Unemployment

Technological changes are responsible for a good deal of unemployment. Mechanisation and automation are major jobkillers. Many functions that were performed by machines. First unskilled workers were made redundant, then even more qualified workers and white-collar workers.
On the other hand job recruits with good knowledge of electronics and mechanics, a rising technical competence and also a wide general education are needed.
The market has also changed. Goods that sold well in former times are not needed anymore. Firms that don't adopt their production programme must be closed down. During a recession people don't invest much money.
Lacking research and inadequate investment are also reasons for poor economic growth. Antiquated industries must become more efficient again. More research and new industries are necessary. Competition is getting tougher and tougher. Countries, where the general standard of living and the wages are lower, can produce quite cheaply and export their products to industrialised countries - so they keep the prices down.
Qualified workers often can't find a job in the field they are qualified for - so they are on the dole. One reason is that many students choose subjects without thinking of the job openings.
More flexibility and a wide range of training schemes are necessary to help them find a job in another line of business and to adopt to the changing requirements of the labour market.
School leavers should be given better information about career - possibilities, but it is difficult to foresee which jobs will be needed in the future.
New jobs are created in the field of environment, social services and so on.
Retraining programmes are offered to those who can't be employed in their old jobs; there they learn new skills that may help them.
Further solutions have been suggested: job sharing, a general reduction of working hours, retirement at an early age, a reduction of overtime, capacity oriented working hours and so on.
Most industrialised countries have a well developed welfare System. People who are out of work receive unemployment benefit but only for a limited period of time, then they may have to live below poverty level.
Psychological problems: in our society, where money means success, the unemployment feels useless and he will consider himself a failure. He loses his self-confidence and becomes depressed, which may lead to alcoholism, drug problems, radicalism...