In the trap of In the trap of unemploymentunemploymentbyby

Aneta ŚmiesznaAneta Śmieszna

Kl. IV TE/HKl. IV TE/H

What is unemployment ?What is unemployment ?

UUnemployment is a state whennemployment is a state when there are there are more more people people looking for a job looking for a job than than there are posts.there are posts. It means that the supply It means that the supply ofof work is work is higher higher than than the demand for it.the demand for it.

The measure of unemployment is the The measure of unemployment is the unemployment rate.unemployment rate.

work reserveswork reserves = = the the working + the working + the unemployed in unemployed in aagiven economygiven economy

eemployment- mployment- a given a given number of people number of people working on the basis of current legal norms working on the basis of current legal norms

Unemployment rateUnemployment rate The unemployment rate is a quotient ofThe unemployment rate is a quotient of the the

unemployed by unemployed by the the professionally active (professionally active (work work reservesreserves) in ) in aa specific category of the population specific category of the population (amongst women, in the commune, in the province, in (amongst women, in the commune, in the province, in the country, and the like).the country, and the like). Professionally Professionally aactive ctive peoplepeople are defined by the Central Statistical Office as are defined by the Central Statistical Office as the the working working + + the people seeking job the people seeking job+ + the unemployedthe unemployed++ the disabled people with an opportunity to start workthe disabled people with an opportunity to start work. . One should noticeOne should notice that the police and army employees that the police and army employees are not included in theare not included in the professionally active civilians professionally active civilians

It is necessary to remember that the unemployment It is necessary to remember that the unemployment rate isn't a rate isn't a veryvery precise measure of this phenomenon. precise measure of this phenomenon. It It is because the level of the unemployment rateis because the level of the unemployment rate depends depends on the on the arbitrarily adopted legal criteria. Thearbitrarily adopted legal criteria. They y can differ can differ from from one anotherone another depending on the time depending on the time as well as as well as the the statestate. Establishing international standards of measuring . Establishing international standards of measuring the unemployment is one ofthe unemployment is one of the the methods of remedying methods of remedying such situations.such situations.

Unemployment rateUnemployment rate in Poland in PolandUNEMPLOYMENT RATEUNEMPLOYMENT RATE

AT THE END OF JANUARY 2012AT THE END OF JANUARY 2012

Unemployment rateUnemployment rate in in Poland Poland contcont..

Basic monthly results

January2011

December2011

State at the end of the monthJanuary

2012

2105,0 1982,7 Registered unemployed (in thousand) 2121,5

13,1 12,5 Unemployment rate (percentage) 13,2

302,6 234,7 Newly registered unemployed (in thousand) 287,8

152,3 166,9 People excluded from the register (in thousand) 149,0

29,0 22,0 Job offers (in thousand) 31,1

Registered unemployed and unemployment rate

State at the end of the month

-------- Registered unemployed (in thousand) ---------- Registered unemployment rate (percentage)

Phases of unemployment Phases of unemployment from from

a psychological perspectivea psychological perspective Phase 1 - Anxiety Phase 1 - Anxiety over the over the loss of work- loss of work- agitationagitation, frequent changes of the mood and , frequent changes of the mood and the emotional instability;the emotional instability;

Phase 2 - Shock afterPhase 2 - Shock after the the loss of work loss of work connectedconnected with with the the sense of sense of failurefailure, injustice,, injustice, humiliation, depression and fear of the future;humiliation, depression and fear of the future;

Phase 3 - Slow Phase 3 - Slow emerging inemerging in the situation of the the situation of the unemployment and unemployment and aa certain kind certain kind of of optimism- optimism- is itis it so-called so-called ‘holiday effect’‘holiday effect’; the entire situation is ; the entire situation is treated as treated as temporarytemporary;;

Phase 4 - Phase 4 - ppessimism andessimism and resignation - negative resignation - negative emotional reactions appear, moneyemotional reactions appear, money and healthand health problemsproblems;;

Phase 5 - Phase 5 - aapathy andpathy and fatalism fatalism resulting fromresulting from adapting to the situation- senseadapting to the situation- sense of of hopelessnesshopelessness , , aspiration to the social isolationaspiration to the social isolation,, interestsinterests and life expectations reduction appear and life expectations reduction appear

