… unemployment rate increases by 7.7 percent
The youth unemployment rate in 2022 is estimated at 28.6 percent which is an increase by 7.7 points compared to 20.9 percent in 2021, according to the Labour Force Survey Report, 2022.
Of the 101,170 youth population, 8,496 youth were unemployed and actively seeking work.
Youth unemployment rate is defined as the percentage of unemployed persons in the age group 15-24 years in labour force also known as an economically active population in the same age group.
The report stated that a higher unemployment rate indicates a declining economy and its inability to generate employment for those people who want to work but are not doing so, even though they are available for employment and actively seeking work.
The overall unemployment rate for Bhutan in 2022 is estimated at 5.9 percent which is an increase by 1.1 percent as compared to 4.8 percent in 2021.
According to the report, the trend of the youth unemployment rate has fluctuated over the period of six years with the highest rate observed in 2022 and the lowest in 2019 at 11.9 percent.
Of the total 484,965 working-age population, the share of youth unemployed to the total unemployment is 46.7 percent, indicating that for every 100 unemployed persons, there are about 47 unemployed youth.
In terms of age and sex group, Sarpang dzongkhag has the highest youth unemployment rate of 44.2 percent followed by Thimphu at 39.8 percent and Gasa with the least rate of 1.7 percent.
The survey found that 31. 2 percent of the youths had recently completed their studies and were actively seeking employment and 21.4 percent lack adequate qualifications required for the relevant employment in the market.
Other major reasons for unemployment were the mismatch of qualifications and voluntary resignation from earlier jobs.
Going by the preference as per the report, 77.5 percent of the unemployed people prefer to work in government, followed by jobs in private and government corporations respectively.
The report stated that investments and involvement of the private sector also play an important role in solving youth unemployment issues.
The unemployment rate is higher among female youths at 32.8 percent than among males at 24.4 percent in 2022.
The Labour Force Survey Report 2022 was published by National Statistics Bureau.