The Growing Problem of Unemployment in Pakistan and How to Fight it?

As of September 2021, the unemployment rate in Pakistan was reported to be 5.7%, which is down from 6.9% in September 2020. However, it is important to note that the COVID-19 pandemic has had a significant impact on employment in Pakistan, with many individuals losing their jobs or experiencing reduced work hours.

The pandemic has also led to a shift in the types of jobs available, with many individuals turning to gig work or self-employment as a means of earning a living. This has been particularly prevalent in the informal sector, which has seen a rise in demand for delivery services, online marketplaces, and other types of digital work.

In addition, there are significant regional disparities in unemployment rates in Pakistan, with higher rates in some provinces and lower rates in others. For example, the unemployment rate in Balochistan was reported to be 7.5% in September 2021, compared to 4.4% in Punjab.

Overall, while the unemployment rate in Pakistan has decreased in recent months, the ongoing effects of the pandemic continue to impact employment opportunities and there are significant disparities across regions and sectors.

5 Reasons Contributing to the Unprecedented Rise of Joblessness in Pakistan:

There are several reasons contributing to the unprecedented rise of joblessness in Pakistan. Here are five of them:

Population Growth: Pakistan has one of the world's fastest-growing populations, with a population of over 220 million people. This rapid population growth has put pressure on the economy, making it difficult to create enough jobs to keep pace with the growing labor force.

Lack of Economic Growth: Pakistan's economic growth has been sluggish in recent years, averaging around 3%annually. This slow growth has limited the number of job opportunities available and has also made it difficult for existing businesses to expand and create more jobs.

Poor Education System: Pakistan's education system has long been criticized for being inadequate and failing to provide students with the necessary skills and knowledge to succeed in the workforce. As a result, many young people struggle to find employment or end up taking low-paying jobs that do not require advanced skills or education.

Political Instability: Political instability and security concerns in Pakistan have also contributed to joblessness. These issues have deterred foreign investment and made it difficult for businesses to operate, leading to a lack of job opportunities.

How Technology Can Help Create Jobs & Reduce Unemployment?

Technology can play a significant role in creating jobs and reducing unemployment in several ways:

Digital Skills Training: Providing digital skills training to individuals can help them acquire the skills needed to work in technology-related fields. This can include training in areas such as software development, data analysis, and digital marketing. Digital skills training can also help individuals find employment in sectors that are becoming increasingly digitized.

Entrepreneurship: Technology has made it easier for individuals to start their own businesses, which can create jobs and contribute to economic growth. Platforms such as e-commerce marketplaces, app stores, and social media can provide entrepreneurs with access to customers and resources that were previously unavailable.

Remote Work: Technology has enabled remote work, which can create job opportunities for individuals who live in areas with limited job prospects or who have difficulty commuting. Remote work can also help companies save on office space and other overhead costs.

Automation: Automation can help businesses increase efficiency and productivity, which can lead to job creation. While some jobs may be displaced due to automation, new jobs can be created in areas such as robotics, artificial intelligence, and software development.