Unemployment for a country is undoubtedly a curse. BUT WHAT WILL BE IF MILLIONS OF PEOPLE, INCLUDING YOUTH, ARE UNEMPLOYED IN A DEVELOPING COUNTRY LIKE BANGLADESH? This article will draw a clear picture of a developing country’s unemployment condition and how can this unemployment issue can be solved. When calculating the unemployment rate, one of the factors considered is the percentage of the labour force that is both jobless and making attempts to find work. According to economist Ali Babacan, “population is a key driver of the economy and the quality of the labour force.”
Bangladesh will still have around 3.6 million jobless people in 2022, which is an excellent chance for the country. The research results under the title World Employment and Social Outlook Trends 2022 (WESO Trends) indicate that it is anticipated that the rate of unemployment in Bangladesh will continue to be the same, at 5%, in the year 2022. This prediction is based on the findings of the study. This figure is six and a half percentage points higher than before the pandemic when it was at its level. Not only does the COVID-19 virus have a significant impact on the employment market in Bangladesh, but also throughout the world. A trend of sluggish employment growth can be seen in Bangladesh, just like it can be seen in many other nations with a level of development equivalent to a medium income. The most recent forecasts indicate that Bangladesh will have 167,885,689 inhabitants in the year 2022, which will place it among the nations with the largest predicted total population. It is anticipated that the country of Bangladesh’s Average Monthly Income will be somewhere in the vicinity of 15100.00 BDT (Bangladeshi Taka) a month in the year 2022. Since the beginning of the 20th century, Bangladesh has faced the formidable obstacle of high unemployment, which constitutes a significant burden.
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HOW DID COVID-19 AFFECT THE JOB ENVIRONMENT OF BANGLADESH?
An employment situation that was already precarious in the country has been given a new dimension as a result of the breakout of the Covid-19 virus, which has spread throughout the country. As a result of the high rate of unemployment that is currently ubiquitous throughout the nation, job searchers in several places around the United States are feeling disappointed. This is the case because the unemployment rate is now the same everywhere in the nation. Recent strains of the COVID-19 virus, such as Delta and Omicron, have had a considerable degree of effect, which has led to the emergence of significant issues for individuals in Bangladesh who are jobless. The destabilizing effect that COVID-19 has had on the economy has placed in jeopardy how millions of individuals make a living, as well as the sources of income for almost 50 million people who labour in the informal sector.
According to the study’s findings, Bangladesh would see a significant loss of employment opportunities across the board in all of its industries and sectors, including agriculture, in both the formal and the unofficial economies. This loss will affect a large number of people. All of these things are in peril as a direct result of the destruction created by the Coronavirus, including RMG, remittance, export and import, transportation, tourism, banking and insurance, and education. As a consequence of COVID-19, the economy of Bangladesh has suffered, which has, in turn, made the lives of millions of people more challenging and restricted the opportunities they have to support themselves economically. As a direct result of the Bangladesh coronavirus outbreak, there has been a perceptible decrease in the overall number of job changes available in the working world. This has contributed to the general increase in the unemployment rate. A substantial portion of the staff decided to quit their employment within the company as a direct and immediate response to the prolonged lockout enforced by Covid-19. Following the lockdown, many workers were let go from their jobs within firms, as well as individuals who worked independently of any one company. This referred to employees working either full or part-time at their respective positions.
A person is regarded as unemployed in the United States if they have been looking for work for more than twenty-seven weeks but have not been successful in doing so. This period includes both full-time and part-time job searches. The ” inactive phase ” is the time frame referred to as the “inactive phase.” In Bangladesh, a person is regarded as unemployed if they have not worked a minimum of 40 hours in any given week for at least one month. This requirement applies every week. Any week of the year is acceptable for fulfilling this criterion. The study’s findings indicated that there were 6.6 million persons who may be classified into this category.
The completion of odd jobs can represent labour that should only be rewarded in a small number of specific scenarios. These kinds of occurrences are highly unusual. The people of Bangladesh have several options available to them; nonetheless, they should prioritize pursuing opportunities for self-employment. In Bangladesh, around 22 lakh individuals have been forced to give up their jobs due to the widespread COVID-19 outbreak. According to the findings of the research that was carried out by the International Finance Corporation between the years 2009 and 2019, it was discovered that approximately 37 per cent of people who had previously held employment in small enterprises and organizations were no longer able to do so. This was found by looking at the research carried out between 2009 and 2019. The years 2009 through 2019 witnessed the occurrence of this phenomenon. These seemingly unremarkable companies are responsible for creating more than twenty per cent of the nation’s gross domestic product (GDP). Because of the decline in the garment industry, more than one lakh individuals have lost their jobs. Many young people in Bangladesh risk losing their jobs as a direct consequence of the country’s high youth unemployment rate. According to projections made by the International Labor Organization (ILO), many of today’s youth will be unemployed in the year 2022. This forecast is founded on the most recent tendencies. (about three hundred thousand)
GRADUATED STUDENTS: WHY THEY ARE STILL UNEMPLOYED?
