India's job growth faster than its working-age population: World Bank
What's the story
India's job market is on the right track, a recent report by the World Bank has said.
The report noted that since the 2021-22 fiscal year, employment in the country has been increasing at a faster rate than the working-age population.
Notably, this growth is largely driven by an increase in women's participation in the workforce.
Decline
Urban unemployment hits record low
The World Bank report also highlights a drastic decline in urban unemployment.
It mentions that urban unemployment declined to 6.6% in the first quarter of the 2024-25 fiscal year, the lowest since 2017-18.
This decline indicates an overall positive trend in job growth across India, further highlighting the country's improving employment landscape.
Migration trends
Shift in worker movement
The report also notes a shift in worker movement, with more men migrating from rural areas to cities in search of employment for the first time since 2018-19. Meanwhile, rural women are increasingly taking up jobs in agriculture.
Challenges
Youth unemployment and gender disparities persist
Despite the positive trends, the World Bank report also highlights challenges that remain.
Youth unemployment is at 13.3%, with a higher rate among those who have completed higher education—29% of them are still looking for jobs.
Further, while female employment has improved to a rate of 31%, there are still 234 million more men than women in paid jobs, underscoring gender disparities in the workforce.
Shift
Self-employment on the rise
The report highlights an increase in self-employment, especially among rural workers and women. More people are opting to work for themselves instead of taking up regular jobs. This trend indicates changing attitudes toward employment and job security in India, further diversifying the country's job market.