in which employees are not being fully made use of.
All forms of underemployment have an effect on the economy and the health of the business community.Longterm underemployment can also cover up the truth behind the employment situations.When nations collect employment statistics,they usually come up with a base number of “unemployed” individuals,using that number to judge the health of the job market.This number does not include parttime workers looking for fulltime jobs,as they are considered employed,and it also doesn't reflect workers who are underpaid,considering their qualifications.
In the first sense,underemployment is a common problem in many of the developed world.Many people with college degrees are working in lowlevel or service industry jobs because the job market is full.
The issue of parttime employment is also very serious.Some people are forced into parttime jobs,while others find themselves taking a parttime job because nothing else is available,even though they really need to work fulltime.This problem is especially common in areas with seasonal employment,where employers find it cheaper to maintain and lay off parttime staffs,rather than keeping a full staff at all times.
In the sense of shortage of workers,underemployment appears in a variety of situations.Some companies maintain a full staff to be prepared for seasonal work,or to keep welltrained,qualified workers so that they will be available when needed.Labor laws and union pressures may also prevent a company from cutting down on staff or working hours,leading to a situation in which people report to work,but have nothing to do.
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