Top 10 Indian states with the highest and lowest unemployment rate

Youth Unemployment in India: Top 10 States and UTs with Highest and Lowest Rates (PLFS 2023–24)


1. Key Highlights:

  • India’s total youth unemployment rate: 10.2% (Males: 9.8%, Females: 11%).
  • Total unemployment rate in 2023–24: 3.2% (stable over last five years).
  • Labour Force Participation Rate (LFPR): 60.1% overall (Males: 78.8%, Females: 41.7%).
  • Challenge: Job creation is insufficient to meet the influx of new entrants, estimated at 12 million per year.

2. Top 10 Indian States/UTs with Highest Youth Unemployment:

RankState/UTMale (%)Female (%)Total (%)
1Lakshadweep26.279.736.2
2Andaman & Nicobar Islands24.049.533.6
3Kerala19.347.129.9
4Nagaland27.926.627.4
5Manipur19.927.522.9
6Ladakh11.438.322.2
7Arunachal Pradesh21.919.620.9
8Goa13.231.019.1
9Punjab16.724.518.8
10Andhra Pradesh16.419.717.5

Observations:

  • UTs like Lakshadweep and Andaman & Nicobar face highest youth unemployment due to limited employment opportunities.
  • Kerala’s high literacy rate contrasts with a high youth unemployment rate (29.9%), indicating a skills mismatch and lower Worker-Population Ratio.
  • Northeastern states such as Nagaland, Manipur, Arunachal Pradesh also show high unemployment among youth.

3. Top 10 Indian States/UTs with Lowest Youth Unemployment:

RankState/UTMale (%)Female (%)Total (%)
1Madhya Pradesh2.82.12.6
2Gujarat3.32.73.1
3Jharkhand4.81.53.6
4Delhi4.64.84.6
5Chhattisgarh6.65.86.3
6Dadra & Nagar Haveli7.83.76.6
7Tripura6.86.76.8
8Sikkim8.36.87.7
9West Bengal8.510.09.0
10Uttar Pradesh9.312.39.8

Observations:

  • Madhya Pradesh and Gujarat have the lowest youth unemployment, possibly due to diverse employment opportunities and industrial growth.
  • Larger states like Uttar Pradesh and West Bengal still maintain relatively lower overall unemployment despite high youth population, indicating absorptive capacity in informal and formal sectors.
  • Female unemployment remains consistently higher than male in almost all states, highlighting gender disparities in employment.

    Updated - April 7, 2025 08:42 AM | Indian Express