Report on Unemployment in Pakistan: Causes, Impacts, and Solutions

This report provides an in-depth analysis of the causes of unemployment in Pakistan, exploring various economic and social factors contributing to the issue. It highlights key problems such as corruption, poor governance, an inadequate education system, and the impact of population growth and the influx of refugees. The report examines how these factors create barriers to job creation and economic growth, leading to widespread unemployment. Furthermore, it discusses the impact of nepotism, violence, and weak governmental policies on the job market. The report also includes a discussion on the role of small-scale enterprises and the need for better government planning to boost the economy. The conclusion emphasizes the need for effective government policies to improve the situation and provide solutions to Pakistan's unemployment crisis, referencing various sources and data to support the analysis.

REASON OF
UNEMPLOYMENT IN
PAKISTAN

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Background.............................................................................................................................2
Issues......................................................................................................................................3
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
To ascertain the governmental plans and policies in every nation there has been
requirements of appropriate planning and development program. In relation with developing
economies the government need to be conscious regarding, funds, population, monetary system
as well as global economic changes. In the present report there will be analysis over the reason
behind unemployment in Pakistan. To address such obstacle which creates barriers in the growth
of the nation in the global market there will be analysis over several issues and presentation of
appropriate solutions.
There has been various issues which are affecting the economic growth in Pakistan. The
main reason is the poor management and planning by the government in context with
employment as well as improper educational system. Therefore, in relation with the gender
inequality which can be seen in the educational centres as well as corporate authorities in
facilitating the jobs to the women employees. On the other side, the nepotism is the main issues
which has been a failure in employment process. Thus, many of the talents and qualified people
were left job less.
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Background
To address such issues it can be said that there are various barriers in the economic
environment of Pakistan. Moreover, the main reason behind unemployment is the poverty,
corruption and lack of sources in the nation. The crime rate is at its extreme level which creates
the problems to citizens. There are many graduates and masters in various fields such as IT,
Engineering, Doctors etc. but simultaneously there has been reduction in the numbers of job
opportunities for them. There are highly qualified and talented people in this nation but there is
no value and importance to their talent. Therefore, such issues provokes poverty in nation which
derives government's weakness in balancing the unemployment rate of the country. The study
will be helpful in highlight all the issues and making the satisfactory decision which will be
helpful in improving the economic condition of the nation.
Illustration 1: Unemployment rate in Pakistan
(Source: Causes and Solutions of Unemployment in Pakistan, 2018)
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Issues
In order to address the loopholes of governmental planned policies which is the main
hurdle and barriers in the employment opportunities in Pakistan. Moreover, there are various
issues which affects the growth of nation such as:
 Violence of law: By considering the economic condition of Pakistan it can be said that
Karachi is the main commercial hub there are various small to large scale enterprises.
The issues arise here is that people are less focused towards the laws and regulations. The
violating rules is the biggest issues in here (Qazi, Raza and Sharif, 2017). On the other
side, the terrorism activities in Nation has created the alarming situation in Karachi.
Therefore, foreigners and international companies are frightened to make investments in
Pakistan. Thus, the lower investments in the nation has created the huge barrier in the job
opportunities for the citizens.
 Education system: By considering the time of creation of Pakistan there is no accurate
governance in the educational state. Moreover, it has never been seen that any
governmental authority has take steps to resolve the issues and make improvements in the
educational level of the country (Alvi and Fatima, 2017). There are various private and
public colleges and schools are selling the degrees as the technical education is being
undervalued in nation. Thus, it is the main reason on which people are wondering to have
appropriate jobs due to lack of skills, experience.
 Corruption: There are various big colleges and schools in Pakistan but the ratio of
corruption lead the improper management in such premises. Therefore, there are lack of
teachers and lecturers has lead the country in deep challenging phase. There is always a
proxy war among the military and civilian which are weakened the anti-corruption
institutions. Therefore, in as per the below listed chart which consists of all the corrupt
departments in Pakistan.
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Illustration 2: Corruption rate in Pakistan
