Increase in rural joblessness raised the unemployment rate in India in June to 7.8 per cent of the total workforce from 7.12 per cent in May, according to latest data published by the Centre for Monitoring Indian Economy (CMIE).

The rise could be fully attributed to  rural unemployment rate, which increased to 8.03 per cent from 6.62 per cent in May. Urban unemployment rate shrank to 7.30 per cent in June from 8.21 per cent in May.

Haryana witnessed the highest unemployment rate in June at 30.6 per cent followed by Rajasthan (29.8 per cent), .

States that recorded low rates of unemployment during the month included Madhya Pradesh at 0.5 per cent, Chhattisgarh and Odisha at 1.2 per cent each and Tamil Nadu at 2.1 per cent.

Key factors

One of the factors that would have aggravated the rural unemployment situation in June was the below normal monsoon during the month which resulted in less labour being employed in fields. The situation could improve once rainfall increases over the next few weeks.

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