Kinds of unemploymentKinds of unemployment

The following kinds ofThe following kinds of unemployment unemployment can be can be distinguished:distinguished:

frictional unemploymentfrictional unemployment - appears - appears in every in every economy. Unemployed economy. Unemployed people who want to change people who want to change job createjob create it it in in aa short time. It is short time. It is also also connected with connected with the change of a place of the change of a place of livingliving,, the change of the change of profession or professional promotion;profession or professional promotion;

structural unemploymentstructural unemployment - connected - connected with with maladjustment of the demand to the supply ofmaladjustment of the demand to the supply of work. work.

It is caused It is caused by the structural by the structural changes changes in the in the economy economy ,,e.g. disappearing ofe.g. disappearing of the the outdated outdated industries or the branchindustries or the brancheses of economy and of economy and the new the new ones ones coming into existence. coming into existence. TTechnological progress echnological progress cancan also also be be thethe reason reason forfor the structural the structural unemployment, e.g. the automation is replacing the unemployment, e.g. the automation is replacing the work of many people.work of many people.

Kinds of unemployment Kinds of unemployment cont.cont.

cyclical unemploymentcyclical unemployment - - connected connected with the with the changeschanges of of the economic the economic boom and with cyclical boom and with cyclical fluctuations. fluctuations. ItIt risesrises during economic crisis, during economic crisis, decreases in the decreases in the time of the time of the revivalrevival..

hidden unemploymenthidden unemployment - - affectsaffects e.g. employees e.g. employees who who are employed part time but against their own willare employed part time but against their own will, , then their qualifications are not being fully used. In then their qualifications are not being fully used. In the centralized economy the centralized economy itit was connected with was connected with the the employing above actual needs. At present employing above actual needs. At present it it appearsappears in the country in the country when when the entire family the entire family earnsearns their their living living from from the agricultural farm which is able the agricultural farm which is able to support only one person.to support only one person.

seasonal unemploymentseasonal unemployment - - connected with the connected with the seasonal demand for work, e.g. in the farming.seasonal demand for work, e.g. in the farming.

Effects of unemploymentEffects of unemployment wwastasting of ing of manufacturing factors, reducing the GDP,manufacturing factors, reducing the GDP, deterioration of the livingdeterioration of the living conditions conditions for the unemployed and for the unemployed and

their familiestheir families loss of qualifications,loss of qualifications, frustration and social pathologies,frustration and social pathologies, increased payments from the state budget,increased payments from the state budget, rrespectingespecting work and possibly best work and possibly best doing itdoing it..

Ways of reducing Ways of reducing unemploymentunemployment

change or improving qualifications,change or improving qualifications, active job-hunt,active job-hunt, taking every work, even taking every work, even the onethe one which requires which requires

lower qualifications,lower qualifications, change of the domicile if somewhere else is change of the domicile if somewhere else is

easier to find jobeasier to find job creating creating places of employment in the public places of employment in the public

sector (e.g. emergency work),sector (e.g. emergency work), providing access providing access toto trainings trainings and and courses,courses, ttakingaking up up self-employment,self-employment, help for enterprises help for enterprises which are which are newlynewly formed formed

(e.g. low-interest loans, legal-financial advice).(e.g. low-interest loans, legal-financial advice).

Instruments of the Instruments of the vocational activationvocational activation

socially useful jobssocially useful jobs internshipinternship ttrainingsrainings raising professional qualifications raising professional qualifications emergency emergency jobsjobs vocational education of adultsvocational education of adults financing medical or psychological examinationsfinancing medical or psychological examinations reimbursement of travel costsreimbursement of travel costs reimbursement of reimbursement of accommodation costsaccommodation costs post-graduate educationpost-graduate education one-time funds granting for the business start-upone-time funds granting for the business start-up granting funds to establish the social cooperativegranting funds to establish the social cooperative encouraging encouraging to participate in theto participate in the activities of the activities of the

integration centreintegration centre

The endThe end