As Bayelsa State Government continuously strives to rid the state off all its Cyclical unemployment worries, critical questions need to be asked.
Who’s responsibility is it to create jobs? The government, the private sector, or both? These are no easy questions. Unemployment is one of the biggest problems among countries in the world, and is caused by reasons far more complex than it may seem.
Suddenly becoming unemployed is difficult in any form or fashion, as so many factors are affected by the inability to earn an income, and when that inability is challenged, you may not know what to do or where to turn.
It’s a truism in the case of unemployment that, What’s not part of the solution is part of the problem, and if there’s one thing unemployed people don’t need, it’s more problems. Let’s face it, it’s just not possible for every willing worker to find a job, perhaps there are more people than there are job opportunities, you may beg to differ.
States and municipalities hit by budget cuts are usually over whelmed by the tremendous burden on its economy, as hundreds if not thousands of people are either added or remain ranked as unemployed.
There is a theory that some types of cyclical employment can themselves create future structural unemployment, a condition known as hysteresis.
This occurs when people are out of work through structural unemployment for such a long period that they fall behind in both general work experience and in developing particular new skills. This can mean that, even when the economy of a state picks up, these people will find themselves unsuitable candidates for the new vacancies that arise.
For instance, Small and medium-sized enterprises (SME), which make up 99 percent of all enterprises in China, are a vital force for the sustained development of the Chinese economy witnessed today.
The number of registered SMEs in China has exceeded eight million, and both industrial output and export volume of these enterprises make up 60 percent of China’s total.
The Chinese government is giving much attention to the development of SMEs, thus a law on SME promotion has been approved and will be implemented by China’s authorities to ensure these companies’ continuous growth.
SME’s play an important role in easing unemployment, as studies have shown, it can provide three quarters of employment opportunities in states, if well harnessed.
No Government can completely rid unemployment, but with strategic tools,
it can paralyze its growth.
1) Funding SME’s:- As part of its efforts to boost small and medium scale enterprises in the state, the Government of Bayelsa recently concluded plans to inject N20bn into a special SME’s fund, alongside taking a census of all SMEs in the state.
It is evident, the Seriake Dickson led Government is keen to develop an effective system, in order to provide, SMEs with an integrated package of funding, training and technical support through close collaboration between the public and private sectors.
Already, the Enterprises Development center of the Lagos Business School will partner with the Department of Enterprises Development of the Niger Delta University to equip undergraduates with entrepreneurship skills.
2) Underwriting Export:- Bayelsa’s economy needs to evolve from a consumer-based economy to one that relies more on exports. For products that have low profit margins, government may elect to underwrite the cost of shipping, particularly for businesses that are relatively small. This is one of many hurdles that almost any other trade-based solution to the economy and employment must face head on.
3) Encouraging local manufacture and patronage of made in Bayelsa products:- Already, Government is making effort to strengthen the domestic manufacturing industry, by placing adequate infrastructure, garnished with strong financial support . Once all is set, the state will then dole out incentives to the industry, linked to targets.
4) Synergy between Ministry of Science & technology, Manpower development, Private companies and Multinationals:- Employment exchange may be a mere formality in most developed countries, but its contribution towards alleviating unemployment is outstanding. Proper Funding of the Manpower ministry by Government is paramount,and the ministry must ensure it synchronizes correctly and quickly with private companies and Multinationals, which provide the maximum job opportunities.
5) Providing Better Educational Facilities for Citizens: – Education creates employment, so a state with good educational facilities will have less unemployment, hence the state of emergency in the education sector.
6) More Job Fairs: – Government should initiate job fairs, to form a bridge between companies which have employment opportunities and people who need employment in the state.
7) Improving Pay Scales to Reduce Unemployment by Choice:- Many people choose to be unemployed, in order to do things they like, to avoid working on low pay scales. Improving pay scales in government and public sectors will give fewer options for people to stay unemployed by choice.
8) Free Market Policies:- Free market ensures a balance between demand and supply of labor. The production and consumption of goods and services is a function of the private sector, not the government. Employment opportunities are created by producers/suppliers, So the emphasis is on limited government and a strong private sector.
9) Increase in Government Grants to Public Sector Companies: – Public sector companies are also known to create hundreds of job opportunities. So an increase in grants to these companies will imply better functioning which will eventually help people who are unemployed.
10) Fiscal policy- Government taxing and spending is fiscal policy. A government can slow an economy by increasing taxes, thus reducing the amount of disposable income of consumers, and redirect that money to specific projects, as is the case in the present dispensation.
Also, reductions in direct taxes will encourage more people into work, and also increase the level of disposable income, hopefully leading to a positive multiplier effect.
11) Immigration:- There is the argument that non Indigenes from other states,who migrate to bayelsa, end up taking jobs quotas meant for indigenes. Be that as it may, Government must check-mate this ugly trend to ensure utmost priority is given to unemployed bayelsans, once there are job openings.
12) Promote value of labour:- Politicians should promote benefits and perspective of any work. During campaigns, a display of the negative effects of inaction and wasting one’s time should be factor in. Bayelsans need to know, work broaden our horizons and allow us to feel more important and responsible for our duties.
No matter how challenging an unemployment situation might be, it presents an opportunity to evaluate the advantages and disadvantages of the situation, your life and possibly discover a better means of planning for your success in the future.
The Restoration Government has already set the ball rolling with heavy investment in Agriculture, education, infrastructure, health, science and technology, sports, security, investment drive, etc, as each sector is key to employment generation and commendation must be given government, in its continuous bid to re-position the state, as a top investment hub and world economic player.
Written by Blessing Oyanimigh, Special Assistant on Social Media to Bayelsa State Governor.
