India’s labour market shows signs of broad-based recovery in July, with employment gains across rural and female sectors

India’s labour market improved in July as more people entered the workforce and unemployment decreased, signalling a resilient economic recovery amid rural and female employment growth.

India’s labour market improved in July as more people entered the workforce and the unemployment rate eased, according to the latest government data. The figures suggest a broad-based improvement after a softer June, with gains visible in both rural and urban areas.

The Labour Force Participation Rate, which measures the share of people working or actively seeking work, rose to 55.4% in July from 54.4% in June. The Worker Population Ratio also increased, reaching 52.5% and marking its first monthly rise since February. Rural areas led the improvement, with participation and employment levels both moving higher.

Women also saw better numbers. Female labour force participation climbed to 34.4% in July, while rural female employment rose more sharply to 37.2% from 34.7% in June. That points to a wider strengthening in employment conditions, although women’s participation remains well below men’s.

The unemployment rate for people aged 15 and above fell to 5.1% in July from 5.5% in June, when it had been the highest in nearly a year, according to data previously reported by Moneycontrol and the National Statistical Office’s June survey. The latest release indicates that joblessness declined for both men and women, suggesting the labour market recovered some ground at the start of the second half of the year.

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