Pakistan Unemployment Rate Rises as 1.4 Million More People Lose Jobs

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  • Published November 26, 2025

A government report shows that Pakistan’s jobless population increased sharply over the past four years. Male and female unemployment rose; youth are particularly affected, and more people are joining the workforce, including gig workers.

The Pakistan Bureau of Statistics (PBS) released the Labor Force Survey 2024-25 on Tuesday, and it was presented by the Minister for Planning and Development, Ahsan Iqbal. According to it, Pakistan’s unemployed population rose from 4.5 million in 2020-21 to 5.9 million in 2024-25. This is a 31% increase over four years. The overall Pakistan unemployment rate increased from 6.3% to 6.9%.

  • Male unemployment rose from 5.5% to 5.9%
  • Female unemployment rose from 8.9% to 9.7%
  • In rural areas, it went up from 5.8% to 6.3%; in urban areas, from 7.3% to 8%
  • In youth aged from 15 to 24, unemployment rose from 11.1% to 12.6%; and for ages 15-29, it rose from 10.3% to 11.5%

More People Joining the Workforce

The survey shows more people are working or actively looking for work. The labor force (people aged 10+ employed or unemployed) grew from 71.8 million to 85.6 million. The labor force participation rate rose from 44.9% to 47.7%.

  • Male participation increased from 67.9% to 69.8%
  • Female participation increased from 21.4% to 24.4%
  • Rural participation rose from 48.6% to 52.3%; urban from 38.8% to 40.8%

Gig Economy Jobs

For the first time, the LFS counted gig-economy workers.

  • 9% of primary jobs are gig-based
  • 6% of secondary jobs are gig-based
  • Women make up 15% of secondary gig jobs, higher than men at 9.8%

Job Types and Sectors

Employment in agriculture dropped from 37.4% to 33.1%, while services grew from 37.2% to 41.2%. Industry slightly declined from 25.4% to 24.9%.

Employee Categories

  • Employees: 43.5% (up from 42%)
  • Own-account workers: 36.1% (up from 35.5%)
  • Contributing family workers: 19.1% (down from 21.1%)
  • Employers: 1.3% (slightly down from 1.4%)

Nearly half of female workers (49.7%) are contributing family workers, and almost half of male workers (49%) are employees.

Unpaid Domestic and Care Work

Out of 179.6 million working-age people, 117.4 million perform unpaid domestic and care work. Among 92 million men, 55% do unpaid work; among 87.6 million women, 76% do unpaid domestic/care work.

Informal vs. Formal Sector

Most non-agricultural jobs are informal (72.1%), with rural areas at 75.5% and urban areas at 68.3%. Formal jobs are more common in cities at 31.7%. Female participation is higher in the formal sector at 33.7%, while male participation in the informal sector is 73%.

Wages and the Gender Gap

Average monthly wages grew from Rs24,000 to Rs39,000. The gender wage gap fell from Rs4,500 to less than Rs2,000 per month. Female entrepreneurship rose from 19% to 25.2%, while contributing family workers declined from 21.1% to 19%.

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