ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Less commonly, underemployed refers not to working less than desired but to not being used to one’s full potential or abilities. People who are overqualified for a job sometimes end up underemployed in this way. The state of being underemployed is underemployment.

Detailed explanation-2: -Key Takeaways. Underemployment is a measure of employment and labor utilization in the economy that looks at how well the labor force is being used in terms of skills, experience, and availability to work. It refers to a situation in which individuals are forced to work in low-paying or low-skill jobs.

Detailed explanation-3: -Unemployment is a situation in which people are willing to work and capable to work, but still, they are not getting work. Underemployment, on the other hand, is a situation in which an individual is working much below his potential.

Detailed explanation-4: -Underemployment can cause poor mental health. The stress and anxiety are a result of not being able to make ends meet, which creates a sense of inadequacy. Relationships with a partner can also suffer as a result of underemployment. Underemployment can seriously affect an individual’s mental and emotional health.

Detailed explanation-5: -There is a difference between being unemployed and underemployed. Unemployed means you don’t have a job, while underemployment means the job you have is inadequate. Sometimes, the term “underemployment” is used when talking about people who are working in a lower capacity than one in which they are qualified.