July–September 2025 Quarter
Summary of findings from the Ministry of Statistics and Programme Implementation’s (MoSPI) Periodic Labour Force Survey (PLFS).
Key Unemployment Figures and Overall Trends
Overall Unemployment Rate (15+ years):
5.2% (down from 5.4%)
Signifies a tentative recovery.
Labour Force Participation Rate (LFPR):
55.1% (up from 55.0%)
Indicating broader engagement of the working-age population.
Rural vs. Urban Employment Dynamics
Rural Employment
- Unemployment rate fell to 4.4% (from 4.8%).
- Driven by surge in Kharif agricultural operations.
- 62.8% of rural workforce in self-employment.
Urban Unemployment
- Slight uptick to 6.9% (from 6.8%).
- Urban Male: 6.2% (from 6.1%).
- Urban Female: 9.0% (from 8.9%).
- Challenges in non-agricultural and manufacturing sectors.
Female Workforce Participation
- Female LFPR rose to 33.7% (from 33.4%).
- Largely propelled by rural women, where LFPR climbed from 37.0% to 37.5%.
- Critical indicator of broader economic and social development.
Employment Type and Sectoral Analysis
Employment Types
- Salaried Jobs: 25.4% nationwide (slight decrease).
- Regular Wage/Salaried (Urban): Modest improvement to 49.8%.
Sectoral Employment
- Agriculture (Rural): Largest employer, absorbing 57.7%.
- Tertiary (Services) Sector (Urban): Backbone, 62% (up from 61.7%).
Youth Unemployment (15-29 years)
Rate edged up to 14.8% (from 14.6%).
Significant concentration among educated, urban youth, highlighting a need for skill development and industry-aligned education.
Historical Context and Future Outlook
Historical Urban Unemployment (July–September Quarters)
| Quarter | Unemployment Rate |
|---|---|
| July–September 2022 | 7.2% |
| July–September 2023 | 6.6% |
| July–September 2024 | 6.4% |
| July–September 2025 (urban) | 6.9% |
- Economic Concerns: Recovery is fragile, dependent on seasonal, low-productivity, informal rural work.
- Contributing Factors: Government schemes, post-pandemic recovery, and the gig economy are positively impacting.
- Hiring Intent: Steady at 42%, driven by private services and global trade.
Recommendations for Sustained Growth
- Focus on creating diverse opportunities beyond seasonal agricultural work.
- Invest in skill development.
- Foster formal sector job creation in urban areas.
- Implement policies to empower women in the workforce.
- Structural reforms are needed for robust and equitable job growth.
Conclusion
While the 5.2% unemployment rate for July–September 2025 is a positive sign, the urban unemployment increase and persistent youth unemployment require sustained policy attention and strategic interventions for a truly resilient and equitable Indian job market.
Visual Insights
Visual representation of job market trends.
Infographic detailing employment statistics.
Chart illustrating workforce participation rates.
Data visualization of sectoral employment.