Joblessness rate surges to 9.22% in urban areas in April
NEW DELHI: The unemployment rate in India rose to 7.83% in April from 7.60% in March, data from the Centre for Monitoring Indian Economy ( CMIE) showed on Sunday.
The urban unemployment rate rose to 9.22% in April from 8.28% the previous month, while the rural unemployment rate slipped to 7.18% from 7.29%, the data showed.
The highest unemployment rate of 34.5% was recorded in the northern state of Haryana, followed by 28.8% in Rajasthan.
Economists say job opportunities have been hit by sluggish domestic demand and the slow pace of economic recovery amid rising prices.
Retail inflation rose to a 17- month high of 6.95% in March and is likely to peak around 7.5% later this year, Shilan Shah, economist at Capital Economics, Singapore, said in a note on Saturday. He expects a repo rate hike by the central bank in June.
The data from the Mumbaibased CMIE is closely watched by economists and policymakers as the government does not release its own monthly figures.
They have also been watching the falling labour participation rate - the proportion of people in employment or seeking work among the working population. That slipped to 39.5% in March 2022 from 43.7% in March 2019, according to CMIE’s earlier data, as millions lost jobs during the pandemic.
However, the third round of the government’s quarterly employment survey ( QES) showed an increasing trend in employment in the organised sector, while also finding 185,000 vacancies in nine sectors that account for about 85% of total employment in units with 10 or more persons.
The labour and employment ministry’s third QES report had said more than 400,000 jobs were created in the nine selected sectors during OctoberDecember 2021.,