The unemployment rate is defined as the percentage of unemployed workers in the total labour force. Workers are considered unemployed if they currently do not work, despite the fact that they are able and willing to do so. The total labour force consists of all employed and unemployed people within an economy. Unemployment usually increases as economic activity slows.
Nowadays, the issue of unemployment rates are high in Malaysia. Many graduates student do not have work after finished the study. However, the problem of unemployment rates does not affect graduates student only but the problem also affect the people among rural and urban. Based on the previous research unemployment rates are consistently higher for men than women, across both urban and rural areas.
9.3% of young people aged 16-24 in Somerset are unemployed and this rate is higher still in urban areas (10.4%).
Therefore, this research was conducted to measure the high unemployment rates between rural and urban area and to investigate the significant influence between mean age and unemployment rates in rural and urban.