India Unemployment Rate (UER)

Overview

BSE and CMIE have collaborated to fill a vital gap in India's statistical database by measuring unemployment through an extensive and representative household survey. Major benefits of unemployment rate include:
  • The degree to which society can provide employment to those who seek employment is one of the most important indicators of the well-being of any society. Therefore, the unemployment rate, which measures the inability to provide such employment becomes the most important indicator to measure the health of a modern economy.
  • The larger the proportion of productively employed labour force of a population, the greater the well-being of society. A society where a large proportion of the labour force is employed provides respite from poverty and vulnerability. It also motivates households to spend more to improve their quality of life. In doing so, households propel economic growth and more employment.
  • An increase in unemployment on the other hand, reduces aggregate spending power, slows down the economy and most importantly, it increases the vulnerability of households to deal with economic shocks.
  • It is therefore not surprising that unemployment rate is one of the most important lead indicators of an economy. In a rapidly changing world it is imperative that such an indicator is available at fast-frequency so that corrective actions can be taken in a timely manner.
In particular it helps in:
  • Measuring the health of Indian economy.
  • Anticipating emerging trends and therefore taking appropriate measures to manage and sustain growth.
  • Serving as an important input in determining the monetary policy of RBI that currently relies largely on the index of Industrial Production (IIP) to gauge supply trends. It should be noted that the IIP covers only organized industries and not the service sector.

30 Days Moving Average
Weekly Graph
India - Label Urban - Label Rural - Label
Monthly Graph
India - Label Urban - Label Rural - Label