Unemployment Rate – Article Review

THE countrys un role regularise currently stands at 3. 1 per cent compared with the 3. 4 per cent last year, the Dewan Negara heard yesterday. alternate Human Resources Minister Datuk Maznah Mazlan said the governing was salutaryy harnessing its workforce to take the unemployment deem at four per cent and below. This was because according to international standards, this was considered full employment. According to the Statistics Department, the percentage of unemployment last year was 3. 4 per cent or 387,9000 people. Of the total, 65,500 were graduates. In the number 1 quarter of this year, the unemployment percentage dropped to 3. per cent or 381,300. Of the deed 71,600 were graduates, she said responding to Senator Khoo Soo Seang. Maznah said the government had implemented measures to assist fired graduates. These include domiciliateing a short service scheme with government departments, opportunities for apprenticeship and internship, and the 1Malaysia study Scheme. Under the short service scheme, graduates who have not secured antics in sextet months after completing their studies have the opportunity to intern at active government linked companies for a year and receive an allowance of RM1,000 a month.Upon completion, the GLCs bequeath assist in finding permanent positions for them. The programmes are to rise the graduates marketability and provide exposure so that they do not have to hope on the government for employment but potbelly start their ingest businesses, she said. Article about During 2011 the employment set out falling offs from 3. 4% to 3. 1% repayable to the government effort to check up on all the recourse and to maintain the unemployment say low 4%. found on the international standard the unemployment rate of 4% and below considered as full employment.Although the number of people that unemployed are decreasing but the number of unemployed graduates are increasing. ascribable to this situation, the government h ad executed measures to help graduates to get a job. The government offer a short service scheme which give a job opportunity to them besides giving them skills and internship. The allowance are in addition provided under the short service scheme. This go forth help to give the graduates exposure and make headway them to do their own business instead of relying on the government for the job.Analysis. Based on the article, we can conclude that the type of unemployment that we can see is frictional unemployment. This type of the unemployment occurs when people are in between jobs, entering and reentering the working class force. This may happen when fresh graduates are actively seeking for a job. The numbers of unemployed graduates increase by 9. 3% maybe referable to the lack of soft skills and experience that most employers seek. The measure that the government took to control the unemployment is direct control measure, which is providing training and technical education and jo b mental institution in various sectors in an economy.The governments want to encourage the graduates to own a business because when at that propose are more trade and transaction, the government revenue testament increase. This will lead to economic growth and therefore can increase in GDP. The doings of decreasing the unemployment rate The first effect of decreasing unemployment rate is the incomes will increases. This will lead towards to more get power and accelerating the inflation rate. Thus, this will effect to the distribution of income, the savings, production apostrophize and balance of trade.The second effect of unemployment is new businesses will have a hard m succeeding, because everyone is already employed, who is going to work for them? New businesses will have to raise wages to entice people to work there which again raises wages and lowers profits to a point where it makes no experience to even start the business. Great levels of unemployment are around 3- 5%. The pros and cons of decreasing unemployment rate The pro of decreasing unemployment rate is increase of income and self-respect. Secondly, increase the job skills. Thirdly, slump social and political problems.Fourthly, the GNP gap becomes narrower because the GNP gap will almost towards to potential GNP. The contras of decreasing unemployment rate are inflation will occur and the new business will have hard time to survive. The effect of decreasing rate of unemployment towards society The first effect is employment may bring a increase in social outings and interactions with separate people, including friends. Secondly, employment the competition for jobs and the negotiation power of the individual increases and thus also the living standard of people with the salaries packages and income higher.Thirdly, employment also brings up chill out and steadiness amongst the tax paying citizens. For the fresh graduate employees, they will not face burden to settle their loans. Recomm endation or solution The first solution is, government can use progressive tax rate depends on the number of employees and use the current Malaysia Corporate Tax. If we use this method, the follow in Malaysia will hire more employees in order to decrease the corporate tax and lead to the zero unemployment rates.The second solution is government can open up Malaysian mind to new amiable of industry that can make the Earth as better place in the future. For example, this legislation would create an estimated 3 million new jobs by opening closed areas of the Outer Continental Shelf which is between Malaysia and Brunei for rock oil and gas exploration, and streamlining the licensing of nuclear power plants. This also would create royalty revenues for the government that the bill directs to a new trust fund that can publicize renewable energy.