India’s Unemployment Rate Rises to 5% in January 2026

Tuesday, February 17, 2026
1 min read
India's Unemployment Rate Rises to 5% in January 2026
Photo Credit: Hindustan Times

India’s unemployment rate for individuals aged 15 years and above increased to 5% in January 2026, up from 4.8% in December 2025, according to the latest government survey released on February 16, 2026. This data was part of the Periodic Labour Force Survey conducted by the National Statistics Office (NSO) under the Ministry of Statistics and Programme Implementation.

The survey revealed that the unemployment rate rose marginally in both rural and urban areas. The Labour Force Participation Rate (LFPR) and Worker Population Ratio (WPR) also saw a decline. The NSO attributed the rise in unemployment primarily to rural areas, citing seasonal factors such as post-harvest slack and discouragement effects.

The rural unemployment rate increased from 3.9% to 4.2%, while the urban rate went from 6.7% to 7.0% between December 2025 and January 2026. Although male unemployment remained stable, female unemployment saw a short-term increase, remaining within the range observed from April to December 2025.

The overall LFPR for January was 55.9%, a slight decrease from 56.1% in the previous month. The rural LFPR fell to 58.7% from 59.0%, while the urban LFPR slightly increased to 50.3% from 50.2%. The female LFPR was reported at 35.1%, with rural areas at 39.7% and urban areas at 25.5%.

The Worker Population Ratio remained broadly stable. In rural areas, male and female WPR were 75.7% and 38.0%, respectively, compared to 76.0% and 38.6% in December. Urban WPR for males was 70.5%, 23.0% for females, and 46.8% overall in January.

The NSO’s survey covered 373,158 individuals and continues to be the primary source of employment data in India. With the survey methodology updated in January 2025, monthly and quarterly estimates provide a detailed understanding of the country’s labour market.

Published in SouthAsianDesk, February 17th, 2026

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