Unemployment rate soars to 8.5%, highest in over 3 years

By: |
Published: November 1, 2019 12:45:32 PM

Amid the ongoing slowdown in the economy, the joblessness rate in October rose to the highest since August 2016, the Centre for Monitoring Indian Economy (CMIE)on Friday showed.

new job, job, ESIC, payroll data, ESIC scheme, PFRDA, National Statistical Office, NSO, ESIC payroll, EPFO, Employees Provident Fund Organisation While the urban unemployment rate was recorded at 8.9 per cent, rural rate came at 8.3 per cent, the CMIE data also showed.

Amid the ongoing slowdown in the economy, the joblessness rate in October rose to the highest since August 2016, the Centre for Monitoring Indian Economy (CMIE)on Friday showed. The unemployment rate is up from 7.2 per cent in September this year, the data also showed. While the urban unemployment rate was recorded at 8.9 per cent, rural rate came at 8.3 per cent, the CMIE data also showed.  It comes as the output of eight core industries contracts 5.2 per cent in September from the years. Seven of eight sectors witnessed negative growth, according to official data released on Thursday.

Even the industrial output shrank at its fastest rate in more than six years in August. The headline seasonally adjusted IHS Markit India Manufacturing Purchasing Managers’ Index (PMI) fell to a two-year low of 50.6 in October from 51.4 in September. Tamil Nadu registered the lowest rate of joblessness at 1.1 per cent, while Tripura with 27.2 per cent had the highest rate of unemployment in the country for October. The government is facing criticism for rising unemployment in the country for some time now. The unemployment rate in 2017-18 was 6.1 per cent, corroborating the pre-election (2019) leaked report that had claimed joblessness at a 45-year high.

Also read: Employment falls first time in 6 years; about 90 lakh less jobs since 2011

Meanwhile, educated graduates suffer the most in a bad employment situation in the country, a separate analysis of CMIE data also showed. The unemployment rate among those who have not passed Class 10 is up to 4 per cent while that among graduates is 15 per cent, according to CMIE. Out of 6.3 crore graduates workforce in India, around 94 lakhs are willing to work and are actively searching for a job, but are unsuccessful in grabbing one.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Ordinances on inter-state farm trade, contract farming out of judicial process
2Overcoming clearance delays: Embedded approvals for mineral blocks
3Leash on spending: Govt puts a pause on new schemes