Introduction

In this article you will learn about " Types Of Unemployment In India" in simple language so that you can understand it. But first of all you should know the meaning and concept of unemployment in India because it will help you in understanding the further topics clearly. Unemployment is one of the most serious problem, which is normally found in each and every country of the world. In today's time , the problem of unemployment is increasing in India, hence the government should pay special attention and generate employment. 

Meaning Of Unemployment

According to NSSO, Unemployment is a situation in which all those who, owing to lack of work, are not working but either seek work through employment exchanges, intermediaries, friends or relatives or by making applications to prospective employers or express their willingness or availability for work under the prevailing condition of the work and remunerations. In simple language, Unemployment refers to a situation in which people are willing and able to work at the existing wage rate, but do not get work. Unemployment is confined not only to unskilled workers, rather a sizable number of skilled workers fail to get jobs for long periods. 

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Three Common Types Of Unemployment In India 

1. Disguised Unemployment
2. Seasonal Unemployment
3. Open Unemployment



Disguised Unemployment

Disguised unemployment refers to a state in which more people are engaged in work than are really needed. Even if some people are withdrawn, production does not suffer. 
For example, if two workers are needed on a piece of land and five workers are engaged on the same job, then three workers are disguised unemployment. 
  • It is the most predominant form of unemployment in the agricultural sector of developing countries like India. 
  • In the late 1950s, about one-third of agriculture workers in India were disguisedly unemployment. 
  • The main problem of disguised unemployment is that apparently all seem to be employed, but marginal productivity of the surplus labour is zero, i.e. contribution of extra workforce is zero. 

Seasonal Unemployment

Unemployment that occurs at certain seasons of the year is known as seasonal unemployment. Seasonal unemployment occurs because certain industries only produce or distribute their products at certain times of the year. In farming and tourism seasonal unemployment is common. 
  • In India, seasonal unemployment is predominantly associated with agriculture. 
  • In agriculture, work is seasonal and there are no employment opportunities in the village for all months in the year. So, when there is no work to do on farms, men go to urban areas and look for jobs. They come back to their home villages as soon as the rainy season begins. 
  • The period of seasonal unemployment varies from state to state, depending upon the methods of farming, the condition of soil, the type and number of crops grown, etc. 

Open Unemployment

Open unemployment refers to that economic phenomenon in which persons are able and willing to work at the prevailing wage rate, but fail to get work. It is called open unemployment because such unemployment can be seen, and counted in terms of the number of unemployed people. 
Open unemployment is different from Disguised unemployment. In case of open unemployment, workers are totally idle. However in case of disguised unemployment, workers appear to be working and do not seem to be idling away their home. Open unemployment behaves differently in different places. In urban areas on taking the case of huge multinational companies have a large number of employees but the capable ones are very less in that firm. In rural areas like in villages or towns when a person is in search of jobs, he will not find it and tries to move to the city in search of a job.