Overall unemployment rate is estimated at 3.7 percent

The youth unemployment rate in the country is estimated to drop to 19.2 percent in the second quarter, down from 22.9 percent in the first quarter of this year.

This projection is according to the latest Labour Force Survey report released by the National Statistics Bureau.

In substantial terms, a total of 7,903 youth were unemployed, comprising 4,187 males and 3, 716 females in the second quarter of this year.

This indicates a slightly lower youth unemployment rate for males (18.9 percent) compared to females (19.6 percent).

Urban areas reported higher youth unemployment of 21.7 percent compared to 16.7 percent in rural areas.

Youth unemployment rate is defined as the percentage of unemployed individuals in the age group between 15 to 24 years relative to the labour force, that is the economically active population in the same age group.

The report states that the overall unemployment rate of the country is expected to decline to 3.7 percent in the second quarter from 4.1 percent in the first quarter. This means the total number of unemployed individuals will drop from 15, 712 in the first quarter to 13,505  in the second quarter. 

The unemployment rate in the second quarter is higher for females at 4.5 percent compared to males at 3.1 percent.

By dzongkhag and thromdes, the highest unemployment rate was reported in Gelephu thromde with 8.7 percent followed by Samdrupjongkhar with 8.6 percent.  Zhemgang had the lowest unemployment rate at 0.2 percent.

By level of education, the highest unemployed were reported with individuals completing higher secondary at 6, 754 individuals, followed by middle secondary at 2,340 and bachelor’s degree at 1,901 individuals. 

According to the report, the country’s total working age-population (all persons aged 15 years and above) was 596,926.

With 355,415 individuals employed from the 368, 921 economically active population in the second quarter of this year, the employment rate comes to 96.3 percent.

Employment rate among males at 96.9 percent was higher than females at 95.5 percent.

By sector wise, the service sector had the highest employment of 45.3 percent, agriculture sector with 41.2 percent and 13.5 percent in industry sector.

By dzongkhags and thromdes, the highest employed were recorded in Thimphu thromde with 56,388 individuals, followed by 26, 941 in Paro, and 25,216 in Samtse.

By age group, the highest number of people employed was in the age-group between 30 and 34 years, with 63,295 individuals followed by 52,292 individuals between 35 and 39 years, and 47,943 between the 40 and 44 years.

In the second quarter, the labour force participation rate (LFPR) was 61.8. The highest was observed in Haa at 79.2 and lowest in Thimphu at 52.7.

By age group, the LFPR was the highest among the 40-44 years (80.4) and lowest rate of 8.9 in the 15-19 age bracket.

The LFPR provides information about the size of the supply of labour currently available for work compared to the whole working-age population.