Unemployment and Employment Flashcards
Define unemployment
Someone who is able to work, wishes to work and is looking for work but cannot find a job
What is employment
The engagement of labour in the productive activity for which they receive a remuneration
Why do people move to certain areas (6)
Better economic opportunities
Employment opportunities
Better living conditions
Better climate
Access to water resources
Fertility of soil
What are the 3 classifications for someone being unemployed according to the StatsSA survey
Person did not work during the seven days prior to the survey
Person wants to work and is available to start work within a week of the survey
Person has taken active steps to look for work or start a business in the four weeks prior to the survey
What are the 4 types of unemployment
Frictional unemployment
Cyclical unemployment
Structural unemployment
Seasonal unemployment
What is Frictional unemployment
When a person is between jobs or is looking for a job for the first time. Supposed to be a short period of time
What is Cyclical unemployment
Result of cyclical changes or fluctuations of the economy. i.e. a recession
What is Structural unemployment
When the nature of the economy changes and the skills of the labour force do not match the needs of the economy or technology used
What is Seasonal unemployment
When workers in a particular occupation are only needed for part of the year. i.e. fruit-pickers are only needed during the harvest
What are characteristics of South Africa’s unemployment (Four)
Lack of education and correct skills
Young people are more likely to be unemployed
Gender
Race
What type of unemployment do we mostly have in South Africa
Structural unemployment
Why is the number of unemployed, unskilled workers increasing in South Africa
Due to structural changes in our economy
What are 3 structural changes that have taken place in the South African Economy
Mechanisation means machines do the work previously done by unskilled or low-skilled workers
Globalisation means that South Africa has to compete with other economies to produce goods and services
Primary sector is becoming less important
What are 4 causes of unemployment
Population Increase
Capital investment and mechanisation
Historic Reasons
Economic Cycles (Recession)
What are the 3 effects of unemployment
Poverty
Social Problems
Cost to the taxpayers
What is the Unemployment Insurance Fund
A fund that provides money to people who have recently been in formal employment and have contributed to the fund
What is an example of a social problem caused by unemployment
High crime rates as people turn to crime to provide for their family
What are 3 government programmes used to solve unemployment
GEAR
ASGI-SA
JIPSA
What is GEAR
Growth, Employment And Redistribution policy
What was the goal of ASGI-SA
To halve poverty and unemployment by 2014
What is JIPSA and why was it created
The Joint Initiative on Priority Skills Acquisition - It was created to identify scarce skills needed to grow the economy
What are the 5 approaches to solving the problem of unemployment
Government Programmes
Growth of Production
Public Works Programmes
Unemployment Insurance fund
Economically Marginalised groups
How does growth of production benefit the economy
An increase in demand creates the need for an increase in production which means more people have to be employed and thus reduces unemployment
What is an example of a public works programme and what does it do
The National Public Works Programme was started in 1994 to upgrade SA’s infrastructure and provide job opportunities at the same time. It employs many unskilled people
What are economically marginalised groups
The people who have not been part of the economy in the past
What are the 3 ways the government aims to assist marginalised groups
Skills development
Correcting past policies
Employment equity act and affirmative action
What has the government introduced to improve the skills of marginalised South Africans
Skills Development Act
What does the Employment Equity Act and Affirmative Action mean
Employers must give preference to people of colour, women and people living with disabilities when recruiting workers
What is BBBEE
Broad-Based Black Economic Empowerment