India’s Unemployment Rate Drops to 5.1% in August; Female Workforce Participation Gains Momentum
The survey drew on data from nearly 3.77 lakh individuals nationwide, covering both rural and urban areas.
New Delhi, September 17: India’s labour market showed positive momentum in August 2025, with the overall unemployment rate (UR) for persons aged 15 years and above easing to 5.1%, down from 5.6% in June and 5.2% in July, according to the latest Periodic Labour Force Survey (PLFS) bulletin released by the Ministry of Statistics and Programme Implementation (MoSPI).
The male unemployment rate declined to a five-month low of 5%, supported by a sharp fall in urban male unemployment from 6.6% in July to 5.9% in August, and a steady drop in rural male unemployment to 4.5%.
Female participation in the workforce continued to strengthen for the second consecutive month. The Worker Population Ratio (WPR) for women rose to 32% in August, up from 30.2% in June, with gains visible in both rural (35.9%) and urban (23.8%) areas. The Female Labour Force Participation Rate (LFPR) also climbed to 33.7%, marking consistent improvement across regions.
Overall, the Worker Population Ratio (WPR) improved to 52.2% in August, while the overall LFPR edged up to 55%, reflecting broader labour market resilience.
The August bulletin is the fifth in the series since MoSPI revised PLFS methodology in January 2025 to provide monthly and quarterly labour market estimates. The survey drew on data from nearly 3.77 lakh individuals nationwide, covering both rural and urban areas.
