The unemployment rate in India rose to 5.5% in May of 2026 from 5.2% in the previous month, the highest in nearly one year, and ahead of expectations of 5.3%. The deterioration in the labor market was aligned with macroeconomic headwinds in India in recent weeks. The surge in energy prices due to the halt of commercial vessel flows in the Persian Gulf weakened the rupee and dampened the purchasing power for household and businesses. The unemployment rate rose to a one-year high of 5.1% for the rural population, 0.5 percentage points higher than the previous month. Conversely, the urban unemployment rate fell to 6.4% from 6.6% in April, the lowest in over one year. The unemployment rate remained unchanged from the corresponding period of the previous year. source: Ministry of Statistics and Programme Implementation (MOSPI)

Unemployment Rate in India increased to 5.50 percent in May from 5.20 percent in April of 2026. Unemployment Rate in India averaged 7.61 percent from 2018 until 2026, reaching an all time high of 20.80 percent in June of 2020 and a record low of 4.70 percent in November of 2025. This page provides - India Unemployment Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. India Unemployment Rate - data, historical chart, forecasts and calendar of releases - was last updated on June of 2026.

Unemployment Rate in India increased to 5.50 percent in May from 5.20 percent in April of 2026. Unemployment Rate in India is expected to be 5.30 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the India Unemployment Rate is projected to trend around 5.40 percent in 2027, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-05-15 10:30 AM
Unemployment Rate
Apr 5.2% 5.1%
2026-06-15 10:30 AM
Unemployment Rate
May 5.5% 5.2% 5.3% 5.4%
2026-07-15 10:30 AM
Unemployment Rate
Jun 5.5% 5.30%


Related Last Previous Unit Reference
Employment Rate 52.60 53.20 percent Mar 2026
Labor Force Participation Rate 55.00 55.40 percent Apr 2026
Minimum Wages 178.00 178.00 INR/Day Dec 2026
Population 1421.00 1408.00 Million Dec 2025
Retirement Age Men 60.00 60.00 Years Dec 2026
Retirement Age Women 60.00 60.00 Years Dec 2026
Unemployment Rate 5.50 5.20 percent May 2026


India Unemployment Rate
In India, the unemployment rate is estimated by directly interviewing a large sample of randomly selected households. Centre for Monitoring Indian Economy Consumer Pyramids panel of households includes over 174,405 households including over 522,000 members who are over 15 years old.
Actual Previous Highest Lowest Dates Unit Frequency
5.50 5.20 20.80 4.70 2018 - 2026 percent Monthly

News Stream
India Unemployment Rate Rises More than Expected
The unemployment rate in India rose to 5.5% in May of 2026 from 5.2% in the previous month, the highest in nearly one year, and ahead of expectations of 5.3%. The deterioration in the labor market was aligned with macroeconomic headwinds in India in recent weeks. The surge in energy prices due to the halt of commercial vessel flows in the Persian Gulf weakened the rupee and dampened the purchasing power for household and businesses. The unemployment rate rose to a one-year high of 5.1% for the rural population, 0.5 percentage points higher than the previous month. Conversely, the urban unemployment rate fell to 6.4% from 6.6% in April, the lowest in over one year. The unemployment rate remained unchanged from the corresponding period of the previous year.
2026-06-15
India Unemployment Rate Rises to 6-Month High
The unemployment rate in India inched higher to 5.2% in April of 2026 from 5.1% in the previous month, reflecting the highest ratio since October of the previous year. The slight deterioration in the labor market was aligned with macroeconomic headwinds in India in recent weeks. The surge in energy prices due to the halt of commercial vessel flows in the Persian Gulf weakened the rupee and dampened the purchasing power for household and businesses. The unemployment rate rose sharply in rural areas (4.6% vs 4.3% in March) and eased in urban areas (6.6% vs 6.8%). This was despite a pullback in the labor force participation rate (55.0% vs 55.4%) in the country.
2026-05-15
India’s Unemployment Rate Climbs to 5.1% in March
India’s unemployment rate increased to 5.1% in March 2026, up from 4.9% in February, matching market expectations and marking the highest level since October 2025. The rise was driven by higher joblessness in both urban areas (6.8% vs. 6.6%) and rural regions (4.3% vs. 4.2%). Women faced a notable uptick in unemployment, with urban female joblessness rising to 9.0% (from 8.7%) and rural female unemployment reaching 4.1% (from 4.0%). Male unemployment also inched higher, climbing to 6.1% (from 5.9%) in urban areas and 4.4% (from 4.2%) in rural regions. Meanwhile, the employment rate dipped to 52.6% from 53.2%, and the labor force participation rate fell to 55.4% from 55.9%, signaling a slight weakening in overall labor market conditions.
2026-04-15