Alarming Data: 1 in 2 Young Women Unemployed in Rajasthan & Bihar! Is India's Job Market Failing?

The Statistics Ministry's latest Periodic Labour Force Survey (PLFS) for the July-September quarter of 2025-26 has highlighted significant employment challenges, particularly for young women in urban areas. Nationally, the unemployment rate (UR) for urban young women (aged 15-29) stands at a concerning 25.3%. This situation is starkly worse in specific states, with Rajasthan reporting the highest UR at 53.2% and Bihar closely following at 52.3%. Himachal Pradesh also shows a high rate of approximately 49.4%. In contrast, the overall unemployment rate for the country saw a marginal decline, falling to 5.2% in the July-September 2025 quarter from 5.4% in the previous quarter. Rural unemployment rates also decreased, driven by reductions among both rural males and females. However, urban unemployment experienced a slight uptick, moving from 6.8% to 6.9%. The survey, based on responses from over 5.64 lakh individuals, also noted a marginal increase in the Labour Force Participation Rate (LFPR) to 55.1% and the Worker Population Ratio (WPR) to 52.2%, with a notable rise in female participation. Regular wage/salaried employment in urban areas also saw a modest improvement.

Impact: This data highlights significant regional disparities and demographic-specific employment issues. It could influence government policy interventions aimed at job creation and skill development, potentially affecting sectors reliant on a robust labor force or consumer spending. A rating of 7 out of 10 is assigned for its potential impact on policy and investor sentiment.

Definitions: Unemployment Rate (UR): The percentage of the labor force that is jobless and actively seeking employment. Periodic Labour Force Survey (PLFS): A survey conducted by the National Statistical Office (NSO) to estimate key employment and unemployment indicators in India. Current Weekly Status (CWS): An approach to measuring unemployment where a person is considered unemployed if they did not work for even an hour in the reference week but were available for work. Labour Force Participation Rate (LFPR): The percentage of the working-age population that is either employed or unemployed but actively looking for work. Worker Population Ratio (WPR): The percentage of the working-age population that is employed. Tertiary Sector: The sector of the economy concerned with providing services rather than producing tangible goods, such as banking, education, and IT.