Solving the unemployment problem is not just an economic agenda, but a historical responsibility to improve the democratic future. The issue of labor and employment has not been a priority in Nepal in the past and is likely to remain so in the future.
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The issue of unemployment in Nepal has been a topic of debate for years, but no meaningful progress has been made. Although traditionally the issue of infrastructure development and economic prosperity has repeatedly received priority, it appears that the issue has entered the political agenda, possibly in the first Constituent Assembly elections.
Although the issue of order and freedom has been raised in political changes in various periods of history, it seems that those in power have not paid due attention to the fact that ‘the real problem is unemployment’. We need to be serious about the problem of unemployment that creates a crisis in trust in the state, questions the government’s ability to work, and expands the rebellious psychology of the young generation. In Nepal, educated, skilled, and capable youth who are capable of economic transformation go abroad without opportunities or become directionless, and vent their anger on social media and take to the streets in protest are more economic and social agendas than political ones.
Unemployment as a factor in regime change
Global studies have stated that unemployment has an impact on three levels. The ILO’s ‘Global Employment Trends Report’ published in 2022 has stated that unemployment not only reduces the financial situation of families but also negatively changes the productivity of individuals. Whether it is the periodic plan of the Government of Nepal or the report of the Ministry of Labor, it has been mentioned that the problem of unemployment has a direct impact on the livelihood of individuals and families and has added pressure on foreign employment. It is certainly not the case that people directly and indirectly involved in the running of the state have not recognized this problem. The Nepali unemployed are affected by mental anguish and despair as the country has not been able to carry out employment promotion work despite having higher education and knowing various professional skills. A study by ‘Political Demographer Richard Silkota’ has mentioned that it has increased conflict and social imbalance in the families of the unemployed. Samuel Huntington and Heinrich Urd, the creators of the ‘Youth Bulge’ theory, say that the country will progress quickly if the age group of 15 to 29 can be involved in employment. They have mentioned that if this age group cannot be mobilized in the productive sector or if they become unemployed, such a situation will be a recipe for political explosion.
The general public believes that the state's focus in Nepal is limited to certain individuals and classes rather than inclusive development and prosperity. As Maslow's theory states, although basic physical and security needs are the first and second priorities, the general public believes that resources and means are being spent on the respect and self-realization of certain groups and individuals in Nepal.
Although political instability and regime change are said to be due to youth movements around the world, the state structure has changed due to the frustration of the educated unemployed, lack of processing in the labor market, and ineffective state structures.
Digression in the anger of Nepali youth
There are also many claims that various national and international forces have a strong presence to change the regime in Nepal. Although 'geopolitical' and 'geoeconomic' reasons cannot be denied, the change of power has basically come from Nepal's own youth. There have been 18 political upheavals in Nepal's history. In this, it can be said that the main topic is digression when it comes to frustration with political rights or the system. State administrators and policymakers need to know that the growing disillusionment among the youth with governance is more due to the current economic crisis than politics and the inability of the youth to be confident.
The reason for the disillusionment of the youth in Nepal is corruption and political patronage, inaction of the permanent government, continuous political crisis and weak policy implementation, but these issues are secondary to the change of governance. In the past three decades, the state's job has been to collect revenue and the money raised seems to have been spent only on facilities by the people and officials running the state. Whether it was going to the ward office to get a general recommendation or opening a large industrial establishment, there was a compulsion to pay alms. It is not unnatural for citizens to become disillusioned due to the compulsion to pay alms even to pay taxes as per the rules.
Inaction of governance is unemployment
It is important for everyone to think about how much such a thing has happened when political parties and permanent governments should be run with the idea of 'for the people, to the people, by the people'. High-ranking government officials themselves are aware of how effective the current constitution and laws are. The government's own report has shown, in diplomatic language, that the problem of unemployment is due to state failure. Various studies have shown that youth's trust in state institutions decreases when there is a wide deviation in political manifestos and implementation, whether due to weak financial conditions or frequent changes of government.
Various national and international reports have also shown that there is administrative delay, unnecessary paperwork, and weak inter-agency coordination in increasing production and productivity in Nepal. The 2024 'Doing Business' report has raised the issue of complexity and delay in the state structure. The Nepal Economic Review-2024 has also mentioned that there is weak policy implementation in Nepal. Most government employees believe that if any decision is taken in the absence of legal clarity, it will not be possible to make a decision, even considering the trouble that will come from the corruption control agencies in the future. Such a situation can be said to be a weakness of the state itself.
Conclusion
When a generation becomes unemployed, that or a generation below it distrusts the state. In Nepal, where there is ‘generational unemployment’, frequent changes in system and governance are inevitable, unemployment and youth despair are inevitable. Even if some political parties increase their political activities with the aim of overthrowing the old political parties, if they fail to achieve economic and social transformation and eliminate youth unemployment, such groups will gradually become ineffective. If this trend continues, both Nepal’s internal politics and international credibility will definitely be at risk. Whether the state is welfare, socialist, capitalist or adopts any other principle, what the people want is employment and prosperity.
Solving the unemployment problem is not just an economic agenda, but also a historical responsibility to improve the democratic future. The issue of labor and employment has not been a priority in Nepal since the past, and there is a risk that it will not be a priority in the future either.