(Source: Corruption - Pakistan’s Past and Future Challenges, 2017)
 Population: The population strength of the nation is 19.32 corers as per 2016 records.
Thus, the rise in population is proportionately higher than compared to the growth in
employment opportunities (Population, Labour Force and Employment, 2016).
Moreover, the gender there are various issues such as gender inequality, stereotyping as
well as nepotism which are the main barriers for citizens in acquiring the adequate jobs
for their career.
 Afghans Refugees: There are total 380,884 Afghan refugees in Pakistan which were
born and raised in country as well as have the citizenship of the nation. These includes,
merchants, business people, students, diplomats and migrant workers which are reducing
the employment opportunities of Pakistani citizens. In relation with giving the shelter and
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place to Afghan refugees there has been reduction in the number of jobs as well as
resources available to the citizens.
 Government plans for short term and long term projects: The economic growth of
Pakistan is comparatively lower as the government is weak in making the accurate plans
for the short terms as well as long terms developments. There are various obstacles such
as financial constraints, improper globalisation such as poor international trading etc. are
the main reasons which were bringing the insolvency and inappropriate funds for the
capital developments in and for growth of small scale organisations (Short Term versus
Long Term Economic Planning in Pakistan: The Dilemma, 2017). In relation with
developing the employment opportunities and the increasing the per capital income level
of country the governmental plans and policies are not capable of integrating such
obstacles.
 Nepotism in economic environment: To bring the best job opportunities to the citizens
is the mainly based on nepotism. On which the higher posts are being acquired by the
people who have already someone belongs to them at such posts. Therefore, here the
government is reliant on debts, foreign and domestic liabilities (Akram and Syed, 2017).
Moreover, there are higher corruption ratios in the taxation departments of the country.
Thus, due to impactions the GDP rate and per capita income of the economy is
comparatively poor and unhealthy for the nation.
 Lower scope for small scale enterprises: The small scale enterprises in Pakistan has
huge obstacles in performing the trade practices. Therefore, the improper Foreign direct
investments has incurred problems in terms of performing the business operations.
Therefore, in relation with such serious issues the domestic production rate of the nation
is comparatively lower than the other nations (Daly and et.al., 2017). In these regards, the
government has to plan the appropriate funding and development program which will
encourage the sole proprietors as well as the appropriate growth in the small scale
businesses. Similarly, it creates the barriers in building the jobs and revenue sources for
the citizens in country.
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Illustration 3: GDP rate in Pakistan
(Source: Population, Labour Force and Employment, 2016)
Moreover, the large numbers of population of this economy is depends over the
agriculture and small scale business. Thus, it is required that the governmental authorities must
make proper planning which will be helpful to the farmers and small scale organisations of the
country. Thus, to increase the per capita income of the nation.
CONCLUSION
In accordance with the above mentioned report it has been analysed here that, there has
been various serious issues which are creating the barriers in the job opportunities for the
Pakistan citizens. There are various talented, skilled and qualified people in the nation but are
unemployed due to Nepotism, Corruption and improper educational system. Furthermore, to over
with such issues the government need to be more conscious and more efficient enough to plan
the favourable changes in the operations. However, it is required that the government must make
appropriate plans and strategies which will meet requirements of citizens.
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REFERENCES
Books and Journals
Alvi, A. A. and Fatima, A., 2017. Domestic Saving Under the Perspective of Interest Rate,
unemployment and inflation in Pakistan: A Time Series Analysis. Bulletin of Business
and Economics (BBE). 6(1). pp.15-27.
Qazi, W., Raza, S. A. and Sharif, A., 2017. Higher Education Development and Unemployment
in Pakistan: Evidence from Structural Break Testing. Global Business Review. 18(5).
pp.1089-1110.
Daly, V. and et.al., 2017. Globalization and unemployment in Pakistan. Asian Economic and
Financial Review. 7(7). p.634.
Vancouver
Akram, J. and Syed, R., 2017. CHALLENGES FACED BY FEMALE ENTREPRENEURS IN
MANAGING THEIR WORK LIFE BALANCE IN PAKISTAN.
Online
Causes and Solutions of Unemployment in Pakistan. 2018. [Online]. Available through
:<http://ihelpf9.com/causes-and-solutions-of-unemployment-in-pakistan/>.
Population, Labour Force and Employment. 2016. [Online]. Available through
:<http://www.finance.gov.pk/survey/chapters_16/12_Population.pdf>.
Short Term versus Long Term Economic Planning in Pakistan: The Dilemma. 2017. [Online].
Available through :<https://mpra.ub.uni-muenchen.de/76114/1/MPRA_paper_76114.pdf>.
Corruption - Pakistan’s Past and Future Challenges. 2017. [Online]. Available
through :<https://www.huffingtonpost.com/azeem-ibrahim/corruption-pakistans-
past_b_986241.html>.
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