Unemployment and underemployment
What are underemployment and unemployment?
Underemployment happens when a job does not make full use of an employee’s abilities. This could include not providing them with enough hours, such as making them work part-time hours while they prefer to work full-time. The person may also be overqualified for the position and unable to put their expertise or abilities to use in their current position. Employees who are unemployed may have to perform multiple jobs to cover their living needs.
Unemployment occurs when a person is actively looking for work yet goes for an extended period of time without being hired. These people want to work but are unable to do so due to a lack of jobs in their industry, a lack of qualifications for open positions, or too much competition from other unemployed people.
Types of underemployment
Employees that are overqualified have greater talents or a higher education level than their work requires. An employee with a law degree, for example, would be overqualified if they worked at a retail business. They are unable to apply their complete knowledge and skills in their current position.
Manning, for example, earns a Bachelor’s Degree in Software Engineering. However, he discovers that there are no current job openings. Because software engineering jobs require at least three years of experience, he works as a waiter instead of looking for work in the industry he studied in college.
A corporation may hire more workers than it requires. As a result of this arrangement, a company may have several employees working part-time hours rather than fewer employees working full-time. Companies may see a drop in sales, forcing them to reduce staff hours in order to save money. Businesses with strong seasonal sales, such as retail businesses, may face this all year. Overstaffing in an industry can occur as a result of older personnel refusing to retire or the popularity of a certain field of study.
Changes in technology are a common cause of underemployment. As technology improves, machines may eventually replace humans. Automation has an impact on a wide range of industries, including individuals who work in warehouses and banks. For example, the advent of ATMs reduced the necessity for bank tellers by allowing customers to withdraw money from a machine rather than waiting in line to speak with a teller. Employee hours are reduced or eliminated entirely in this case.
How to avoid underemployment?
1. Create a job search strategy
Consider developing a job search plan based on your previous experience and talents, as well as your future career goals. This technique might assist you in determining the type of career you will love and flourish in. Make a list of the job titles, industries, business names, and areas where you want to work. Jobs that you apply for should include the majority of these characteristics so that you have a better chance of enjoying your work and putting your skills to use.
2. Consider vocational training
Making yourself more desirable to an employer based on your further training is one strategy to lower your odds of underemployment. If an employer reviews resumes and notices that five candidates have the same degree, they may contact the one with greater experience.
3. Gain more work experience
Recent college grads may struggle to compete for a job with a huge number of applications. Gaining relevant experience to boost employability is one approach to become more competitive. For instance, if you want to work as an intern at a law firm, you could join a debate team. This can demonstrate to the company that you are actively working on the skills required for the job.
4. Improve your resume
A great CV might increase your chances of getting the job you want. You can edit your resume to include all of your relevant skills and experiences. Each time, try to adapt your resume to the position you’re applying for by incorporating keywords from the job description. Personalizing your application helps demonstrate why you are qualified for each position and boost your chances of being interviewed.
Networking with others is one technique to increase your chances of working full-time hours. You could go to networking events to meet new individuals who can help you find work. They may also be aware of open employment that match your qualifications and education.