New Delhi: India’s unemployment rate for individuals aged 15 years and above rose modestly to 5% in January 2026, up from 4.8% in December 2025, according to the latest monthly bulletin of the National Statistics Office (NSO).
The data, released under the Periodic Labour Force Survey (PLFS), also indicated a slight easing in labour force participation and a marginal dip in the worker population ratio during the month, with rural areas accounting for much of the change.
The unemployment rate (UR) increased across both rural and urban segments. In rural India, joblessness climbed to 4.2% in January from 3.9% in December. Urban unemployment rose to 7% from 6.7% over the same period. The NSO attributed the rise primarily to seasonal factors affecting rural economic activity, noting that post-harvest slack and winter-related slowdowns in sectors such as construction, allied agricultural activities, transport and small trade contributed to weaker labour market outcomes. Urban labour market conditions, by contrast, were described as largely stable.
The overall labour force participation rate (LFPR) among those aged 15 years and above slipped to 55.9% in January from 56.1% in December. Rural LFPR declined to 58.7% from 59%, while urban LFPR edged up marginally to 50.3% from 50.2%. The data suggest that the dip in participation was concentrated in rural areas.
Female participation levels showed limited variation. The female LFPR stood at 35.1% in January, compared with 35.3% a month earlier. In rural areas, female LFPR was 39.7%, slightly lower than December’s 40.1%, while urban female participation remained broadly steady at 25.5%. The NSO noted that female unemployment in January was somewhat higher than in December, though it remained within the range recorded between April and December 2025, indicating a short-term fluctuation rather than a structural deterioration.
The worker population ratio (WPR), which measures the proportion of employed persons in the population, remained broadly stable at the all-India level. Rural WPR, which had risen steadily from 53.3% in June 2025 to 56.7% in December 2025, eased to 56.2% in January. In rural areas, male WPR stood at 75.7% in January, compared with 76% in December, while female WPR declined to 38% from 38.6%. Urban WPR showed stability across genders, with male WPR at 70.5%, female WPR at 23% and overall urban WPR at 46.8%.
The January estimates are based on responses from 3,73,158 individuals surveyed across the country.