Unemployment is one of the serious challenges that is staring in the face of many economies today, especially after the recession of 2008. More recently, there have been concerns of lesser number of job vacancies even in emerging countries like India and China, which were least hit by the recession, due to higher inflation rates and slower pace of economic growth. Unemployment is one of the main reasons for poverty as also one of the causes for rising crime rates and suicides. Eradicating it is one tough task and a major concern not just for the governments but also for all those who can actively contribute to be job-creators and not job-seekers.
The system of education in India today creates store-houses of knowledge devoid of creative thinking and new ideas. It is stereotype and rot learning that our system encourages. Our education system, barring a few exceptions, lacks the foundations to nurture entrepreneurs, who are willing to take risks, learn from mistakes and create empires of their own. We rear children to become doctors and engineers today without knowing where their true abilities lie. And these pseudo-educated knowledgeable citizens find it hard to contribute to the nation’s economy effectively as well as to their own income and pockets.
Today, in India we face a shortage of skilled labour and manpower in blue collared jobs like those of electrician, plumber, coconut-tree climber and so on. The persons involved in these professions today can demand more as the supply of such workers is low. Various subsidy and welfare schemes by the government have also given birth to the new practice of ‘full stomach without work’ through free rice, television and grinder schemes by some governments. These schemes encourage laziness and a lack-luster attitude towards taking up jobs and eventually erode the government exchequers. Hence welfare schemes should not be allowed to go over-board; After all, in the long run, teaching a person to fish is much more valuable than feeding him a fish everyday. Bringing in skilled labour force for such manual works and also fixing a scale of wages for them will help encourage people to take up these jobs as well provide the industry with sufficient manpower in the form of labourers.
India also needs many more new Tata’s and Birlas and Ambanis to increase the output of our manufacturing sectors. India today seriously needs to grow in the manufacturing sector to sustain its high GDP growth rates. We as youngsters should pool in our ideas and work towards creating new entrepreneurial ventures. As job-creators we can form that part of India that offers livelihood and support to millions. Youngsters with ideas for ventures should not hesitate to take risks but should do what their heart tells them to do and not follow the herd. Eradication of unemployment and creation of jobs is the combined effort of the government and the spirited and dedicated citizens with a vision. Let us strive to be one among them!
For reduction of unemployment, entrepreneurship in small and tiny sector industries, both in manufacturing and service sectors, is imperatively needed. Thus, the role of entrepreneur and its significance in generation of employment opportunities can be depicted under the following heads.
Establishing tiny, micro and small scale entrprises: Role of entrepreneur in establishment the above types of enterprises is perceived as a powerful medium to address several socio-economic issues and the chief among them is generation of employment opportunities for millions. In a developing economy like India, where population pressure is quite high and job employment is limited, the role of entrepreneur is very much significant. Entrepreneurial development gives rise to economic independence through self-employment. Creation of tiny, micro and small enterprises by the entrepreneurs can lead to creation of both self- employment and wage- employment opportunities, thereby solving the problem of unemployment in the economy.
Giving emphasis upon village and cottage industries
Upliftment of economically backward sections of the society can be possible if self- employment opportunities can be provided at the grass root level. To enable these people in backward regions of the state to set up village and cottage industries, government has implemented several antipoverty programmes like PMRY, TRYSEM, SGSY, REGP etc, and the importance of entrepreneurs in cottage and village industries sector has been clearly acknowledged by Mahatma Gandhi by his policy priorities in village upliftment including khadi and village industries in his famous constructive programme in 1922. Prior to independence, cottage industries and handicraft production located in rural areas had occupied a distinct place in Indian economy because of their high potential in employment generation and income creation especially in rural and backward areas. As such, entrepreneur can play a significant role in setting up and reviving the cottage and village industries, thereby creating employment opportunities to a large number of people living in rural and backward pockets of the country.
Utilising the surplus labour force in industrial activities
India is a primary producing country. This characteristics feature is further accentuated by seasonality feature of the agriculture. Therefore, for a large part of the year, people remain , more unemployed. Disguised unemployment is a chronic phenomenon in agriculture where in more people work in a field than actually required. So the surplus labour force is transferred and utilized by the entrepreneur in non-farm sector activities like small tiny, cottage and village industries which are labour intensive in nature.