This paper seeks to provide an understanding of the employment situation in Bangladesh analyzing potential sectors and required policies for employment. The study found the vulnerable situation of job opportunity and underemployment with gender and region specific discrimination. The findings also showed that small and medium enterprises (Smes), ICT Sector, vocational training and overseas employment and employment in RMG sector were potentials sectors of employment opportunities for Bangladesh.
The study follows an analytical research. Data were collected form secondary sources. Sources of data were several government conducted survey specially “Labor Force Survey 2013”with different published journals, books and reports. Data were also collected from different concerned non-government organizations. This paper has used simple statistical tables and graphs to analyze the issues.
Bangladesh is a country with 163 million people where employment is the major source of income and livelihood for most of the economic active people. The labor force is growing in Bangladesh at higher rate than the rate of growth in population. In 2015 Government of Bangladesh claimed that the labor force participation rate was 57.1 percent with 4.3 percent unemployment rate which was about 2.6 million in number. As the country is experiencing its first demographic dividend these young population demand both quality and quantity opportunities in the employment sector.
Table of Contents
1. Introduction
1.1. Methodology and Data Sources
2. Demographic Dividend and Economic Active Population in Bangladesh
2.1. Labor Force Characteristics and Employment Situation of Bangladesh
2.2. Unemployment Situation of Bangladesh
3. Potential Sectors of Employment in Bangladesh
3.1. Small and Medium Enterprises (Smes)
3.2. ICT Sector
3.3. Vocational Training and Overseas Employment
3.4. Employment in RMG Sector
3.5. Policy Suggestions
4. Conclusion
5. References
Objectives and Themes
The primary objective of this paper is to provide a comprehensive analysis of the employment situation in Bangladesh, exploring the challenges of job creation and underemployment amidst the country's demographic dividend. The research examines structural economic shifts, labor force characteristics, and identifies key sectors with the potential to absorb the growing youth population.
- Demographic trends and the transition to a demographic dividend.
- Disparities in labor force participation based on gender and region.
- The impact of informality and underemployment on economic development.
- Growth potential in SMEs, ICT, vocational training, and the RMG sector.
- Policy recommendations to enhance job quality and reduce unemployment.
Excerpt from the Book
3.1. Small and Medium Enterprises (Smes)
Small and medium enterprises (SMEs) both are considered as the engines of growth of innovation around the world. They play significant role for driving economic growth and creating jobs. According to Rahman (2015) Small and medium enterprises are playing a significant role for accelerating industrialization, economic growth, job generation and reducing poverty in Bangladesh. The total contribution of SMEs to export earnings differs from 75 percent to 80 percent. The industrial sector contributes 31 percent of the total gross domestic product (GDP) most of which is coming from these SMEs. According to him the total number of SMEs in Bangladesh is estimated to be 79,754 among them 93.6 percent are small and 6.4 percent are medium. The 2003 Private Sector Survey estimated that there were around 6 million micros, small and medium enterprises running with less than 100 employees. Most of the SMEs are located outside the metropolitan areas of Dhaka and Chittagong. Surprisingly SME sector of Bangladesh has created 15 lakh new jobs between 2009 and June 2014. A developing country which is experiencing demographic dividend like Bangladesh, SMEs can be considered as an effective way for the reduction of unemployment. Seasonal unemployment underemployment can be solved by the extensions of SMEs. SME can reduce the rural to urban migration in the capital Dhaka and other cities by increasing living standard of the rural population. SMEs can reduce the urban – rural income gap in Bangladesh which may be also considered as a poverty reduction strategy. Fatima and Ahmed (2017) stated that access to finance and training are two vital constraints for SMEs. The also claimed the government’s policy and financial- technical support are needed to promote the SME product for the global market. The demand for SME products is still high outside Bangladesh which is a big opportunity for the country.
Summary of Chapters
1. Introduction: Presents the employment landscape in Bangladesh, emphasizing the link between poverty and job access, while outlining the challenges posed by the country's demographic dividend.
1.1. Methodology and Data Sources: Describes the analytical research approach using secondary data from government surveys, specifically the Labour Force Survey 2013.
2. Demographic Dividend and Economic Active Population in Bangladesh: Analyzes the age structure of the population, highlighting the youth bulge and the necessity of converting this demographic window into a productive workforce.
2.1. Labor Force Characteristics and Employment Situation of Bangladesh: Examines structural economic changes, labor force participation rates, and the composition of the employed population by gender and sector.
2.2. Unemployment Situation of Bangladesh: Investigates the definitions and trends of unemployment, noting higher rates among women and rural populations.
3. Potential Sectors of Employment in Bangladesh: Explores key industrial and service sectors that offer opportunities for economic growth and job creation.
3.1. Small and Medium Enterprises (Smes): Highlights the role of SMEs in driving industrialization and job creation, while identifying constraints like access to finance and training.
3.2. ICT Sector: Discusses the emerging significance of the ICT industry as a top sector for graduate employment and its projected contribution to GDP.
3.3. Vocational Training and Overseas Employment: Evaluates the impact of vocational education policies and the role of international labor migration in remittance inflow.
3.4. Employment in RMG Sector: Details the importance of the Readymade Garment sector as a massive employer, particularly for women, and its potential for further expansion.
3.5. Policy Suggestions: Provides a comprehensive list of recommendations to improve the labor market, ranging from educational reform to infrastructure and investment policies.
4. Conclusion: Synthesizes the core findings, reaffirming that addressing educational and investment gaps is critical for realizing the full benefits of the demographic dividend.
5. References: Provides a comprehensive list of academic, governmental, and organizational sources cited in the analysis.
Keywords
Bangladesh, Employment, Labor Force, Demographic Dividend, Unemployment, Underemployment, SMEs, ICT Sector, RMG Sector, Vocational Training, Overseas Migration, Human Resource, Economic Growth, Policy Reform, Labor Market.
Frequently Asked Questions
What is the core focus of this research paper?
The paper primarily explores the employment situation in Bangladesh, analyzing how the country can effectively utilize its demographic dividend to create sufficient and quality jobs for its growing youth population.
What are the central themes discussed in the document?
The central themes include labor force participation, the structural shift from agriculture to industry and services, the challenges of underemployment and informality, and the potential of specific sectors like SMEs and ICT to boost the economy.
What is the primary research goal?
The goal is to provide an understanding of the current employment landscape in Bangladesh and identify strategies and policy actions needed to address unemployment and regional/gender disparities.
Which scientific methodology does the paper employ?
The paper follows an analytical research design, utilizing secondary data primarily from the Bangladesh Labour Force Survey 2013, supported by reports, books, and statistical graphs.
What topics are covered in the main section of the paper?
The main section evaluates specific high-potential sectors for employment—SMEs, the ICT industry, vocational training, and the Ready-Made Garment (RMG) sector—alongside a set of policy recommendations.
Which keywords best characterize this work?
Key terms include demographic dividend, employment generation, unemployment, SMEs, labor force participation, and policy intervention in the context of Bangladesh.
How does the author define the impact of the Readymade Garment (RMG) sector?
The author identifies the RMG sector as a major source of employment, particularly for women, and suggests that the country could benefit significantly by capturing market orders shifting from China.
What specific challenges are mentioned regarding youth employment in rural areas?
The paper highlights that rural areas suffer from higher unemployment rates compared to urban centers, exacerbated by a lack of quality education, technical support, and the limitations of the current employment entry age rules.
- Quote paper
- MD. Mahir Faysal (Author), 2017, A Comparative Analysis of the Employment Situation in Bangladesh. Potential Sectors and Required Policies for Employment, Munich, GRIN Verlag, https://www.grin.com/document/373854
