India, Jan. 16 -- India's unemployment rate was 4.8% in December, according to the monthly Periodic Labour Force Survey (PLFS) data released by the National Statistics Office (NSO) on Thursday, almost the same as the 4.7% reading in November and the second lowest in the nine months beginning April 2025.

Because unemployment rates are likely to be affected by seasonal factors, and we do not have full-year data in the monthly series yet, it is difficult to ascertain whether the sequential changes in unemployment rate suggest an improvement or worsening in labour market conditions.

What we do know is that the second lowest unemployment rate in December is not a function of fewer people seeking jobs. Labour Force Participation Rate (LFPR) i...