More than 15 lakh people in the country lost their jobs in August in both the formal and informal sectors, the Hindustan Times reported citing data from the Centre for Monitoring Indian Economy.

The total number of employed individuals fell from approximately 40 crore in July to 39.7 crore in August, the organisation said. Notably, 13 lakh job losses were from rural India alone.

The national unemployment rate also rose sharply in August to 8.32% from 6.95% in July, according to the Centre for Monitoring Indian Economy.

Urban unemployment rose to 9.78% in August from 8.3% in July, the data showed. It was at 7.27% in March, just before the second wave of the coronavirus pandemic hit India.

Rural unemployment also went up to 7.64% in August from 6.34% in July, primarily because of low crop sowing during the kharif season.

Centre for Monitoring Indian Economy Managing Director Mahesh Vyas told NDTV that unemployment rate rose because job opportunities reduced in the agriculture sector.

KR Shyam Sundar, a labour economist, said that the job crisis will persist for a few months at least, according to the Hindustan Times. “Unless the formal sectors show great promise, recovery of good quality jobs will take time,” he added.

Besides the unemployment figures, data from the Centre for Monitoring Indian Economy showed that labour force participation rate rose marginally in August, indicating that more people are actively looking for a job.

Congress leader Rahul Gandhi criticised the Bharatiya Janata Party government for the rising unemployment rate.

“The Modi government is harmful for employment,” he tweeted on Friday. “It does not promote or support any kind of business or employment not belonging to friends and instead is trying to snatch jobs from those who have them.”

On Tuesday, government data showed that India’s Gross Domestic Product grew by 20.1% in the first quarter of the financial year 2020-’21. However, experts pointed out that the seemingly high number was built on a low base after an unprecedented contraction of 24.4% in the first quarter of the previous financial year.

At least Indian eight states, including Delhi, Haryana and Rajasthan, are still reporting double-digit unemployment rates.

Also read:

‘Educated unemployment’: The crisis that defines millennials more than any other demographic