Every year, more than 20 million students in Bangladesh graduate from one of the several educational institutions spread out over the country. Now, candidates have filled less than five per cent of the open posts in the government. There is currently a sizeable number of employment opportunities available across the board in a variety of government ministries. Around 95 per cent of people looking for work must concentrate their efforts on obtaining employment in the private sector. According to some estimations, a sizeable portion of Bangladesh’s college and university graduates are currently unable to find a job despite their best efforts. In Bangladesh, low levels of investment lead to a low investment rate, leading to poor job prospects, low levels of income and savings, low levels of productivity, and low levels of investment. In Bangladesh, low levels of investment also lead to low productivity levels. A low rate of investment results in low levels of income and savings and low levels of total productivity. This cycle of low levels of economic activity perpetuates itself. All of this is a direct consequence of the relatively low employment rate. This cycle will continue for an unfathomably long period as long as Bangladesh receives funds from foreign investors who refuse to cease doing so. The unemployment rate in the more rural regions of Bangladesh is significantly greater than the rate in the country’s most populous cities and towns. To put things into perspective, this is Bangladesh’s current state of affairs. There are 0.77 million people who live in urban areas, whereas there are 1.82 million unemployed people who live in rural areas.
WHAT ARE THE FOLLOWING ARE SOME OF THE MOST LIKELY CAUSES OF BANGLADESH’S UNEMPLOYMENT PROBLEM? :
- Overpopulation: The quick pace of population increase in this country and the overall overcrowding that exists across the country are two of the primary factors contributing most to the high levels of unemployment found in this country. Even if there is a significant increase in population, not enough investments are being made to keep up with the rise of the people.
- The economy is underdevelopment: Agriculture is the primary contributor to Bangladesh’s relatively poor economy, mainly sustained by tourism. It may be pretty challenging to find work possibilities for everyone while the economy is still expanding and developing.
- Lack of capital: Compared to people in other nations, Bangladeshis have less disposable income and hence less money available for savings due to their lower per capita income. Consequently, capital accumulation in this region is either completely impossible due to the limitations imposed by the surrounding environment, or it can only be accomplished in extremely insignificant amounts. If there is not enough capital, there will be no opportunities for either employment or investment that can be taken advantage of.
- Annihilate cottage industries: The inability of smaller firms in Bangladesh to effectively compete with their equivalents in the sectors of other nations ultimately leads to the incapacity of such organizations to continue operating as businesses. Therefore, smaller firms in Bangladesh can’t remain in operation. Thus, it directly influences the increase in the number of people who are now actively participating in seeking a job.
- Lack of technical education: Every industry in the economy needs workers who have varying degrees of education and years of experience. The vast majority of people currently working in Bangladesh are woefully out of date regarding their understanding of the plethora of brand-new skills and techniques that have evolved over the last few years.
- Natural disasters: Every year, natural disasters such as river erosion, floods, cyclones, and others directly result in the loss of employment for many people who otherwise would have been able to keep their occupations. These people would have been able to keep their jobs had it not been for the natural disaster. Because of the unpredictability in politics and administrations that are being led by individuals who lack the essential understanding, the social structures of our society are falling apart and wreaking havoc as a result. This is causing much damage. Because it makes them worried, this aspect of the situation makes people reluctant to make fresh investments in their businesses, which is a direct outcome of the fact that it makes them feel anxious.
- Agriculture dependency: Agriculture is the primary source of subsistence for most people who now live in Bangladesh. As a result, agriculture is one of the most important economic sectors in the country. The issue of persistently high unemployment is a recurrent worry in the agricultural industry; however, the degree to which it expresses itself varies depending on the time of year. This anxiety is a frequent concern in the farming industry. This problem has been going on for a long time in the agriculture sector.
- Corruption: There is evidence of corrupt behaviour at every stage of the company operations process. Investors from other countries are dissatisfied due to the prevalence of methods that lack integrity, which has led to this situation. According to the research findings conducted by the General Economics Division of the Planning Ministry during May and June 2021, the employment elasticity in the agricultural, manufacturing, construction, and service sectors is lower. Therefore, creating jobs is not very sensitive to overall economic development.
To sum up, annually, more than 20 million Bangladeshi students receive degrees from one of the several educational institutions that can be found dispersed over the country. A low rate of investment results in low levels of income and savings and low levels of total productivity. This cycle of low levels of economic activity perpetuates itself. All of this is a direct consequence of the relatively low employment rate. According to some estimations, a sizeable portion of Bangladesh’s college and university graduates are currently unable to find a job despite their best efforts. A nation will inevitably suffer the calamity of having a high unemployment rate at some point in its history. Agriculture is the sector that has made the most contribution to Bangladesh’s economy, which overall is not very robust and is primarily supported by tourism. The country of Bangladesh is home to some of the most extensive rice paddies in the world. Underdevelopment is one way to characterize the state of the economy as it currently stands. The unemployment rate in the more rural portions of Bangladesh is noticeably more significant than in the country’s critical urban districts. This inequality is present in every single region of the country. But what would occur in a developing nation like Bangladesh where millions of people, particularly young people, cannot find work? It is expected that the average monthly income of the government of Bangladesh will be somewhere in the neighbourhood of 15100.00 BDT (Bangladeshi Taka) a month in the year 2022. This value is given in the currency of Bangladesh, the Taka.
Let us know what you think about the unemployment issue of Bangladesh…
References:
- https://www.koreascience.or.kr/article/JAKO202106438543845.page
- https://oikosmist.com/unemployment-problem-in-bangladesh/
- https://thefinancialexpress.com.bd/views/unemployment-and-bangladesh-context-1624089237
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