| Abstract [eng] |
Understanding the causes of unemployment has proved one of the major challenges of modern macroeconomics. Unemployment is a central problem in modern societies. When unemployment is high, resources are wasted and people’s incomes are depressed. During such periods, economic distress spills over to affect people’s emotions and family lives. Structural unemployment signifies a mismatch between the supply and the demand for workers. Mismatches can occur because the demand for one kind of labour is rising while the demand for another kind is falling, and supplies do not quickly adjust. We often see structural imbalances across occupations or regions as certain sectors grow while other decline. Structural unemployment usually lasts longer than frictional unemployment, because workers must usually retrain and possibly relocate to find a job. Structural unemployment is painful, especially for older workers for whom the best available option might be to retire early or take a lower- skilled, lower – paying job. The Lithuanian government responded to changes in the labour market by approving the national program for increased employment and Lisbon strategy. The strategic objectives are to cope with negative consequences of structural economic reforms and the external impact on employment and labour market, increase employment, reduce unemployment, restore balance in the labour market. Long term unemployment becomes a severe problem in the labour market. The current system of vocational education and training is not wide enough and is unable to ensure general accessibility and sustainability of vocational education and training. In this study you also will find analysis of statistic data of unemployment rate of Lithuania and European countries, structural unemployment rates in different countries. |
