Unemployment

Borggrebe, Christina Rayl English CP Unemployment Today, "...unemployment reaches up to 7.9%." (Rampell, 2013, para. 1) Many people are suffering from our countries long recession, even though "The Bureau of Labor Statistics, which calculates the jobless rates, says the economy created 157,000 jobs in January, slightly more in December, but the total number of unemployed people remain at 12.3 million." (Maze, 1) Although, the government does help with people that are struggling trying to find a job, or physically or mentally can't handle a stable job. This is called unemployment insurance, and this provides workers, who are unemployed through no fault of their own, with monetary payments for a specific period of time or until the worker finds a new job. The causes of unemployment can vary in a wide range: disability, recessions, rapid changes in the technology, inflation and much more. There are five types of unemployment, frictional, structural, classical, seasonal, and cyclical. One type of unemployment is frictional is when workers leave their jobs to find better ones:" It's usually thought of as a voluntary exit, but can also occur as a result of a layoff or termination with cause." (Amadeo, 2013, para. 1) The time, effort and expense it takes to find these new jobs is known as friction. It occurs because workers need to find out about possible new job opportunities, go on interviews and possibly move before starting their new jobs. It's an unavoidable part of the job search process. However, the good news is that it's usually short-term. Some reasons why frictional unemployment occurs is when a recession happens and jobs start to lay their employees off. "Some common examples include college graduates seeking their first jobs, craftspeople who are laid off between projects, and people who quit their jobs to relocate or to seek out better employment." (Conjecture Corporation, 1) As stated in Kimberly Amadeo's article "Frictional unemployment can be reduced by bringing better information about jobs to the worker." (Amadeo, 2013, Para. 2) Structural unemployment, according to Kimberly Amadeo, "… is a more permanent level of unemployment that's caused by forces other than the business cycle. It can be the result of an underlying shift in the economy that makes it difficult for certain segments of the population to find jobs." (Amadeo,2013, para. 1) There are many causes of Structural unemployment, for example when there are technical advances in the industries, also if a countries economic growth is dependent upon industries that are in decline, thats a major cause. People who are suffering from Structural unemployment, usually can't find a job because, they aren't in the right part of the world where their certain skill is popular nor needed, or they lack the skills that are needed for the jobs that are available for them. Today most of the country's "…current unemployment is mainly structural -- that worker's skills or geographic location don't match up to available jobs." (Woo, 2012, Par. 1) For example, some who graduated from a University with a Bachelors Degree, and works at McDonlads would be considered in the category of Structural unemployment. According to International Labour Organization, "World unemployment could top record levels this year, and continue rising until 2017." (Barnato, 2013, para. 1) One of the top Unemployments is, Seasonal unemployment: "Seasonal unemployment occurs when industries slow or shut down for a season or make seasonal shifts in the productions schedules." (Sullivan, pg. 392) Many of the industries that suffer from seasonal unemployment are, retail, fruit harvesting/picking, or catering industries. You can also consider Seasonal Unemployment as Frictional Unemployment, because people who have a seasonal job will eventually unemployed for a period of time. When the seasonal ends, the employee has full knowledge that they are only temporary, so they are usually prepared to unemployed, or they usually have another set job ready.