If you're ready to work but can't find a job, you're unemployed. It can be a struggle for someone who's unemployed to pay their bills.
People who lose their jobs are unemployed, at least until they find another one. Most governments have programs to support unemployed people as they search for work. To be employed means to have a paying job, but before the 17th century this word simply meant "be busy devoting yourself to something," and unemployed was used for people who weren't occupied with activities, but were enjoying some leisure time.