Youth unemployment rate in J&K hits 17.4%, tops national average

Even as the debate over job reservation in Jammu and Kashmir continues, a new report has highlighted the alarming rise in youth unemployment in the Union Territory, which now stands at 17.4%—significantly higher than the national average of 10.2%.

According to the Baseline Survey Report 2024-25 under Mission YUVA (Yuva Udyami Vikas Abhiyan), a copy of which is with The Tribune, the overall unemployment rate in J&K is 6.7%, compared to the national average of 3.5%, as per the Periodic Labour Force Survey (PLFS) 2023-24.

“The youth unemployment rate is even more concerning at 17.4%, compared to India’s 10.2%, indicating a serious gap in traditional employment opportunities. Women face even steeper barriers, with urban female unemployment recorded at 28.6%, underscoring the urgent need for inclusive economic interventions,” the report states.

The report was released by Chief Minister Omar Abdullah on Saturday during the launch of the much-anticipated Mission YUVA at the Sher-e-Kashmir International Convention Centre (SKICC). The mission aims to create 1.37 lakh enterprises and generate 4.25 lakh jobs over the next five years.

The report further notes: “Entrepreneurship in J&K is emerging as a powerful catalyst for economic transformation, offering new avenues for self-employment, innovation and regional development. However, the region continues to grapple with high unemployment rates, particularly among youth and women, making entrepreneurship a critical lever for economic revival.”

District-wise, Rajouri has the highest unemployment rate at 9.3%, followed by Anantnag at 8.7%. In contrast, Jammu and Srinagar report unemployment rates of 3.3% and 5.9%, respectively, while Samba has the lowest unemployment rate at 3%.

The report also tracks structural shifts in the Union Territory’s economy. “J&K’s economy has transitioned from an agrarian base to a service-dominated structure, with agriculture’s contribution declining from 28.06% in 2004-05 to 16.91% in 2022-23. Industrial growth remains stagnant, while the service sector has expanded to contribute 63.57% to the economy, highlighting the need for modernisation, industrial expansion and service-sector-driven entrepreneurship.”

On a positive note, the report highlights that J&K has a high self-employment rate of 48%, reflecting strong entrepreneurial potential, particularly in the service sector. However, it also points out that business support systems remain fragmented, with limited access to early-stage financing for small-scale enterprises.

“High unemployment rates among youth, women, and urban populations call for targeted programmes and incentives. Promoting high-skilled, knowledge-sector enterprises can create better-paying job opportunities,” the report suggests.

Despite the challenges, the region’s young workforce is increasingly gravitating towards entrepreneurship, leveraging J&K’s rich natural resources, cultural heritage and growing digital ecosystem.

J & K