Unemployment Rate dips to 4.9% in Feb-26, Urban job market sees strong recovery

Ministry of Statistics & Programme Implementation (MOSPI) has released Periodic Labour Force Survey (PLFS) today. The present Monthly Bulletin for February, 2026 is the eleventh in the series. It noted that Labour Force Participation Rate (LFPR) remained unchanged. The overall LFPR among persons of age 15 years and above was estimated at 55.9% in February, 2026, the same as recorded in January, 2026. In rural areas, the LFPR stood at 58.7% in February, 2026. The urban LFPR was estimated at 50.4% in February, 2026, showing a marginal increase from 50.3% recorded in January, 2026. February 2026 marked a strong recovery for the urban job market with more women working and unemployment rates dropping sharply across both rural and urban sectors.

The overall female LFPR in the age group 15 years and above increased marginally from 35.1% in January, 2026 to 35.3% in February, 2026. In rural areas, the female LFPR rose from 39.7% in January, 2026 to 40.0% in February, 2026, indicating an improvement in rural female participation, whereas, the urban female LFPR remained unchanged at 25.5% during the same period. The Worker Population Ratio (WPR) in the age group 15 years and above remained broadly stable in both rural and urban areas in February, 2026. The overall WPR was estimated at 53.2% in February, 2026, in comparison to 53.1% in January, 2026.

After an increase in January, 2026, the urban unemployment rate (UR) among persons aged 15 years and above declined to 6.6% in February, 2026, falling below the December 2025 level (6.7%). However, the rural UR remained unchanged at 4.2%, the same level as observed in January, 2026. The overall UR was estimated at 4.9% in February, 2026, marginally lower than 5.0% recorded in January, 2026.

In February, 2026, the overall unemployment rate (UR) among female aged 15 years and above declined to 5.1%, compared to 5.6% in January, 2026. Decline was observed in both rural and urban areas. The urban female UR decreased from 9.8% in January, 2026 to 8.7% in February, 2026, while the rural female UR declined from 4.3% to 4.0% during the same period. However, the overall male UR remained stable at 4.8%.

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