India’s unemployment rate falls to 5.1% in July

India's unemployment rate for people aged 15 and above fell to 5.1% in July 2026, down from 5.5% in June, according to the Periodic Labour Force Survey (PLFS) Monthly Bulletin released by the National Statistics Office on Monday. The rural unemployment rate dropped sharply to 4.5% from 5.0%, while urban unemployment edged up to 6.7% from 6.6%.

The Labour Force Participation Rate (LFPR) rose to 55.4% in July from 54.4% in June. Rural LFPR climbed to 58.0% from 56.6%, and urban LFPR increased marginally to 50.4% from 50.1%. Female LFPR saw a significant jump, rising to 34.4% from 32.7%, with rural female LFPR increasing to 38.8% from 36.6%.

The Worker Population Ratio (WPR) for the 15-plus age group increased to 52.5% in July from 51.4% in June. Rural WPR rose 1.6 percentage points to 55.4%, while urban WPR ticked up to 47.0% from 46.8%. The survey, which revised its methodology from January 2025, was based on a sample of 3,71,021 people.