India’s youth unemployment much lower than global levels: MoS Labour

Youth unemployment in India is much lower than global levels, Minister of State for Labour Shobha Karandlaje has informed Lok Sabha, underlining that all the labour force indicators are indicating an improvement in the employment scenario in the country.

As per the latest available Annual Periodic Labour Force Survey reports, the estimated unemployment rate on usual status for youth of age 15-29 years in the country in 2023-24 was 10.2% which is lower than global levels, the minister said in a written reply. Further, the worker-population ratio (WPR) for youth indicating employment has increased from 31.4% in 2017-18 to 41.7% in 2023-24.

In contrast, the worldwide youth unemployment rate was 15.6% in 2021 as per the ILO’s Global Report Trends for Youth, 2022, which was mentioned in the India Employment Report, 2024, of Institute for Human Development (IHD)-International Labour Organisation (ILO). “Further, as per World Employment and Social Outlook Trends, 2024 by ILO, globally, in 2023, the youth unemployment rate was 13.3%,” she further said.

Employees’ Provident Fund Organization (EPFO) Payroll Data gives an idea of the level of employment in the formal sector, the minister said, adding that over 1.3 crore net subscribers joined EPFO during 2023-24. “Moreover, during September 2017 to August, 2024, more than 7.03 crore net subscribers have joined EPFO, indicating increase in formalisation of employment,” she said. 

The Centre has been working on a number of measures to ensure adequate jobs for India’s large workforce and the Union Budget 2024-25 has also unveiled a five point programme for employment and skilling to improve the employability and employment prospects for first time jobs seekers. While the PM internship scheme that aims to provide internship opportunities at top 500 companies to 10 million youth during a five year period has been rolled out on a pilot basis, the labour ministry is also working on employment linked incentives aimed at improving job prospects for first time entrants into the labour force.