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  • 122 million Indians unemployed in April due to Covid

122 million Indians unemployed in April due to Covid

Kirana Shop
Headlines May 14, 2020
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India’s unemployment rate has risen to record highs. This is despite a fleeting sign of recovery. Over 120 millions jobs have been lost mainly those of small traders and daily wagers. This is according to data from the Centre for Monitoring Indian Economy (CMIE).

India’s unemployment rate touched 27.1% in the week ending 3 May. This is the highest ever and shows the impact the Covid-19 pandemic has had on the economy. India’s factory output, which is a key measure of economic activity, shrunk by 16.7%. This shows that a widespread shutdown has bit the economy hard.

The lockdown imposed on 24 March has led to the shutting down of shops, factories and services, such as tourism, hotels and public transport, affecting jobs. Millions of displaced migrant labourers are rushing to their home states as they fight a battle to survive.

“It is not surprising that small traders and wage labourers account for most of these losses. They have been the most severely hit during the lockdown,” the CMIE report said.

Rising job losses will put more pressure to lift the lockdown restrictions. New lockdown rules will be announced on 18 May.

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