India's urban unemployment rate remained broadly stable in the April-June quarter of 2026, even as the overall labour force participation rate (LFPR) declined from the previous quarter, according to the latest Periodic Labour Force Survey (PLFS) data released by the Ministry of Statistics and Programme Implementation (MoSPI) on Monday.
The urban unemployment rate for persons aged 15 years and above stood at 6.7% in quarter ended June, marginally lower than 6.8% in the year-ago period. The rural unemployment rate remained unchanged at 4.8%.
The data was released by the National Statistical Office (NSO) under MoSPI as part of the quarterly PLFS estimates for April-June 2026.
The overall LFPR for persons aged 15 years and above declined to 54.6% during April-June 2026 from 55.5% in the previous quarter. The LFPR measures the proportion of the population that is either working or actively seeking work. The quarterly decline therefore indicates a moderation in overall labour force participation during the period.
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In urban areas, however, the LFPR remained unchanged at 50.2% during the quarter. Urban male labour force participation improved marginally, with the LFPR for men aged 15 years and above rising to 75.3% in April-June from 75% in the previous quarter.
The Worker Population Ratio (WPR), which measures the proportion of the population that is employed, also remained stable in urban areas at 46.8%.
At the overall level, the WPR for persons aged 15 years and above stood at 51.7%, compared with 52% a year earlier. The PLFS data showed an improvement in the share of regular wage and salaried employees during the quarter.
In rural areas, the share of regular wage or salaried employees among persons aged 15 years and above increased to 16.1% from 15.5%. In urban areas, the share rose to 49.3% from 48.9%.
The increase suggests a gradual shift towards more regular forms of employment across both rural and urban areas.
The share of employment in the secondary sector also increased in both rural and urban areas during April-June 2026. In rural areas, the share of employment in the tertiary sector additionally recorded an increase during the quarter.
The Periodic Labour Force Survey, conducted by the NSO under MoSPI, is India's primary source of data on labour force participation and employment-unemployment conditions.
The survey methodology was modified from January 2025 to provide monthly and quarterly estimates of key labour market indicators for both rural and urban India under the Current Weekly Status (CWS) framework.
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