Periodic Labour Force Survey Data Showing 'Falling' Unemployment Rate Misleading - Radhicka Kapoor https://www.youtube.com/watch?v=Gm97T_T5QSA Aug 19, 2021 Radhicka Kapoor, who is a senior visiting fellow at ICRIER, points out that although calculated on the basis of the usual status approach the unemployment rate has fallen from 6.1% in 2017-18 to 4.8% in 2019-20, when calculated on the basis of the weekly status approach it’s a lot higher at 8.8% and its been hovering around 8.8-8.9 %, without declining, since 2017.She says the usual status approach masks underemployment by presenting it as full employment. It also does not reflect the fact many people have lost good salaried jobs and been forced into self-employment often, if not usually, as unpaid family workers. This is why the unemployment rate as determined by the usual status approach needs to be seen along with and tempered by the weekly status approach rate.
The grim reality hidden by recent decline in unemployment rates https://indianexpress.com/article/opinion/columns/the-grim-reality-hidden-by-recent-decline-in-unemployment-rates-7444792/ these statistics need to be interpreted with caution. They are based on the “usual status” approach wherein the activity status of a person is captured for a reference period of 365 days preceding the date of survey.
Share of self employed increase as also unpaid family labour thereby indicated that people have taken to all kind of jobs that is available.