Unemployment is economic and social phenomenon which presents the imbalances existing in the economical activity of the country and affects the social structure of the society. Meanwhile the global financial crisis started in 2007 has increased the level of the unemployment within the world. Despite the fact that the natural rates of unemployment differs from to state to state based on its economical growth, population and other valuable factors, the stable features pertaining to the unemployment should be taken into account. First of all, the unemployment should be understood as the situation where the particular amount of males and females which are able to perform the working activity and fall within the established working age, are seeking for the paid work. Besides, this rate vary according to the differences in the working ages established and the countries (Brandolini, Cipollone & Viviano, 2006).
There are several types of unemployment that are identified by the experts. They are the following:
Frictional unemployment exists in the situation where the workers have to leave or lose the job in order to find the another working opportunities. This type of the unemployment is featured with short-term perspective, while its duration depends on the ability of the workers to find new job and fill the gaps in the labour market. In addition, the state itself may create this form of unemployment by virtue of provision special beneficial sum of compensation that are issued to the unemployed people or that who have lost the job. Therefore, this artificial unemployment may be avoided in case the country has reasonable policy towards the regulation of the labour market.
Structural kind represents the type of the unemployment rate where the discrepancy between the skills available in the labour market and the needs of the state economy in particular workers. In major cases, this kind of unemployment appears due to the development of certain industries with involvement of innovative technologies, while the workers are not experienced enough to provide the appropriate services in this sphere.
Cyclical unemployment exists in different periods of time, while the other types take place during certain periods. In this case the unemployment is completely dependent on the performance of the state and its economic growth. In one year, the actions of the state authorities may diminish the level of unemployment while in some years the new boost in the natural rate appear due to the decline in the economic growth of the country covering import export performance of the state.
Seasonal unemployment is referred to the industries where the profit may be obtained only within particular months, seasons. For example, this unemployment covers the activity of the waiters involved in the holiday ski resorts, as well as ski instructors. In this respect, within other months, these professionals face the necessity to seek for another working opportunities or to increase the professional background in order to stay comparative and employed in the labour market (Thirlwall, 1969).
References
Andersson, D., Andersson, Å., Hårsman, B., & Daghbashyan, Z. (2015). Unemployment in European regions: structural problems versus the Eurozone hypothesis. J Econ Geogr, 15(5), 883-905. http://dx.doi.org/10.1093/jeg/lbu058
Brandolini, A., Cipollone, P., & Viviano, E. (2006). Does the ILO Definition Capture All Unemployment?. Jnl Of The Euro Econ Assoc, 4(1), 153-179. http://dx.doi.org/10.1162/154247606776014668
Thirlwall, A. (1969). Types Of Unemployment: With Special Reference To ‘ Non Demand-Eficient ’ Unemployment In Great Britain. Scottish J Political Economy, 16(3), 20-49. http://dx.doi.org/10.1111/j.1467-9485.1969.tb00036.x
