Unemployment in Urban India

Unemployment in Urban India

News: The Periodic Labour Force Survey (PLFS), conducted by the National Sample Survey Office (NSSO), recently released data for July-September 2023, providing insights on India’s unemployment rate in urban areas.

Key Findings:

Urban Unemployment
• The urban unemployment rate showed improvement, declining from 7.2% (July–September 2022) to 6.6% (July–September 2023).
• Among males, the unemployment rate decreased from 6.6% to 6% during the same period. Females witnessed a more positive trend, with the unemployment rate decreasing from 9.4% to 8.6% over the given time frame.

Worker-Population Ratio
• The worker population ratio, percentage of employed persons in the population, in urban areas increased from 44.5% in July-September, 2022 to 46% in July-September, 2023 for persons of age 15 years and above.

Labour Force Participation Rate (LFPR)
• The LFPR in urban areas exhibited growth, rising from 47.9% (July-September 2022) to 49.3% (JulySeptember 2023).
• Among males, there was a marginal uptick from 73.4% to 73.8% during this period. Females showed a more significant increase, with the LFPR increasing from 21.7% to 24.0%.

About PLFS:
• The Periodic Labour Force Survey was launched by the National Statistical Office (NSO) in April 2017. The survey was initiated to address the need for more frequent and timely availability of labor force data.
• It seeks to estimate key employment and unemployment indicators within a short time interval of three months specifically for urban areas using the “Current Weekly Status” (CWS) approach.
• To estimate employment and unemployment indicators annually using both the “Usual Status” and CWS approaches for both rural and urban areas.

Important terms:
• Labour Force Participation Rate (LFPR): It represents the percentage of individuals in the population who are part of the labor force, which includes those who are employed, seeking work, or available for work.
• Worker Population Ratio (WPR): This indicator represents the percentage of employed individuals in the population.
• Unemployment Rate (UR): The UR indicates the percentage of individuals who are unemployed among those in the labor force.
• Principal Activity Status (PS): The primary activity a person engaged in for a substantial period (during 365 days preceding the survey).
• Subsidiary Economic Activity Status (SS): Additional economic activities performed, apart from the usual primary activity, for at least 30 days in the 365-day period before the survey.
• Current Weekly Status (CWS): This status reflects a person's activities during the immediate past 7 days before the survey date.
Note – You can read detailed article on Unemployment in India here https://dics.co/currentaffairs/unemployment-in-india-upsc