An increase in unemployment rates can lead to reduced economic development of a country. Some governments have unemployment training programmes in place to help the unemployed. One example of this government-funded programme is the Graduate Career Accelerated Programme (GCAP). This programme is six weeks long and emphasizes on improving oral skills. After completing the programme, they would then be referred to companies for possible employment. These types of programmes can put a strain on a government’s budgets if they expand them. In some cases, a government may consider re-allocating funds from other areas of development to fund these benefit programmes. A government may also take loans to expand these programmes. This can lead to reduced government spending in developing certain aspects of a country, including education, infrastructure and healthcare. Progress would face setbacks as governments prioritize helping the unemployed.

 

            Besides reduced economic development, high unemployment rates can also lead to exploitation of labour. When unemployment rates in a country are high, there will be a surplus of labour in an economy. The unemployed are often desperate to find a job to earn income. As long as they are able to make ends meet, some unemployed people would go so far as to accept low paying work in harsh environmental conditions. Businesses and companies in turn would be able to exploit this situation to hire more workers with lower wages and salaries. In extreme cases, employers would neglect their employees’ basic needs. Moreover, the employees would be caught between a rock and a hard place as they are in a disadvantageous position when it comes to filing complaints.

 

Other than reduced economic development and exploitation of labour, a study done by Cristobal Young in 2012 has shown that high unemployment rates have been proven to lead to increased crime rates. Unemployed people may be tempted by criminal activities as they may view it as an easy way to sustain their incomes. Some of these crimes that they may commit include theft, robberies, drug trafficking, and even prostitution. Crimes such as these are more common in rural areas and underdeveloped nations as they lack adequate employment opportunities. Besides crimes, they are also often tempted to join illegal gangs and terrorist organizations. For example, the growth of piracy and emergence of armed terrorist groups in Somalia is fueled by unemployment due to decades of political instability that caused millions of people to be unemployed. People in Somalia joined these groups as a way to sustain themselves and  as a sign of protest against the government.

In conclusion, high unemployment rates have severe negative effects towards society, which are reduced economic development, exploitation of labour and increased crime rates. These negative effects could spell the downfall of a society if it is left unchecked. Unemployment is an issue that plagues our society, and it is set to worsen as we move into the age where robots and artificial intelligence will replace many of our jobs. Everyone from individuals to communities to the government needs to play their own respective roles in creating more job opportunities and curb the ever increasing unemployment rates for the sake of the next generation.