There are many solutions to unemployment, including government-funded training for workers and worker relocation to areas that offer jobs. Organizations like the Library of Economics and Liberty argue that the elimination of social welfare programs would actually reduce unemployment.
According to the University of Notre Dame, a viable solution to unemployment is the use of subsidies to companies that provide workers with training. One of the factors of unemployment is that workers do not have the skills necessary to remain competitive in the labor market. Subsidies solve this problem by motivating firms to hire workers who do not possess the desired skills, without worrying about lost funds.
Another major problem is that in an extremely large national labor market, workers are often unable to find jobs to which they are suited even when such jobs exist. Notre Dame suggests creating a national job bank that would facilitate the matching of employers to potential employees. If it proves difficult for a worker to move across the country, the government can subsidize the relocation.
The Library of Economics and Liberty states that welfare and unemployment insurance contribute to unemployment by giving people the means and incentive to continue unemployed without looking for work. A solution to this problem would be to reduce or get rid of unemployment insurance.