India unemployment rate: The unemployment rate in the urban areas decreased to 6.7 per cent during the January-March period from 6.8 per cent a year ago for people aged 15 years and above, according to the National Sample Survey Office (NSSO). It is pertinent to mention that joblessness, or unemployment rate, is defined as the percentage of unemployed people in the labour force.
Considering the importance of the availability of labour force data at more frequent time intervals, the National Sample Survey Office (NSSO) launched the Periodic Labour Force Survey (PLFS) in April 2017.
The unemployment rate stood at 6.8 per cent in the March quarter of FY23, while it was recorded at 6.6 per cent in both the April-June quarter and the third quarter (July-September 2023) of the previous fiscal year. In the October-December 2023 quarter, the unemployment rate was 6.5 per cent.
According to the 22nd Periodic Labour Force Survey (PLFS), the unemployment rate for people aged 15 years and above in urban areas during January-March 2024 was recorded at 6.7 per cent.
Unemployment rate among females
The survey revealed that the unemployment rate among females aged 15 years and above in urban areas decreased to 8.5 per cent in January-March 2024 from 9.2 per cent in the corresponding quarter of the previous year.
In April-June 2023, the unemployment rate was 9.1 per cent, while it decreased to 8.6 per cent in both July-September 2023 and October-December 2023.
Among males in urban areas, the unemployment rate increased to 6.1 per cent in January-March 2024 from 6 per cent in the corresponding period of the previous year. It was recorded at 5.9 per cent in April-June 2023, 6 per cent in July-September 2023, and 5.8 per cent in October-December 2023.
Labour force participation rate
Labour force participation rate (LFPR) in Current Weekly Status (CWS) in urban areas for people aged 15 years and above increased to 50.2 per cent in January-March 2024, from 48.5 per cent in the same period a year ago. It was 48.8 per cent in April-June 2023, 49.3 per cent in July-September 2023 and 49.2 per cent in October-December 2023.
Labour force refers to the part of the population, which supplies or offers to supply labour for pursuing economic activities for the production of goods and services and, therefore, includes both employed and unemployed persons.
Key findings
- Unemployment Rate (UR) in urban areas decreased from 6.8 per cent to 6.7 per cent during January – March 2023 to January – March 2024 for persons of age 15 years and above.
- Female UR decreased from 9.2 per cent in January – March 2023 to 8.5 per cent in January – March 2024.
- Labour Force Participation Rate (LFPR) in urban areas has shown an increasing trend from 48.5 per cent to 50.2 per cent during January – March 2023 to January – March 2024 respectively for persons of age 15 years and above.
- Female Labour Force Participation Rate in urban areas rises from 22.7 per cent to 25.6 per cent during January – March 2023 to January – March 2024, reflecting Overall Increasing Trend in LFPR.
- Increasing Trend in Worker Population Ratio (WPR) for persons of age 15 years and above from 45.2% in January – March 2023 to 46.9 per cent in January – March 2024.
- Female Worker Population Ratio in urban areas rises from 20.6 per cent to 23.4 per cent during January – March 2023 to January – March 2024, reflecting Overall Increasing Trend in WPR.
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