NSO may release monthly jobs data for rural, urban areas from March-end

Currently, the NSO releases the PLFS data for urban areas on a quarterly and yearly basis, while for rural areas it is released only annually

The National Statistics Office (NSO) is likely to start releasing the periodic force labour survey (PLFS) data every month for the rural and urban areas from March, in a bid to make data readily available to help policymakers, an official told Business Standard.

 

Currently, the NSO releases the PLFS data for urban areas on a quarterly and yearly basis, and only annually for rural areas. 

 

“Come March, we will start releasing the unemployment data on a monthly basis, on par with developed economies. The idea is to provide users with as real-time data as possible for the Indian labour market. The surveys are well underway and we are confident of releasing the results," said an official.

 

Developed countries typically release job data every month, which is widely tracked by markets and economists to measure the resilience of the economy. The dominance of the informal economy in India has made tracking employment data more frequently a difficult task.

 

The latest survey about urban areas for the June quarter of FY25 was released last month, while the annual survey for July 2023-June 2024 with data for rural areas was released in September.

 

The methodology used by the survey for quarterly releases relies on current weekly status (with a reference period of seven days). However, the annual PLFS for rural areas relies on the usual status (with a reference period of 365 days).

 

“Internationally accepted definitions, including that of the ILO, rely on current weekly status to measure unemployment rate. These monthly surveys will use the CWS, which will make the compilation and processing of data faster. The computer-based methodology allows the ministry to record responses immediately on its server and provides data validation in real time. Efforts are on to make the data readily available so that it proves useful for policymakers,” the official said.

 

India’s employment data has become a point of contention for the government and economists. Due to its timeliness and frequency, private agencies like the Centre for Monitoring Indian Economy (CMIE) have become a ready reference point for unemployment data.

 

Apart from MoSPI, other ministries, including the labour ministry, also conduct employment surveys in the form of quarterly employment surveys (QES). Unlike PLFS, which gives a supply-side picture of the labour market, QES provides a demand-side view. The QES results have been significantly delayed, with results of the later rounds yet to be released.   

SHORT STORY 

- Surveys underway to release PLFS data for both rural and urban areas on a monthly basis

  - Current weekly status (with a reference period of 7 days) to be used in the surveys

  - The NSO currently releases the PLFS data for urban areas on a quarterly and yearly basis, while for rural areas it is done only annually 

- Replacing the erstwhile Employment and Unemployment survey, the government started PLFS in April 2017