Published: 11 October 2025Economy
India's Educated Unemployment Crisis: 66% of Jobless Are Graduates
A sharp spotlight fell on India's educated unemployment crisis in October 2025. Data shows that 66% of India's unemployed are graduates or postgraduates. In Haryana, 46,000 graduates applied for sanitation jobs; in Rajasthan, over 12,000 people had interviewed for 18 peon posts in 2017. Two of five IIT graduates in 2024 remained unplaced.
The IT sector cut 64,000 jobs in FY24. Average graduate salary has stagnated at ₹3-4 lakh annually for nearly a decade. Experts point to a mismatch between academic curriculum and industry demands, calling for reforms in vocational training and apprenticeship linkages. PM-SETU, launched on October 4, 2025, targets ITI upgradation for employability; PM Dhan-Dhaanya Krishi Yojana, launched on October 11, 2025, is an agriculture productivity scheme for 100 districts and should not be framed as a direct skill-employment programme.
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Practice MCQ from this story
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Linked questionMedium
The NIC was first introduced in India in which year?
Explanation · Correct answer BThe National Industrial Classification was first introduced in India in 1962.
Frequently asked questions
What percentage of India's unemployed are graduates?
**66% of India's unemployed are graduates or postgraduates**, highlighting a severe educated unemployment crisis. Data shows stark examples: 46,000 graduates applied for sanitation jobs in Haryana, and 12,000 competed for 18 peon posts in Rajasthan.
What is the placement crisis at IITs in 2024?
**Two out of five IIT graduates in 2024 remained unplaced**, contributing to India's educated unemployment crisis. The IT sector also cut 64,000 jobs in FY24, while the average graduate salary has stagnated at ₹3-4 lakh annually for nearly a decade.
What schemes were launched in October 2025 to address India's skill-employment gap?
**PM-SETU and PMDDKY schemes were launched in October 2025** to partially address India's skill-employment gap. PM-SETU transforms 1,000 ITIs into industry-managed skill centres, while PMDDKY targets agricultural productivity in 100 districts — both aimed at bridging the mismatch between education and employment.
What is the average graduate salary in India in 2025?
**The average graduate salary in India has stagnated at ₹3-4 lakh annually for nearly a decade,** despite rising education costs and aspirations. With 66% of unemployed being graduates, experts point to a severe mismatch between academic curriculum and industry demands as the root cause.
How many jobs did India's IT sector cut in FY24?
**India's IT sector cut 64,000 jobs in FY24**, contributing to the educated unemployment crisis. Two out of five IIT graduates in 2024 remained unplaced, and the average graduate salary has stagnated at ₹3-4 lakh annually, reflecting a structural mismatch in India's labour market.
