity of o f rights of all citizens, there still remain significant sect ions of the population who are unable to realize their right to development. A part of the pro cess will necessarily involve ensuring that t he most marginalized and vulnerable groups – women, minorities, children and others – do not get left behind amidst an overall positive scenario. It is also important to focus on the guarantee of human security with the basic norms of justice as a pre-condition for human development. The commitment to a transparent government through throu gh the use of information technology for development is one means of promoting accountability. The decentralization of administrative and financial responsibilities would help to accelerate the process. These are all important steps towards ensuring that citizens have ownership over the development process. Finally, it is necessary to focus on the crosscutting issues of good governance and environmental sustainability to ensure the achievement of the MDGs and national development objectives. In the circumstances, one of the biggest challenges to the Government remains ensuring the right to participation and protection of the people of Bangladesh.
4.7 Unemployment is turning into a very serious issue: According to a study of the International Labor Organization (ILO), the rate of growth of unemployment in Bangladesh was 1.9 per cent in the decade of the nineties. But the growth in unemployment currently is 3.7 per cent. The ILO figures also show Bangladesh in the twelfth position among the top twenty countries in the world where unemployment
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is rising. The number of the unemployed in Bangladesh now is estimated at 30 million. The way the rate of unemployment is increasing, it is feared that at this rate unemployment would soar to some 60 million by 2015. According to another estimate, every year some 2.7 million young persons are becoming eligible for jobs whereas only about 0.7 million of them are getting employment. The number of the 'disguised unemployed' an economic term meaning underemployed people or employed to a degree less than their potential, is some 32 percent. The huge number of the unemployed and the underemployed in the workforce gives an idea of the number of the parasitic ones in the population. Employed persons not only consume from the econo my but they also contribute to the economy through production activities and discharge of various services. The unemployed people in contrast only live off the economy or their families and society. They are an absolute burden on the state. Not only being liabilities in the economic sense, politically and socially they are considered to be a source of tension and turmoil. The linkage between unemployment and crimes is obvious. Therefore, all governments in Bangladesh will need to address the unemployment issue very seriously indeed before it turns worse. The recent floods and the devastating Sidr storm plus the restructuring activities leading to retrenchment of workers from state operated enterprises, have added to the unemployment problem. Government will have to start up urgently different work programmes like road building and repairs, reconstruction of infrastructures, etc., especially in the rural areas and continue them for some time, to mitigate the worst woes of the jobless ones at the grass roots level . But for the medium and longer terms, the present interim government which is doing pathbreaking works in vital areas, should also adopt a plan of action to tackle unemployment. It can start such a plan and leave gradual implementation imple mentation of it to successor governments. Insufficient investments have been frustrating the creation of new employment opportunities in Bangladesh. Government here needs to identify each of the factors that can contribute to a better investment climate. The same would include improvement of law and order, much lowering of the interest rate on borrowings, addition to and up gradation of infrastructures to be supportive of enterprising, fiscal policies that create level playing 12
fields for local entrepreneurs in relation to foreign competitors, fiscal incentives such as tax reduction and tax exemption, etc. Government will need to act imaginatively and effectively in relation to each of the above factors and more to improve the investment climate that in turn would accelerate economic activities and make the desired impact on the unemployment situation. However, there is also a need to be clear about the policies to be pursued to create employment. New enterprises will absorb the unemployed. But capital intensive enterprises will employ a smaller number than labour intensive ones which will understandably employ a greater number. Thus, enterprise with labour intensive character should be identified and encouraged. Government can make a big contribution towards reducing unemployment by also building and operating a large number of training institutions to train the jobless ones in different vocations for them to be fit enough to take up employment in the country, to go abroad for doing jobs or to engage in self-employment. Government's ample spending for skill development is all the more necessary because private sectors may prefer not to invest in this area out of a consideration of low profits. The high costs of skill training under the private sector is also likely to exclude most seekers of such training on the ground of their inability to pay for the training. Thus, government's role as a skill trainer is very important. But government can expect to recover the investments it will make in this area by receiving regular payments in installments from people who would get jobs after such training.
4.8 District wise Unemployment: There are several area wise unemployment tendencies in Bangladesh. Northern districts of Rajshahi & Rangpur divisions face massive drought due to the rivers drying up, many of the farmers & agricultural workers have faced unemployment & eventually had to move to other professions. During the 70’s, the Sylhet districts had major employment problem which lead many of them to immigrate immigrate to UK & ot her countries. In the hilly districts of the Chittagong when the “Joom” harvesting was o utlawed, many of the traditional aboriginal farmers had to face temporary unemployment. After non-CNG vehicles were removed from Dhaka, many drivers moved to other districts to avoid unemployment.
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Recommendations: Government will need to act imaginatively and effectively in relation to each of the above factors and more to improve the investment climate that in turn would accelerate economic activities and make the desired impact on the unemployment situation. However, there is also a need to be clear about the policies to be pursued to create employment. New enterprises will absorb the t he unemployed. But capital intensive enterprises will employ a smaller number than t han labour intensive ones which will understandably employ a greater number. Thus, enterprise with labour intensive character should be identified and encouraged. Government can make a big contribution towards reducing unemployment by also building and operating a large number of training institutions institutions to train the jobless ones in different vocations for them to be fit enough to take up employment in the co untry, to go abroad for doing jobs or to engage in self-employment. Government's ample spending for skill development is all the more necessary because private sectors may prefer not to invest in this area out o ut of a consideration of low profits. The high co sts of skill training under the private sector is also likely to exclude most seekers of such training on the ground of their inability to pay for the tra ining. ining. Thus, government's role as a skill trainer is very important. But government can e xpect to recover the investments it will make in this area by receiving regular payments in instalments from people who would wo uld get jobs after such training.
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Conclusion : Unemployment is a great curse to a nation. We cannot expect the development of our country leaving its millions of the people unemployment to survive as a boastful nation. We should make all out efforts to get rid of this curse. Analysis of this study tries to indicate this phenomenon by focusing of the skills/qualification (apart from degree, certificate, and diploma) that are considered as important for graduates' employability by the corporate bodies of Bangladesh.
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List of References:
www.1888articles.com/unemployment-problem-in-bangladesh 0107822.html http://www.academia.edu/859072/Unemployment_Problem_in_Bangla desh
www.matrixsearches.com/article.php?id=153902&act=p www.scribd.com/doc/17481892/ Unemployment -1 http://www.scribd.com/doc/37606008/Unemployment-Problem-inBangladesh-1
Bangladesh Bureau of Statistics of Statistics www.bbs.gov.bd/home.aspx
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