A Summary of Report on Second Annual
Employment & Unemployment Survey
Labour Bureau, Governemnt of India,
The latest report on Second Annual Employment & Unemployment Survey for the year 2011-12 was released by the Chandigarh-based Labour Bureau under the Union Ministry of Labour & Employment on 10th July 2012.
According to the survey, India’s official unemployment rate is 3.8% during the last fiscal, with urban unemployment at 5.1% and rural at 3.5%. Unemployment is higher among women than among men; 6.7% for women as against 2.8% for men. At the aggregate level, unemployment among SCs is 3.2%, for STs it is 2.7% and for OBCs it is 3.2% as compared to 5.4% for “others”. As per report’s data, Gujarat has lowest unemployment rate among all states in India (barring Daman and Diu which is Union territory), while Goa has the highest rate of unemployment. Daman and Diu and Gujarat had unemployment rates of 0.6% and 1% respectively.
A closer look at the figures shows that unemployment rises with education level to 10% among graduates, and higher still for backward castes.
A summary of the ‘Employment and Unemployment Survey 2012’ is given here:
• The present report is based on Second Annual Employment-Unemployment survey conducted by
• The survey has been conducted in all the States/UTs by covering all the districts.
• The field work for the second survey was launched from July, 2011 in phases and by the first
fortnight August, 2011 the field work had started in most of the States/UTs.
• The field work was completed in most of the States/UTs by the end of January, 2012.
• A sample of 1,28,298 households has been covered, out of which 81,430 households are in the rural
sector and the remaining 46,868 households in the urban sector.
• From the households covered, 6,29,753 members are surveyed out of which 4,03,271 members
reside in rural households and rest 2,26,482 in the urban households.
• The labour force estimates based on all the four approaches have been derived. The four approaches
are usual principal status (UPS) approach, usual principal and subsidiary status (UPSS) approach,
current weekly status (CWS) approach and current daily status (CDS) approach.
• A fixed reference period of Agriculture Year 2010-11 i.e. July, 2010 to June, 2011 is used to derive
the estimates based on usual status approach. For current weekly and current daily status
approach, the week comprising of seven days preceding the date of the survey is taken as the
reference period.• As the field work was spread over 6-7 months period in most of the States/UTs, and since the CDS and CWS estimates are based on the week preceding the date of survey, the seasonal variations would not get captured in the CDS and CWS estimates.
• All the labour force related tables are generated state-wise/gender-wise/sector-wise/social
• The labour force estimates are derived for the persons of age 15 years and above.
• Based on the survey results, 50.8 per cent or majority of the households are found to be having
self employment as the major source of income under agricultural and non-agricultural activities.
• In the rural areas, 11.1 per cent households are estimated to be having regular/wage salary
earning as major source of income.
• In the urban areas, 42.3 per cent households are estimated to be having regular wage/salary
earnings as the major source of income followed by 34.4 per cent households under self
• The Labour Force Participation Rate (LFPR) is estimated to be 52.9 per cent under the UPS
approach at All India level.
• In the rural sector the LFPR is estimated to be 54.8 percent as compared to 47.2 per cent in
the urban sector under the UPS approach.
• Female LFPR is significantly lower as compared to male LFPR under the usual principal status
approach. At All India level, female LFPR is estimated to be 25.4 per cent as compared to 77.4
per cent in male category.
Unemployment rates based on all the four approaches
LFPR based on all the four approaches:
• The Worker Population Ratio (WPR) is estimated to be 50.8 per cent at All India level under the
• In rural areas, the WPR is estimated to be 52.9 percent under the UPS approach as compared
to 44.9 in the urban areas.
• The female WPR is estimated to be 23.6 per cent at All India level under the UPS approach
as compared to the male WPR of 75.1 per cent.
• The unemployment rate is estimated to be 3.8 per cent at All India level under the UPS approach.
• In rural areas, unemployment rate is 3.4 percent whereas in urban areas, the same is 5.0 percent
under the UPS approach.
• Despite relatively low LFPR, the unemployment rate is significantly higher among females
as compared to males. At all India level, the female unemployment rate is estimated to be
6.9 per cent whereas for males, the unemployment rate is 2.9 per cent under the UPS approach.
• In urban areas, the female unemployment rate is estimated to be 12.5 per cent at All India level
under the UPS approach.
• Majority of the employed persons are found to be self employed based on all the four approaches.
• At all India level, 48.6 per cent persons are
estimated to be self employed under the usual
principal status approach followed by 19.7 per
cent persons under wage/salary earners and
rest 31.7 per cent persons under casual
• The employed persons are further classified on
the basis of economic activity pursued by them.
At the State/UT level results are presented
at Section level (Section A-Section U) of National
Industrial Classification, 2008.
• The survey results show that majority of the persons
are employed in the primary sector. Under Agriculture, forestry and fishing sector, 52.9 per cent
persons are estimated to be employed at All India level based on usual principal status approach.
• Under the tertiary or services sector, 27.8 per cent persons are estimated to be employed at All
India level based on usual principal status approach.
• Under the manufacturing and construction sector i.e. the secondary sector, 19.3 per cent persons
are estimated to be employed at All India level based on usual principal status approach.
Source : Labour Bureau’s Report Post created by- Naren