India's Labour Market Transforms in 2025: New Laws, Falling Joblessness, Expanded Welfare

• Four new Labour Codes (Code on Wages, Industrial Relations, Social Security, OSHWC) came into effect from November 21, 2025, subsuming 29 old laws for simplified compliance.
• Unemployment rate for persons aged 15+ fell to 4.8% in November 2025, its lowest since April, with significant improvements in rural and urban areas, especially for women.
• Labour Force Participation Rate rose to 55.8% and Worker Population Ratio improved to 53.2%, reflecting higher workforce engagement and employment absorption.
• Social protection coverage expanded to 64.3% of the population, placing India second globally, with EPFO and ESIC undergoing major digital and infrastructural enhancements.
• Digital platforms like National Career Service (9,785 job fairs, 1.58 lakh selections) and e-Shram (31.42 crore registrations, platform worker module) significantly boosted employment facilitation.

Why It Matters: 2025 marked a pivotal year for India's labour market with new laws, lower unemployment, and expanded social welfare.