India's Jobless Rate Hits 4-Month High Of 7.9% In December, Says CMIE Data

The unemployment rate rose to 7.9 per cent in December from 7.0 per cent in November, its highest since 8.3 per cent in August

New Delhi: The unemployment rate of the country hit a four-month high in December, data from the Centre for Monitoring Indian Economy (CMIE) showed on Monday.

According to a news report in Reuters, the unemployment rate rose to 7.9 per cent in December from 7.0 per cent in November, its highest since 8.3 per cent in August.

Economic activity and consumer sentiment have been hit in the country after a rise in cases of the Omicron coronavirus variant, social distancing restrictions, and lockdowns in many states.

Urban unemployment rate rose to 9.3 per cent in December from 8.2 per cent in the previous month, while the rural unemployment rate was up 7.3 per cent from 6.4 per cent, the data showed.

Many economists worry that the Omicron variant could reverse the economic recovery seen in the previous quarters.

Mumbai-based CMIE data on unemployment is closely watched by economists and policymakers as the government doesn’t release monthly figures.

Haryana topped the unemployment chart in December with 34.1 per cent, according to CMIE report, followed by Rajasthan (27.1), Jharkhand (17.3), Bihar (16.0), and Jammu & Kashmir (15.0).

The employment /unemployment status of each suitable member of the household is captured as of the date of survey, said CMIE.

According to news reports, unemployment rate among the urban youth of the 15-29 years age group rose to 19.2 per cent and 21.1 per cent, respectively, in the pre-lockdown periods of October-December, 2019 and January-March, 2021, respectively. Lockdown was first imposed to control the spread of the virus on March 25, 2020.