Essay on Effects of Employment on the Economy

Employment refers to the state where individuals of a majority age have finished at least one hour of work in a particular measured period, or are shortly away from their work station because of holiday. In short, employment involves a individuals involved in the productions of goods and services while getting payments in return. However, unemployment refers to the state in which certain individuals in a country or region do not have a stable job or a stable source of livelihood. The different categories of employment includes; self-employed, employees, unpaid family workers and government-funded training schemes participation. Apparently, It is almost impossible to have zero unemployment in any country. However, employment poses significant benefits to the economy either, individual, state and the general society.

Is your time best spent reading someone else’s essay? Get a 100% original essay FROM A CERTIFIED WRITER!

Order now

Consequently, from the various literatures, employment has contributed a lot for the economic growth in countries. United Arab Emirates citizens, for instance, will benefit from the financial independence, personal satisfaction. Therefore, the financial security wll increases the spending power thereby stimulating economic growth. Similarly, employment increases the governments annual revenue due to the increased tax revenues. The increase tax incomes will facilitate healthy national budget that will tackle every economical needs of the country. However, the employment positively contributes to the countrys economy through an increased productive economy that enhancing the spending power resulting to improved economy. Also, through employment, the social and economic issues such as theft, poverty, drug abuse, family violence and rape are reduced thereby increasing higher quality of life. Further, the education, security, health care, is strengthened in the community.

Besides, increased rate of employment will promote development of skillful and talented workforce who will encourage technical and business innovation to increase the countrys economic productivity. Thus, the countrys burden of outsourcing products and services from other country is greatly reduced. Moreover, from the article, an individuals investment and saving levels significantly increase. Notably, employment has resulted to the public, social, and community goods and services that may reduce racial and ethnic tensions and differences since there is community equality hence promotes political and social stability.

The government of UAE should employ various strategies that will promote increased employment while eliminating the chances of increased unemployment through strict sustainable policies. To begin with, the government needs to put more financial muscles in job creation schemes meant to foster employment, promote job ready people, and also support the small and medium enterprises who are the backbone of the UAE economy. Secondly, the government support in providing strategic leadership and long term direction to promote peoples skills and development is a key policy in promoting employment. For instance, investment in training by supporting the training institutions to ensure the highly skilled workforce is enabled. Thirdly, tax policies can be fundamental in promoting employment rate in a country. The government can adopt tax policies that make the employers or companies to easily hire or additional staff especially from the groups who normally struggle in the labour market.

Moreover, cases of protectionism are usually increased in cases where unemployment rates are high. Protectionism refers to a case where the government put in place a lot of restrictions to restrict international trade with an aim of ensuring that the competition between the locals and the foreigners for jobs and opportunities are reduced. All the three articles confirm that protectionism due to unemployment can lead to various cases of revenge and retaliation by the foreign countries whose citizen have been deprived of the right to enjoy the emigrants countrys privileges (Eckert, 2010). Without the policies, the government will always feel the pinch of unemployment of her people since shell no longer be able to collect sufficient funds in form of taxes. The governments will therefore in most cases resort to foreign borrowing and increased foreign debts. Additionally, a federal law was established by the UAE to help support the unemployed in May 2012. However, this has been ineffective due to the large number of the unemployed individual in most states of the UAE. According to the UAE, the private sector provides jobs for most individuals in the UAE countries. The federal government only employs 8% of the population. This is a policy that was put in place to ensure that the unemployment rates are reduced in the UAE countries (Low, 2012). Besides, UAE policies that supports education is significant in promoting skills and qualifications students require in their work.

Employment has several positive effects to any country as described above and should be enhanced by all costs. It directly affects the countrys economy, trading and security.

References

Eckert, J. H. (2010). Baring the Middle East enigma: A raucous look on how to live, work, and survive in the Middle East. Denver,

Colo: Outskirts Press.

Howard, C. (2005). Encyclopedia of distance learning. Hershey, Penns: Idea Group Reference.

Low, L. (2012). Abu Dhabi's Vision 2030: An Ongoing Journey of Economic Development. Singapore: World Scientific.