Punjab's Employment Crisis Deepens as Youth Joblessness Climbs
According to the latest Periodic Labour Force Survey for October to December 2025, the employment scenario in Punjab has deteriorated significantly. Unemployment has risen in both the 15-29 age category and the broader 15 years and above group, even as figures declined at the national level and in neighboring states like Haryana and Himachal Pradesh.
Youth Unemployment in Punjab Outpaces National Average
In the 15-29 age group, Punjab's combined rural and urban unemployment rate stood at 19.3%, up from 18.9% in the previous July-September quarter. This was notably higher than the all-India average of 14.3%, which decreased from 14.8%. The data reveals a stark gender gap, with male unemployment at 16.7% and female unemployment at 28.4% for rural and urban combined.
Breaking it down further, rural Punjab saw youth unemployment at 22.5%, with males at 19.9% and females at 30.7%. In urban areas, the rate was 14.8%, with males at 12.5% and females at 24.3%. These figures underscore the persistent challenges in job creation across the state.
Neighboring States Show Improvement
In contrast, Haryana's overall youth unemployment rate declined to 12.4% from 15.4% in the previous quarter. Rural unemployment was 11.9%, while urban areas recorded 12.8%. Female unemployment in urban Haryana was 16.8%, compared to 12.1% among males.
Himachal Pradesh, despite recording the highest unemployment rate in the 15-29 category at 29.9%, saw a decline from 33.9% in the previous quarter. Rural unemployment stood at 31.1%, with male unemployment at 32.4% and female unemployment at 29.6%. Urban unemployment was 23%, with female unemployment in urban areas at 34.1%.
Broader Age Group Trends
For the 15 years and above category, Punjab's overall unemployment rate rose to 7% from 6.5%, compared to the all-India average of 4.8%, which declined from 5.2%. In rural Punjab, unemployment was 7.9%, with males at 7.2% and females at 10.2%. Urban unemployment was lower at 5.6%, with males at 5.2% and females at 7.3%.
Haryana's overall rate in this category declined to 5% from 6.2%, with rural unemployment at 4.2% and urban at 5.9%. Himachal Pradesh saw a decrease to 7.2% from 7.9%, with rural unemployment at 7% and urban at 9.5%.
Labour Force Participation and Worker Ratios
Punjab's Labour Force Participation Rate for the 15-29 age group stood at 45.9% overall, with male participation at 66.3% and female participation at 22%. Haryana recorded a lower overall youth participation rate at 39%, with female participation at 12.8%. Himachal Pradesh had the highest youth participation among the three states at 48%, with female participation at 38.5%.
The Worker Population Ratio for the 15 to 29 age group in Punjab was 37.1%, compared to 34.2% in Haryana and 33.6% in Himachal Pradesh, indicating a slightly higher share of employed persons in Punjab despite the rising unemployment rates.
National and Regional Comparisons
At the national level, rural youth unemployment stood at 12.6%, while urban youth unemployment was higher at 18.0%. Female urban unemployment at the all-India level was 25.2%, compared to 15.7% among males. Other states with high youth unemployment included Jammu and Kashmir at 22.8%, Kerala at 21.8%, and Telangana at 21.3%.
This survey highlights the urgent need for targeted employment policies in Punjab to address the growing job crisis, especially among youth and women, as the state lags behind national and regional improvements.