The term employment refers to the situation when a person is capable of a job and is actively searching for it but still is out of work. It is one of the major elements that crucially harms the economy. People who are working temporarily and do not have a specific occupation also come under such category. The calculation of unemployment rate is calculated by dividing the number of unemployed people by the total number of people in a workforce. People who do not want any job and are not searching for it do not come under the category of unemployment.
