Youth unemployment rate declines to 9.9% in 2025: Govt tells Lok Sabha

The unemployment rate for youth aged 15-29 declined to 9.9% in 2025 from 10.9% in 2022, while the Worker Population Ratio for the same group rose to 41.4% from 38.5%, the government informed the Lok Sabha, citing the latest PLFS report.

The estimated unemployment rate among youth aged 15-29 years declined to 9.9 per cent in 2025 from 10.9 per cent in 2022, while the Worker Population Ratio (WPR) for the age group increased to 41.4 per cent from 38.5 per cent during the same period, the government said in the Lok Sabha on Monday.

In a written reply to a question on the status of employment generation schemes, Labour and Employment Minister Mansukh Mandaviya said employment generation coupled with improving employability remains a priority of the government.

Youth Unemployment Declines, WPR Increases

According to the latest Periodic Labour Force Survey (PLFS) report for 2025, the WPR indicating employment on usual status among youth aged 15-29 years increased from 38.5 per cent in 2022 to 41.4 per cent in 2025. The estimated unemployment rate for youth declined from 10.9 per cent in 2022 to 9.9 per cent in 2025.

Government's Employment Generation Initiatives

The government said it is implementing various employment generation schemes and programmes, including Pradhan Mantri Mudra Yojana (PMMY), Prime Minister's Employment Generation Programme (PMEGP), Pt. Deen Dayal Upadhyaya Grameen Kaushalya Yojana (DDU-GKY), Rural Self Employment and Training Institutes (RSETIs), Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin), PM Street Vendor's AtmaNirbhar Nidhi (PM SVANidhi) and Stand-Up India Scheme.

Recruitment in Government Sector

On recruitment in the government sector, the Ministry said filling vacant posts in various Ministries and Departments is a continuous process and efforts are made to fill vacancies in accordance with the relevant recruitment rules. It said the Department of Personnel and Training has issued instructions from time to time to Ministries and Departments for filling vacant posts in a time-bound manner. Vacancies in the Union government have been filled in mission mode, with more than 12.5 lakh recruitment letters issued through 19 Rozgar Melas organised across the country since October 2022.

Role of MSMEs and PLI Schemes

The government also highlighted the role of MSMEs in employment generation. It said 8.9 crore Micro, Small and Medium Enterprises have been registered on the Udyam Registration Portal, including the Udyam Assist Platform, providing employment to over 39 crore people across the country. The Production Linked Incentive (PLI) schemes covering 14 key sectors have an approved financial outlay of Rs 1.91 lakh crore to enhance manufacturing capabilities, attract investments, increase exports and generate employment. As of March 31, 2026, the PLI schemes had resulted in actual investment of over Rs 2.40 lakh crore and employment generation of more than 14.15 lakh, including direct and indirect employment, the government said.

Pradhan Mantri Viksit Bharat Rozgar Yojana

The government further said the Pradhan Mantri Viksit Bharat Rozgar Yojana, with an outlay of Rs 99,446 crore, aims to incentivise the creation of more than 3.5 crore jobs over a period of two years, with a special focus on the manufacturing sector. Up to June 2026, an incentive amount of Rs 744.58 crore had been disbursed to 13.18 lakh first-time employees under Part A of the scheme, while Rs 2,068.84 crore had been disbursed to 67,369 beneficiary establishments under Part B.

Support for Startups

On startups, the government said 2,40,092 entities had been recognised as startups by the Department for Promotion of Industry and Internal Trade as of June 30, 2026. It said the Fund of Funds for Startups, Startup India Seed Fund Scheme and Credit Guarantee Scheme for Startups support startups at various stages of their business cycle.

Skill Development and Career Services

The government is also implementing the Skill India Mission through schemes including Pradhan Mantri Kaushal Vikas Yojana, Jan Shikshan Sansthan, National Apprenticeship Promotion Scheme and Craftsmen Training Scheme through Industrial Training Institutes. The PM-SETU scheme, aimed at enhancing the quality and relevance of vocational training, has a total outlay of Rs 60,000 crore. The Ministry of Labour and Employment is also running the National Career Service portal as a one-stop digital platform providing job search and matching, career counselling, vocational guidance, information on skill development courses and job fairs, among other career-related services. (ANI)

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