India’s labour market showed a slight slowdown in May 2026. The Labour Force Participation Rate (LFPR) for people aged 15 years and above fell to 54.4% in May 2026 from 55.0% in April 2026 and 54.8% in May 2025. Rural LFPR stood at 56.6%, while urban LFPR was 49.8%.
Female labour force participation remained largely stable. Overall female LFPR was 32.8% in May 2026 compared with 33.2% a year earlier. Rural female LFPR stood at 36.7%, while urban female LFPR remained almost unchanged at 24.8% compared with April 2026.
Employment levels softened marginally during the month. The Worker Population Ratio (WPR) for people aged 15 years and above was 51.4% in May 2026, down from 52.2% in April 2026 and 51.7% in May 2025. Rural WPR stood at 53.8%, while urban WPR was largely stable at 46.6%. Male WPR was 72.5% and female WPR was 31.0%.
Unemployment showed a mixed trend across rural and urban areas. Overall unemployment rate (UR) was 5.5% in May 2026. Urban UR declined to 6.4% from 6.6% in April and from 6.9% a year ago, marking a one year low. Rural UR rose to 5.1% from 4.6% in April 2026.
Among men, the unemployment rate was 5.4%, while among women it was 5.6%. Urban female unemployment stood at 8.2%, down from 8.5% in April 2026, while rural female unemployment was 4.7%. Urban male unemployment remained at 5.9%, unchanged from April.
The survey covered 3,73,887 people across India. Of these, 2,13,294 were surveyed in rural areas and 1,60,593 in urban areas. The moderation in LFPR and WPR, along with a rise in overall unemployment, suggests labour market conditions softened slightly during May 2026, possibly due to seasonal factors affecting economic activity.
Source: MOSPI
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