Hyderabad, July 1: Hyderabad continues to be one of India’s best-paying cities for workers, but a new report by the National Statistics Office (NSO) shows that the city is also facing a higher unemployment rate than many other major urban centres.
The findings are part of the NSO’s first city-level labour market report covering 46 Indian cities with populations of more than one million.
Hyderabad’s Unemployment Above National Urban Average
According to the report, Hyderabad’s unemployment rate stands at 6.8%, which is higher than the 4.9% average for million-plus cities.
Several major cities reported much lower unemployment rates:
- Bengaluru: 2.8%
- Surat: 1%
- Howrah: 0.8%
- Rajkot: 0.3%
At the other end of the list, Patna recorded the highest unemployment rate at 20.9%, followed by Prayagraj (15.8%) and Dhanbad (15%). Women continue to face greater challenges in finding jobs in Hyderabad, with the female unemployment rate reaching 9.1%.
Many Young People Are Still Out of Jobs and Education
The report also highlighted concerns about young people who are not in employment, education or training (NEET). Around 25.1% of Hyderabad’s population aged 15 to 29 years falls into this category, which is close to the national urban average of 25%. The gap between men and women is significant:
- Young women (NEET): 37.3%
- Young men (NEET): 12.6%
More People Looking for Work
Despite higher unemployment, Hyderabad recorded a strong Labour Force Participation Rate (LFPR) of 55.5%, which is above the 52.4% average for million-plus cities.
This means more people in Hyderabad are actively looking for work or are already part of the workforce. However, not everyone is able to find employment.
Hyderabad Remains a Strong Market for Salaried Jobs
The report also shows that Hyderabad continues to offer stable employment opportunities. Around 62.1% of workers in the city have regular salaried jobs, compared with the 58.5% average across large Indian cities. Bengaluru recorded the highest share of salaried workers at 67.4%.
Hyderabad Among India’s Better-Paying Cities
Hyderabad remains one of the country’s better-paying job markets.
The average monthly income for regular salaried workers is ₹31,153, which is higher than the ₹28,808 average for million-plus cities.
Average earnings in Hyderabad include:
- Regular salaried workers: ₹31,153 per month
- Self-employed workers: ₹30,075 per month
- Casual workers: ₹784 per day
Although Hyderabad offers better salaries than many cities, it still trails Navi Mumbai, where regular salaried workers earn an average of ₹51,515 per month.
Hyderabad Among India’s Most Productive Cities
The report also placed Hyderabad among India’s most productive urban economies.
The city recorded a Gross Value Added (GVA) per worker of ₹2,76,700, the second highest among the 46 cities covered in the survey. Only Pimpri-Chinchwad ranked higher, while Delhi came in third.
What the Report Means
The NSO report presents a mixed picture of Hyderabad’s job market. While the city offers higher salaries, strong productivity and a large number of regular salaried jobs, unemployment remains above the average for major Indian cities.
The findings suggest that Hyderabad’s economy continues to grow, but job creation has not kept pace with the number of people entering the workforce, especially women and young job seekers.
The survey was conducted in 2025 under the Periodic Labour Force Survey (PLFS) and covered 1,128 households in Greater Hyderabad, including 3,319 people aged 15 years and above.