Late monsoon pushes India's June unemployment rate to the highest post COVID lockdowns

The country's unemployment rate shot up to 7.80 percent in June with the loss of 13 million jobs, mainly in the agriculture sector, according to data released by the economic think-tank Centre for Monitoring Indian Economy (CMIE).

The massive fall in the number of jobs last month was triggered by a higher unemployment rate in rural areas, which went up to 8.03 percent in June from 6.62 percent in May.

In urban areas, the situation was better but unemployment still went up to 7.30 percent in June compared to 7.12 percent recorded in May, according to the CMIE data.

"This is the biggest fall in employment during a non-lockdown month," CMIE managing director Mahesh Vyas said. "This is basically a rural phenomenon and seasonal. However, this is a seasonal phase when there is a lull in agricultural activities in rural areas and it is most likely to be reversed in July when the sowing begins."