Unemployment rate rises 50 bps to 5.6% in May due to seasonal factors
Seasonal factors drove up India's unemployment rate to 5.6 per cent in May from 5.1 per cent in April for persons aged 15 years and above, according to the statistics ministry's second-ever monthly Periodic Labour Force Survey (PLFS) report, released on Monday. The increase in the unemployment rate was larger for females, for whom the ratio rose by 80 basis points (bps) from April to 5.8 per cent in May. For males, the unemployment rate increased to 5.6 per cent from 5.2 per cent.
May saw a larger increase in the unemployment rate in rural areas to 5.1 per cent, up from 4.5 per cent in April, while the corresponding increase for urban India was 40 bps. However, the unemployment rate was higher in urban areas at 6.9 per cent.
The monthly jobs data is based on the Current Weekly Status (CWS) approach. Under this approach, the activity status of a person is measured for the seven days preceding the date of survey.
The Ministry of Statistics and Programme Implementation (MoSPI) cautioned that a rise in the unemployment rate in May did not necessarily reflect 'secular trends' as changes were to be expected in the monthly data on account of increased frequency of the survey and seasonal, academic, and labour market factors.
While the Unemployment Rate (UR) rose in May, the Labour Force Participation Rate (LFPR) fell to 54.8 per cent from 55.6 per cent the previous month at the all-India level for those aged 15 years and above. The LFPR for males declined by 40 bps to 77.2 per cent, while that for females fell by 100 bps to 33.2 per cent.
The Worker Population Ratio (WPR), meanwhile, fell to 51.7 per cent from 52.8 per cent in April for persons aged 15 years and above.
While the LFPR is the fraction of the population that is seeking or available for work, the WPR is the percentage of employed persons in the population.
'The decline in LFPR and WPR and the rise in UR were driven largely by seasonal agricultural patterns, higher summer temperature experienced in May in some parts of the country due to which physical outdoor work gets limited and movement of some unpaid helpers to domestic chores, especially in the higher income (top 3 decile) rural households,' MoSPI said in a statement.
In rural areas, the LFPR fell by 110 bps to 56.9 per cent, with the decline in urban areas being smaller at 30 bps to 50.4 per cent, the data showed. The rural WPR declined similarly by 130 bps to 54.1 per cent in May for persons aged 15 years and above, while the urban WPR was down 50 bps at 46.9 per cent. The statistics ministry said the reduction in agricultural activities with the end of the rabi harvest season in the rural areas 'may have brought about the downward shift in number of workers', adding that employment in rural areas shifted away from agriculture (from 45.9 per cent in April to 43.5 per cent in May) to secondary and services sectors.
Within the overall data, the segment to see the biggest increase in unemployment in May were young women in rural areas.
In May, the unemployment rate for rural females in the 15-29 age bracket rose to 13 per cent from 10.7 per cent in April, with the corresponding increase for their urban counterparts being 70 bps to 24.4 per cent.
For young males, the rise in unemployment was significantly smaller: from 13 per cent in April to 14 per cent in May in rural areas and from 15 per cent in April to 15.8 per cent in May in urban areas. On the whole, the unemployment rate for all persons aged 15-29 years rose 120 bps in May to 15.0 per cent at the all-India level.
A total of 3.8 lakh persons were surveyed in May, roughly the same as in April. As part of the revamped survey design for the PLFS adopted in January, a rotational panel sampling design is being used. As part of this design, each selected household is visited four times in four consecutive months. This ensures that three-fourths of first-stage sampling units, or FSUs, are matched between two consecutive months.
Siddharth Upasani is a Deputy Associate Editor with The Indian Express. He reports primarily on data and the economy, looking for trends and changes in the former which paint a picture of the latter. Before The Indian Express, he worked at Moneycontrol and financial newswire Informist (previously called Cogencis). Outside of work, sports, fantasy football, and graphic novels keep him busy.
