India's Unemployment Rate Rises Marginally to 4.8% in December 2025
India's unemployment rate increased marginally to 4.8% in December 2025 from 4.7% in November, with urban areas experiencing higher joblessness at 6.7% while rural unemployment remained stable at 3.9%. The Worker Population Ratio improved to 53.4% and Labour Force Participation Rate reached 56.1%, indicating positive workforce engagement trends despite the slight uptick in unemployment.
*this image is generated using AI for illustrative purposes only.
India's unemployment rate for persons aged 15 years and above experienced a marginal increase to 4.8% in December 2025, up from 4.7% in the preceding month, according to the latest Periodic Labour Force Survey (PLFS) released by the Ministry of Statistics and Programme Implementation on January 15. The data reveals varying trends across rural and urban areas, with workforce participation showing encouraging signs of improvement.
Regional Unemployment Patterns
The unemployment landscape showed distinct regional variations during December 2025. Rural areas maintained stability with the unemployment rate remaining unchanged at 3.9%, while urban areas witnessed a modest increase.
| Area | December 2025 | November 2025 | Change |
|---|---|---|---|
| Overall | 4.8% | 4.7% | +0.1% |
| Rural | 3.9% | 3.9% | No change |
| Urban | 6.7% | 6.5% | +0.2% |
Among specific demographic groups, rural males aged 15 years and above maintained a low and stable unemployment rate of 4.1% in December 2025. Urban female unemployment showed improvement, moderating to 9.1% in December from 9.3% in November 2025.
Worker Population Ratio Shows Improvement
The Worker Population Ratio (WPR), which defines the proportion of employed individuals among the total population, demonstrated gradual improvement across several categories in December 2025.
| Category | December 2025 | November 2025 |
|---|---|---|
| Overall WPR | 53.4% | 53.2% |
| Rural Male WPR | 76.0% | 75.4% |
| Urban Male WPR | 70.4% | 70.9% |
| Overall Male WPR | 74.1% | - |
| Rural Female WPR | 38.6% | 38.4% |
| Urban Female WPR | ~23.0% | - |
| Overall Female WPR | 33.6% | 33.4% |
Rural males showed the strongest performance with WPR increasing to 76.0% from 75.4%, while urban male WPR experienced a slight decline to 70.4% from 70.9% in November 2025.
Labour Force Participation Trends
The Labour Force Participation Rate (LFPR) among persons aged 15 years and above demonstrated an upward trajectory, reaching 56.1% in December 2025 compared to 55.8% in November.
| LFPR Category | December 2025 | November 2025 |
|---|---|---|
| Overall LFPR | 56.1% | 55.8% |
| Rural LFPR | 59.0% | 58.6% |
| Urban LFPR | 50.2% | 50.4% |
| Female LFPR (Overall) | 35.3% | 35.1% |
| Rural Female LFPR | 40.1% | 39.7% |
| Urban Female LFPR | 25.3% | 25.5% |
Rural areas continued to show stronger labour force participation at 59.0%, while urban LFPR experienced a slight dip to 50.2%. Female labour force participation showed mixed results, with rural female LFPR continuing its gradual rise to 40.1% while urban female participation declined marginally.
Survey Methodology and Coverage
The December 2025 data represents the ninth bulletin in the monthly PLFS series, with estimates based on information collected from 3,73,990 persons surveyed at the all-India level. The Ministry of Statistics and Programme Implementation has revamped the sampling methodology since January 2025 to provide high-frequency labour force indicators with enhanced coverage. Monthly bulletins covering the period from April to November 2025 have already been released as part of this comprehensive labour market monitoring initiative.
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