GDP at record high but unemployment continues to rise

Rising unemployment remains a major concern for long-term economic growth despite substantial improvement in GDP growth. According to data, both rural and urban employment rates fell in August.

Unemployment in the country continues to rise even as all indicators of growth including gross domestic product (GDP) indicate rapid economic recovery. The latest unemployment rate data released by the Mumbai-based think-tank Centre for Monitoring Indian Economy (CMIE) show that 1.5 million people or 15 lakh people lost jobs in August. The unemployment figure accounts for jobs lost in both the formal and informal sectors.