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Indian Express
5 hours ago
- Indian Express
Unemployment rate rises 50 bps to 5.6% in May due to seasonal factors
Seasonal factors drove up India's unemployment rate to 5.6 per cent in May from 5.1 per cent in April for persons aged 15 years and above, according to the statistics ministry's second-ever monthly Periodic Labour Force Survey (PLFS) report, released on Monday. The increase in the unemployment rate was larger for females, for whom the ratio rose by 80 basis points (bps) from April to 5.8 per cent in May. For males, the unemployment rate increased to 5.6 per cent from 5.2 per cent. May saw a larger increase in the unemployment rate in rural areas to 5.1 per cent, up from 4.5 per cent in April, while the corresponding increase for urban India was 40 bps. However, the unemployment rate was higher in urban areas at 6.9 per cent. The monthly jobs data is based on the Current Weekly Status (CWS) approach. Under this approach, the activity status of a person is measured for the seven days preceding the date of survey. The Ministry of Statistics and Programme Implementation (MoSPI) cautioned that a rise in the unemployment rate in May did not necessarily reflect 'secular trends' as changes were to be expected in the monthly data on account of increased frequency of the survey and seasonal, academic, and labour market factors. While the Unemployment Rate (UR) rose in May, the Labour Force Participation Rate (LFPR) fell to 54.8 per cent from 55.6 per cent the previous month at the all-India level for those aged 15 years and above. The LFPR for males declined by 40 bps to 77.2 per cent, while that for females fell by 100 bps to 33.2 per cent. The Worker Population Ratio (WPR), meanwhile, fell to 51.7 per cent from 52.8 per cent in April for persons aged 15 years and above. While the LFPR is the fraction of the population that is seeking or available for work, the WPR is the percentage of employed persons in the population. 'The decline in LFPR and WPR and the rise in UR were driven largely by seasonal agricultural patterns, higher summer temperature experienced in May in some parts of the country due to which physical outdoor work gets limited and movement of some unpaid helpers to domestic chores, especially in the higher income (top 3 decile) rural households,' MoSPI said in a statement. In rural areas, the LFPR fell by 110 bps to 56.9 per cent, with the decline in urban areas being smaller at 30 bps to 50.4 per cent, the data showed. The rural WPR declined similarly by 130 bps to 54.1 per cent in May for persons aged 15 years and above, while the urban WPR was down 50 bps at 46.9 per cent. The statistics ministry said the reduction in agricultural activities with the end of the rabi harvest season in the rural areas 'may have brought about the downward shift in number of workers', adding that employment in rural areas shifted away from agriculture (from 45.9 per cent in April to 43.5 per cent in May) to secondary and services sectors. Within the overall data, the segment to see the biggest increase in unemployment in May were young women in rural areas. In May, the unemployment rate for rural females in the 15-29 age bracket rose to 13 per cent from 10.7 per cent in April, with the corresponding increase for their urban counterparts being 70 bps to 24.4 per cent. For young males, the rise in unemployment was significantly smaller: from 13 per cent in April to 14 per cent in May in rural areas and from 15 per cent in April to 15.8 per cent in May in urban areas. On the whole, the unemployment rate for all persons aged 15-29 years rose 120 bps in May to 15.0 per cent at the all-India level. A total of 3.8 lakh persons were surveyed in May, roughly the same as in April. As part of the revamped survey design for the PLFS adopted in January, a rotational panel sampling design is being used. As part of this design, each selected household is visited four times in four consecutive months. This ensures that three-fourths of first-stage sampling units, or FSUs, are matched between two consecutive months. Siddharth Upasani is a Deputy Associate Editor with The Indian Express. He reports primarily on data and the economy, looking for trends and changes in the former which paint a picture of the latter. Before The Indian Express, he worked at Moneycontrol and financial newswire Informist (previously called Cogencis). Outside of work, sports, fantasy football, and graphic novels keep him busy. ... Read More
Time of India
6 hours ago
- Time of India
Unemployment in India: Jobless rate rises to 5.6% in May; women face higher unemployment at 5.8%
India's monthly unemployment rate climbed to 5.6% in May 2025, up from 5.1% in April, according to government data released on Monday. The rise can be largely attributed to seasonal factors and reduced rural employment after the end of the Rabi harvest season, the ministry of statistics and programme implementation said in its report. Last month, the ministry rolled out the first monthly edition of the Periodic Labour Force Survey (PLFS), aiming to track the real-time unemployment proportion of unemployed people among those eligible for jobs, PTI reported. The unemployment rate among women remained slightly higher than that of men in May, at 5.8% compared to 5.6%, as per the latest data collected in the current weekly status. Age wise unemployment rate Young people aged 15–29 faced a particularly steep rise in joblessness, with the national rate for this group jumping from 13.8% in April to 15% in May. Among young women of the same age, including both urban and rural, the figure reached 16.3%, up from 14.4% in the previous month. Meanwhile joblessness among men aged between 15-29 years were recorded at 14.5% in May. Urban vs rural unemployment rate Urban and rural areas both experienced an uptick in unemployment. In urban areas, the rate rose to 17.9% in May from 17.2% a month ago. Rural areas too, saw an increase, from 12.3%, a month ago, reaching 13.7% in May. