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PLFS on Unemployment

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Context:

Within Q1 and Q3 of FY75, the urban youth unemployment rate increased in four states and in two UTs, while five states reported bringing it down further.

  • Below are the states and UTs that have been the worst hit by rising unemployment rates:
    • Jammu and Kashmir: 35.3 from 29.8 percent.
    • Assam: 27.5 from 23.9 percent.
    • Bihar: 26.4 from 20.8 percent.
    • Madhya Pradesh: 15 from 11.2 percent.
    • Haryana: 12.9 from 11.2 percent.
    • Delhi: 4.9 from 3.7 percent.
  • In contrast, however, decreasing unemployment was reported in five states:
    • Kerala: 24.9 percent to 27.7 percent.
    • Chhattisgarh: 20.3 percent to 23.3 percent.
    • Uttar Pradesh: 16.8 percent to 19.2 percent.
    • Maharashtra: 12.2 percent to 15.1 percent.
    • Gujarat: 8.2 percent to 8.3 percent.

Challenges

The International Labour Organization (ILO) noted that 83% of unemployment persons in India were youths, with the rise of educated job seekers (those with secondary and higher education) sharply increased from 35.2% in 2000 to 65.7% in 2022.

Looking Ahead A Policy Agenda

  • Improving manufacture and MSMEs toward mass employment generation.
  • Further enforcement job matching mechanisms through skill development programs.
  • Attracting investments into states with increasing youth unemployment.”.

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