India’s national unemployment rate fell to 6.7% in March 2025, according to the Centre for Monitoring Indian Economy (CMIE), indicating a modest recovery in job creation.

The decline is attributed to increased hiring in manufacturing, construction, and services sectors, particularly in urban areas. Rural job demand also improved following higher pre-monsoon agricultural activity.
States like Gujarat, Karnataka, and Maharashtra recorded the lowest joblessness rates. However, states like Bihar and Jharkhand continued to report higher-than-average unemployment, highlighting regional disparities.
Experts caution that while the number is encouraging, underemployment and job quality remain areas of concern. The gig economy and platform-based jobs like delivery and ride-hailing saw significant upticks.
The government has announced new skilling initiatives under PMKVY 4.0 to further boost employment prospects among the youth.
Conclusion:
India’s employment landscape is gradually stabilizing, but sustained policy intervention and quality job creation are crucial for long-term progress.