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Anvisa aprova solução para ajudar a reduzir gordura visceral da barriga em 7 dias! Você Mais Saudável Hoje Saiba Mais Undo In rural areas, jobs moved away from agriculture, dropping from 45.9% in April to 43.5% in May 2025, with more people finding work in the industrial and services sectors, the report said. This could be due to reduced agricultural activity following the end of the Rabi harvest season for both men and women, the report noted. Labour Force Participation Rate (LFPR) also declined to 54.8% in May from 55.6% in April. In urban areas, the LFPR declined to 50.4% from 50.7%. Rural participation dropped more sharply, falling to 56.9% from 58%. Among women in rural areas, LFPR saw a major dip from 38.2% to 36.9%, largely due to fewer women working as casual labourers or unpaid helpers. LFPR among males aged 15 years and above also came down to 78.3% in May from 79% in April. The Worker Population Ratio (WPR), which measures the proportion of working individuals in the population, also declined. Nationally, it slipped to 51.7% in May from 52.8% in April. Female WPR fell more sharply to 31.3% from 32.5%. The May survey covered over 89,000 households and nearly 3.8 lakh individuals across both rural and urban India. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
The Hindu
7 hours ago
- The Hindu
Unemployment rate rises to 5.6% in May, female joblessness higher at 5.8%
The rate of unemployment in the country, measured in monthly term, rose to 5.6% in May from 5.1% in April this year mainly due to seasonal variation, showed the government data released on Monday (June 16, 2025). Earlier last month, the Ministry of Statistics & Programme Implementation released the first monthly Periodic Labour Force Survey (PLFS) as part of efforts to monitor the proportion of unemployed people among those eligible for jobs in the country in real-time. The latest data collected in the current weekly status (CWS) showed that the unemployment rate (UR) for persons of all ages during May 2025 rose to 5.6% from 5.1% in April 2025. The pace of joblessness among females was higher at 5.8% compared to 5.6% in males at the country level in May 2025. Joblessness among those in the age group of 15-29 increased to 15% in May from 13.8% in April 2025 across the country. The rate of unemployment in urban areas rose to 17.9% in May from 17.2% in April, while it was 13.7% in the month under review up from 12.3% in the previous month in rural areas. CWS refers to the activity status determined on the basis of a reference period of the last 7 days preceding the date of the survey. In rural areas, employment shifted away from the primary sector (agriculture) (from 45.9% in April to 43.5% in May 2025) to the secondary and services sectors, it noted. Reduction in agricultural activities with the end of Rabi harvest season for both males and females in the rural areas may have brought about the downward shift in number of workers, it stated. In urban areas, changes were more marginal with slight declines in own account workers and casual labourers, affecting workforce numbers, it stated. The study further showed that the unemployment rate (UR) among women in the age group of 15-29 also increased to 16.3% in May from 14.4% in April across the country (rural+urban). The joblessness rate also increased to 24.7% in May from 23.7 in cities in April and to 13% in the month from 10.7% in villages in April. Joblessness among men aged 15-29 years was recorded at 14.5% in May from 13.6% in the country. It also increased to 15.8% in May from 15% in cities in April and rose to 14% from 13% in villages. The data also showed that Labour Force Participation Rate (LFPR) among people aged 15 years and above dipped to 54.8% in May 55.6% during April 2025. The participation rate in rural areas also came down to 56.9% in May from 58% in April and also declined to 50.4% in the month from 50.7% in urban areas. LFPR among males aged 15 years and above also came down to 78.3% in May from 79% in April. A decline in female LFPR, especially in rural areas (more than 1 percentage point) was due to fewer women working as casual labourers and unpaid helpers, it stated. The decline in LFPR and WPR and the rise in UR were driven largely by seasonal agricultural patterns, higher summer temperature experienced in May in some parts of the country due to which physical outdoor work gets limited and movement of some unpaid helpers to domestic chores, especially in the higher income (top 3 decile) rural households, it explained. Similarly in urban areas, it also dipped to 75.1% in May from 75.3% in April 2025. Among females aged 15 years and above, the rate of labour force participation also declined to 36.9% in May from 38.2% for rural areas during April 2025. The LFPR for women aged 15 years and above in urban areas declined to 25.3% in May from 25.7% in April this year. LFPR refers to the percentage of persons in labour force (i.e. working or seeking or available for work) in the population. Worker Population Ratio (WPR) defines the proportion of those who are employed among total population. WPR in rural areas among those aged 15 years and above also dipped to 54.1% in May from 55.4% in April 2025, the data showed. The ratio in urban areas was also lower at 46.9% in May from 47.4% in April. The overall WPR at the national level was recorded at 51.7% in May lower than 52.8% in April 2025. WPR among females aged 15 years and above in rural also declined to 35.2% in May from 36.8% in April this year and to 23% in the month from 23.5%. The overall female WPR of the same age group at the country level also came down to 31.3% in May from 32.5% in April 2025. Considering the need for high-frequency labour force indicators with enhanced coverage, the sampling methodology of PLFS has been revamped from January 2025. Across the country, a total of 7,511 first-stage sampling units were surveyed during May 2025. The number of households surveyed was 89,372 (49,267 in rural areas and 40,105 in urban areas) and a number of persons surveyed was 3,79,600 (2,16,542 in rural areas and 1,63,058 in urban areas). The labour force survey has been released quarterly as well as annual basis so far. The statistics ministry explained that changes are expected in the monthly PLFS ratios due to increased frequency and seasonal changes but do not necessarily reflect secular trends. There would be attributable to a combination of seasonal, academic and labour market-related factors, it stated.
