Structural Unemployment?

Business & Management
#1

Rather than being caused by the business cycle’s ebbs and flows, structural unemployment is caused by fundamental alterations in the economy’s composition, such as the loss of jobs in the buggy-whip industry when vehicles took over. In the labor market, there is a mismatch between supply and demand for particular talents.

#2

A form of unemployment caused by fundamental shifts in an economy. Structural unemployment occurs for a number of reasons – changes in technology, workers may lack the requisite job skills, or they may live far from regions where jobs are available but are unable to move there. Or they may simply be unwilling to work because existing wage levels are too low. So while jobs are available, there is a serious mismatch between what companies need and what workers can offer.

For example, with the advent of electronic printers, the jobs of typists in offices reduced significantly. Although the typists do not lack skill they are no longer able to get the same job based on their existing skills.