Unemployment Rate Reduces 9.8% In Sep 2021 Quarter; But Less Women Are Getting Jobs

The rate of unemployment in urban areas has now reduced, and this is concerning in the 15 years and above age group. This has reduced to 8.9%  in the July- September quarter of 2021.

This has reduced from the double-digit rate of unemployment as shown in the previous three months.

Unemployment Rate Decreases From 46.8% to 46.9%

This data has been released by the Periodic Labour Force Survey (PLFS) for the September quarter of 2021. It said that there has been an improvement in the labour force participation rate (LFPR) considerably, from 46.8% to 46.9% in the April June quarter.

An improvement has been seen in the LFPR for males, which went up to 73.5% from 73.1% in the June quarter. Also, there has been an improvement in the LPFR for females, which was 20.3% in July-September 2020. 

The LFPR is the percentage of people in the labor force in the population, which is the people working or seeking or are available for work.

Contrarily, the LPFR for women during September quarter 2021 has reduced to 19.9% from 20.1% in the previous quarter. The rate was 20.3% in July-September 2020.

LPFR For Males Reduces Too

The LPFR for males during the same quarter went to 9.3% from 12.2% in the April-June quarter. Also, the rate also showed for females to 11.6% in the July-September quarter from 14.3%

As per the data for the April-June quarter of 2021, the joblessness rate had gone up to double-digit levels at 12.6% from 9.3% in the January to March quarter, which can be blamed on the second wave of COVID-19 disease.

According to payroll data from the National Pension System (NPS), while the central government recruited 27% fewer individuals in FY21, states recruited 21% fewer.

In FY20, the government employed about 119,000 permanent employees, but that figure plummeted to 87,423 in FY21. In FY21, states recruited 389,052 individuals, down over 107,000 from the previous year.

Due to the extensive economic effects of the Covid-19 outbreak, government job employment fell to its lowest level in three years in FY21.

The number of employees, both salaried and non-salaried, fell from 398.14 million in March to 390.79 million in April, registering a third straight month of decline.