Published: 30 January 2026PIB / PRS IndiaEconomy
Economic Survey: Employment at 56.2 Crore in Q2 FY26; Female Labour Participation Jumps to 42%
The Economic Survey 2025-26 reports encouraging employment trends. In Q2 FY26, total employment stood at 56.2 crore persons (aged 15 years and above), with approximately 8.7 lakh new jobs added compared to Q1 FY26. The unemployment rate declined to 3.2% in 2023-24, down from 6% in 2017-18.
A major highlight is the significant improvement in female labour force participation rate (FLFPR), which increased from 23% in 2017-18 to 42% in 2023-24. The overall labour force participation rate rose from approximately 55% in April to 56.1% by December 2025.
Sectoral distribution shows that agriculture and self-employment accounted for 42.4% and 55.8% of total employment respectively in Q2 FY26. Self-employment remains dominant at 60% of all employed workers. Organized manufacturing added 57 lakh jobs between 2015-16 and 2024-25 at a 4% annualized rate, with about 10 lakh new jobs in FY24 alone (6% YoY growth).
The gig economy currently accounts for 2% of the workforce, projected to reach 6.7% by 2029-30. However, the Survey flags that 40% of gig workers earn under ₹15,000 per month. The e-Shram portal had over 31 crore unorganized workers registered by January 2026, with women constituting over 54%.
Mains angle
Q: Analyse the principal employment trends highlighted by the Economic Survey 2025-26 and their implications for India's labour market formalisation and women's economic participation.
Answer (50 words):
The Economic Survey 2025-26 reports Q2 FY26 employment at 56.2 crore persons, unemployment at 3.2% (down from 6% in 2017-18), and female labour force participation doubling from 23% to 42%. Gig economy covers 2% of workers, projected at 6.7% by 2029-30, signalling persistent formalisation gaps despite strong job-creation momentum overall.
6-axis classification
CoverageNationalSubjectEconomicExamBasic Computer Instructor · CET Graduation · CET Senior Secondary · EO/RO · LDC · Mahila Supervisor · Patwar · PTI · RAS · REET · RPSC SI · School Lecturer · Senior Computer Instructor · Senior Teacher · UPSC · Vanpal · BothSourcePIB / PRS India
Practice MCQ from this story
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Linked questionEasy
According to the Economic Survey 2025-26, what is the female labour force participation rate (FLFPR) in 2023-24?
Explanation · Correct answer CFemale labour force participation rate (FLFPR) increased significantly from 23% in 2017-18 to 42% in 2023-24. Option A (23%) represents the 2017-18 figure. This nearly doubling of FLFPR is a major highlight of the Survey.
Frequently asked questions
What was India's total employment in Q2 FY26 according to Economic Survey 2025-26?
The **Economic Survey 2025-26** reported total employment of **56.2 crore persons** in Q2 FY26, with **8.7 lakh new jobs** added compared to Q1 FY26. The **unemployment rate** declined to **3.2% in 2023-24**, down from 6% in 2017-18.
What is India's female labour force participation rate (FLFPR) as per Economic Survey 2025-26?
India's **Female Labour Force Participation Rate (FLFPR)** increased significantly from **23% in 2017-18 to 42% in 2023-24**, one of the most notable improvements in India's labour market. The overall **Labour Force Participation Rate (LFPR)** rose from 55% in April to **56.1% by December 2025**.
What is the gig economy's share in India's workforce per Economic Survey 2025-26?
The **gig economy** accounts for **2% of India's workforce**, projected to grow to **6.7% by 2029-30**. The Survey noted that **40% of gig workers earn under ₹15,000/month**. The **e-Shram portal** has registered millions of unorganised sector workers, aiding social security coverage.
What is the sectoral distribution of employment in India as per Economic Survey 2025-26?
Per the **Economic Survey 2025-26**, **agriculture accounts for 42.4%** and **self-employment for 55.8%** of total employment in Q2 FY26. **Organised manufacturing** added over 10 lakh jobs in FY24 and more than 57 lakh jobs over FY15-FY24. **Self-employment remains dominant** at 60% of all employed workers.
How has India's unemployment rate changed between 2017-18 and 2023-24?
India's **unemployment rate declined from 6% in 2017-18 to 3.2% in 2023-24** — a significant improvement reflecting stronger job creation, rural employment guarantee schemes (MGNREGS), and rising **female labour force participation**. The Economic Survey attributes this to improved economic formalisation and the post-pandemic recovery in manufacturing and services.
