In December 2025, India's unemployment rate experienced a slight uptick, rising to 4.8% from a record low of 4.7% in November, in line with market forecasts. Despite this increase, the rate remains significantly below the historical averages. Urban unemployment saw a modest increase to 6.7% from the previous 6.5%, while the rural unemployment rate held steady at 3.9%. This overall rise in unemployment corresponds with a 0.3 percentage point increase in the labor force participation rate, reaching 56.1%, a new series high.