India's unemployment rate rises to 5.1% in March
What's the story
India's unemployment rate has increased to 5.1% in March, up from 4.9% in February, government data shows. The rise is mainly attributed to a surge in urban joblessness. The Periodic Labour Force Survey (PLFS), conducted by the National Statistical Office under the Ministry of Statistics and Programme Implementation, is India's official source for measuring labor force participation, employment trends and unemployment rates across the country.
Urban impact
Urban unemployment rate increased to 6.8%
The PLFS data shows that the urban unemployment rate has increased from 6.6% in February to 6.8% in March. This increase is mainly due to a rise in joblessness among both urban men and women. The rural unemployment rate, however, remained nearly unchanged during this period, rising slightly from 4.2% in February to 4.3% in March.
Gender gap
Gender gap in unemployment rates
The PLFS data also highlights a gender gap in unemployment rates. The overall male unemployment rate increased from 4.8% to 5% during this period, while the female unemployment rate rose from 5.1% to 5.3%. This trend is particularly concerning as it indicates that women are facing a higher level of joblessness compared to their male counterparts in India.
Participation drop
Labor force participation rate declined
The PLFS data also reveals a slight decline in the labor force participation rate (LFPR) among people aged 15 years and above. The overall LFPR was estimated at 55.4% in March, down from 55.9% in February. In rural areas, the LFPR stood at 58% in March, compared to 58.7% in February while urban LFPR remained almost stable during this period with an estimate of 50.3%.
Stability
Worker population ratio remained broadly stable
The worker population ratio (WPR) for those aged 15 years and above remained broadly stable in urban areas in March. The overall WPR was estimated at 52.6%, compared to 53.2% in February. In rural areas, the WPR stood at 55.5% in March as compared to 56.3% in February while that of urban fell to a slightly lower estimate of 46.8%.