The seasonal unemployment it means that the demand for a specific type of work and workers varies according to the change of the season. It occurs when demand changes from season to season. This category can include any worker whose employment depends on a particular season.
Seasonal unemployment prevails in those industries that are engaged in seasonal production activities. Such as the agricultural industry, in which the demand for workers is greater during the harvest than is required in other months of the year.
Similarly, in the case of the hotel industry, the demand for catering and cleaning staff is higher during the high season, compared to the demand in the low season..
As the demand for wool clothing will be greater in winter than in other seasons, during this period the need for capital and labor resources in the textile industry will be greater..
Seasonal unemployment means not only the underutilization of labor, but also of the resources used in production.
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Some sources include seasonal unemployment as a fourth type of unemployment. It is part of natural unemployment.
As the name implies, seasonal unemployment results from the usual changes in the seasons. Workers affected by seasonal unemployment include resort workers, instructors, ice cream vendors, and all types of workers who depend on the “peak” seasons..
It could also include people who harvest crops. Construction workers are laid off during the winter in most parts of the country.
Seasonal unemployment does not affect all parts of the country, but varies from region to region. It is more or less predictable, since the period of time during which the demand for the merchandise changes is known with certainty.
It is a form of structural unemployment in which the structure of the economy changes according to the change of season and therefore the demand for labor varies accordingly.
Often times, official unemployment statistics will be adjusted or smoothed to account for seasonal unemployment, which is called seasonally adjusted unemployment..
Seasonality refers to fluctuations in production and sales related to the season of the year. For most products, there will be seasonal peaks and troughs in production and / or sales..
For example, the demand for slippers peaks before Christmas and the demand for plants in garden centers is linked to the planting season..
Having a job for six months of the year is better than not having any job. In tourist areas, workers can offset the seasonal nature of employment by saving during the tourist season and then doing other part-time jobs during the off-season..
However, for those with low-income management consumption over the period of one year, it can be difficult if employment is irregular. Although income can only be earned a few months out of the year, bills and rent will need to be paid every month.
Areas of the country with high seasonal unemployment can become unattractive. Local workers can leave to find more stable jobs elsewhere.
It depends in itself on the flexibility of the job. Particular regions with seasonal demand may try to find ways to encourage temporary migration. For example, student jobs for busy summer periods.
Due to seasonal unemployment, official government statistics on unemployment are often seasonally adjusted. This means that the unemployment rate adjusts to take account of typical seasonal fluctuations..
- Attempts should be made to diversify the economy. This could be difficult to do in tourist areas.
- Regulations that involve having to pay workers throughout the year, even if the work is temporary.
- Government job creation to improve infrastructure during low season.
Simply, seasonal unemployment is caused by the period in which the demand for labor and social capital is reduced due to a decrease in demand in the economy, at a certain time of the year.
Unlike cyclical unemployment, seasonal unemployment occurs in a more or less fixed and predictable way, as it is caused by changes in demand that depend on the time of year.
Seasonal unemployment is actually a type of structural unemployment, as the structure of the economy changes seasonally and the demand for workers changes accordingly..
For example, in November and December, there is an increase in the demand for Christmas decorations and holiday-related products, and in July and August there is an increase in the demand for holidays..
The demand for these goods and services creates a demand from the workers who can supply them.
Examples of seasonal jobs are: landscapers and gardeners in areas of the country that have snow. Suppliers of fishing and hunting equipment in states where there are areas with defined fishing and hunting seasons.
School teachers can be considered as seasonal, as the vast majority of schools end or limit their operations during the summer period.
Similarly, construction workers living in areas where it is challenging to build during the winter months.
Some commercial stores hire workers on a seasonal basis during the winter holiday season to better manage the familiar increase in sales. However, these workers are released when demand declines, subsequent to vacations..
For example, in a ski resort unemployment is likely to be highest in the summer when there is no snow.
In tourist areas, seasonal unemployment could be a big problem, because work is only available for a few months of the year.
Extra Christmas help is always required from Black Friday through the first week of January. Seasonal employment is just that: a job only for a specific period of time..
Often times around Christmas time, unemployment drops because additional jobs are available. For example, the Royal Mail hires additional workers for mail delivery.
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