India’s unemployment rate among people aged 15 years and above increased slightly to 5% in January 2026, up from 4.8% in December 2025, according to the latest Periodic Labour Force Survey (PLFS) released by the National Statistics Office (NSO) on Monday.
The government data indicated that joblessness rose marginally in both rural and urban areas, while labour force participation rate (LFPR) and worker population ratio (WPR) declined slightly during the same period.
The NSO, under the Ministry of Statistics and Programme Implementation, attributed the rise in unemployment primarily to seasonal factors affecting rural areas, including post-harvest slack and reduced activity in sectors such as construction, agriculture, transport, and small trade during the winter season. Urban labour market conditions remained relatively stable, the statement added.
Unemployment Trends in Rural and Urban Areas
The unemployment rate in rural areas increased from 3.9% in December 2025 to 4.2% in January 2026, while urban unemployment rose from 6.7% to 7.0% during the same period.
Among males aged 15 years and above, unemployment remained stable in January. However, unemployment among females increased slightly compared to December, though it remained within the range recorded between April and December 2025, suggesting a short-term fluctuation rather than a significant deterioration in female labour market conditions.
Labour Force Participation Rate (LFPR)
The overall LFPR for persons aged 15 years and above stood at 55.9% in January 2026, slightly lower than 56.1% in December 2025.
- Rural LFPR: 58.7% (down from 59.0% in December)
- Urban LFPR: 50.3% (marginally up from 50.2% in December)
Female participation in the labour force was reported at 35.1%, with 39.7% in rural areas and 25.5% in urban areas. The NSO noted that female LFPR remained broadly stable with minor variations across regions.
Worker Population Ratio (WPR)
The overall WPR among people aged 15 years and above remained broadly stable in January 2026. However, rural WPR declined slightly to 56.2% from 56.7% in December 2025, after a steady rise since June 2025.
In rural areas, the WPR stood at:
- Males: 75.7%
- Females: 38.0%
In urban areas, WPR remained stable at:
- Males: 70.5%
- Females: 23.0%
- Overall: 46.8%
Survey Details and Methodology
The monthly labour estimates are based on data collected from 3,73,158 individuals across India. The PLFS is the primary source of employment and labour participation statistics in the country.
The survey methodology was revised in January 2025 to provide monthly and quarterly labour market indicators. The January 2026 bulletin marks the tenth monthly release since the methodological update.