In the face of rising unemployment, the latest labour force survey report comes as a big concern demanding immediate attention. According to the report, more than one-third, or about 35 percent, of the country’s working-age population is economically inactive.

Economically inactive population refers to individuals within the working-age group who neither worked nor sought employment during the survey period. This is, however, including full-time students, individuals engaged in household work, retirees, the elderly, and those who are infirmed or disabled, among others.

While the working-age population, defined as individuals aged 15 and older, showed varying trends over the year, the numbers of the economically inactive population are high—210,219 individuals in the fourth quarter of 2024. Are Bhutanese lazy or are there not enough employment opportunities? How can 35 percent of the active working-age population be economically inactive?

The report comes at a contrasting time where employers are complaining about high attrition rate in the government, corporate and private sector,  while farmers are concerned with shortage of workers and increasing wages. Economically inactive individuals in urban areas are lower than in rural areas. There are 89,147 individuals  in urban areas compared with 121,964 in rural areas, according to the report. The higher inactivity rate  in rural areas  reflects fewer employment opportunities outside urban centres, but it could also indicate other issues if other studies could zoom in to the issue.

It is a fact that many Bhutanese are moving to the urban areas, if not in search of better opportunities, to at least replace those leaving the country for greener grasses outside the country. The consequence is increasing goongtongs (empty households) or fallow fields.  As of April last year, there were nearly 6,000 goongtongs in the country, with 75 percent located in the eastern dzongkhags. This is an increase from 5,129 empty houses in 2019, underscoring a troubling trend of rural-to-urban migration.

The increasing inactive working population reveals a multi-faceted problem hindering economic growth. On the one hand, we have an  economically active population, while on the other, we lack the workforce, especially in the agriculture sector. The shortage of workforce is so severe that according to the agriculture department, out of the 2.6 percent of the agriculture land (250,000 acres), 26 percent or 66,120 acres are fallow land.

The increasing economically inactive  population in rural Bhutan is due to the exodus from rural to urban Bhutan  driven by factors like the lure of better economic opportunities, education, and healthcare facilities in urban centres. This migration pattern not only disrupts the social fabric of rural communities but also threatens the sustainability of agricultural practices and local economies.

As young people leave their ancestral homes in search of these perceived benefits, they leave behind aging parents and abandoned homes.

Meanwhile, a new concern is the report of high suicide rate among the economically active population. The number has reached alarming levels, with nearly 68 percent of those who took their own lives last year falling within the 20 to 59 age group, according to recent statistics. Of the 103 suicides recorded in 2024, 70 were individuals aged 20 to 59, among the most economically active group.

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