Parliament Question: Methodology to Measure Unemployment

GOVERNMENT OF INDIA MINISTRY OF LABOUR AND EMPLOYMENT LOK SABHA UNSTARRED QUESTION NO. 3862 TO BE ANSWERED ON 16TH MARCH, 2026 METHODOLOGY TO MEASURE UNEMPLOYMENT 3862. SHRI ANAND BHADAURIA: SHRI DHARMENDRA YADAV: Will the Minister of LABOUR AND EMPLOYMENT be pleased to state: (a) whether the unemployment rate among youths aged 15 years and above in the country has risen up to 5 per cent during January, 2026, as per survey report released by the Government on 16 February, 2026; (b) if so, the details thereof, State/UT-wise; (c) whether the Government is aware that almost every household in the country have unemployed youths aged 18 years to 32 years in urban and rural areas; (d) if so, the methodology being used to measure unemployment which restricts its rate upto 4 to 5 per cent; (e) whether the Government proposes to revise its methodology to measure unemployment as it being unrealistic and understates the actual level of unemployment; and (f) if so, the details thereof and if not, the reasons therefor? ANSWER MINISTER OF STATE FOR LABOUR AND EMPLOYMENT (SUSHRI SHOBHA KARANDLAJE) (a) to (f): The official data on Employment and Unemployment is collected through Periodic Labour Force Survey (PLFS), which is conducted by Ministry of Statistics and Programme Implementation (MoSPI) since 2017-18. Also, MoSPI has revamped PLFS from January 2025. The PLFS has been conducted on annual basis since 2017 and with quarterly urban estimates from 2018. Additionally, monthly as well as quarterly rural estimates are released by MoSPI since January, 2025. Changes are expected in the monthly PLFS ratios due to increased frequency and seasonal changes but do not necessarily reflect secular trends. Detailed methodology is available in the PLFS reports which may be seen at the website of MoSPI at https://www.mospi.gov.in/publications-reports .As per the latest Annual PLFS reports, the estimated Unemployment Rate (UR) on usual status for persons of age 15 years and above has decreased from 6.0% in 2017-18 to 3.2% in 2023-24 in the country. Also, the UR on usual status for youth of age 15-29 years has decreased from 17.8% to 10.2% during the same period. Further, the UR on usual status for youth of age 15-29 years has decreased from 16.6% in 2017-18 to 8.5% in 2023-24 in the rural areas and from 20.6% to 14.7% during the same period in the urban areas of the country. *****