Periodic Labour Force Survey (PLFS) 2025
Date: 14 May 2025
Source: Excerpts from “Press Release: Press Information Bureau” by the Ministry of Statistics & Programme Implementation
Subject: Significant enhancements and changes to the Periodic Labour Force Survey (PLFS) methodology and dissemination, effective from January 2025.
Key Takeaways:
The National Statistics Office (NSO) under the Ministry of Statistics & Programme Implementation (MOSPI) is implementing a significant revamp of the Periodic Labour Force Survey (PLFS) from January 2025. These changes aim to enhance the frequency, scope, relevance, and accessibility of labour market data in India. The core changes revolve around increased frequency of reporting, extended geographical coverage, and a revamped sampling design.
Main Themes and Important Ideas/Facts:
1. Enhanced Frequency of Labour Market Indicators:
- Monthly Estimates: A key change is the introduction of monthly estimates for crucial labour market indicators at the all-India level, specifically Labour Force Participation Rate (LFPR), Worker Population Ratio (WPR), and Unemployment Rate (UR), based on the Current Weekly Status (CWS) approach. This is a major shift from the previous quarterly and annual reporting.
- Significance: This will provide more timely insights into labour market dynamics, facilitating quicker policy interventions.
- Scheduled Release: The first monthly bulletin for April 2025 is scheduled for release in May 2025.
2. Extended Coverage of Quarterly Estimates:
- Inclusion of Rural Areas: Previously, quarterly PLFS results were only available for urban areas. From January 2025, quarterly estimates will be extended to cover rural areas as well, providing a comprehensive picture of the labour market at the country level and for major States.
- Scheduled Release: The first quarterly bulletin covering both rural and urban areas for the quarter April-June 2025 is expected in August 2025.
3. Shift to Calendar Year for Annual Reporting:
- Calendar Year Basis: Annual PLFS results, which previously covered the period from July to June, will now be reported based on the calendar year (January to December) starting from 2025.
- Benefit: This change is intended to facilitate comprehensive analysis and assist in updating India’s labour market statistics in international databases.
4. Revamped Sampling Design:
- Increased Sample Size: The total sample size has been significantly increased from 12,800 First Stage Units (FSUs) surveyed up to December 2024 to 22,692 FSUs per year in the revamped design. The number of households surveyed per FSU has also increased from 8 to 12, resulting in a 2.65 times increase in the total sample of households.
- Objective: The enhanced sample size aims to provide more reliable estimates with improved precision.
- Improved District-Level Representation: The revamped design makes the district the primary geographical unit (basic stratum) for selecting FSUs in most areas. This ensures better representation of most districts in the sample, improving the overall representativeness of the estimates. Stratification within districts/regions based on distance from district headquarters or large cities and within urban areas based on million-plus cities is also introduced to capture different labour market dynamics.
- Monthly Rotational Panel Scheme: A monthly rotational panel scheme is being implemented, where each selected household is visited four times over four consecutive months. This allows for a more continuous tracking of labour market activity.
5. Considerations for Comparability:
- Changes Impact Comparability: The press release explicitly states that the revamped sample design and changes in the Schedule of Inquiry from January 2025 mean that results released after this date need to be considered in the context of these methodological changes when comparing them with estimates released through PLFS publications up to December 2024.
6. Broader NSO Efforts:
- Continuous Improvement: The changes to PLFS are part of MOSPI’s ongoing efforts to improve the surveys conducted by the National Sample Survey (NSS), including enhancing frequency, scope, and relevance and reducing dissemination timelines.
- Other Surveys: The press release also highlights other recent and upcoming surveys by NSO, including the Household Consumption Expenditure Survey (HCES), Time Use Survey (TUS), Domestic Tourism Expenditure Survey (DTES), and National Household Travel Survey (NHTS).
Conclusion:
The revamp of the PLFS from January 2025 represents a significant step towards providing more frequent, detailed, and representative labour market data in India. The introduction of monthly national-level estimates and the extension of quarterly coverage to rural areas will be particularly valuable for policymakers and researchers. However, users of the data must be aware of the changes in methodology when making comparisons with historical PLFS data. Detailed information about the revamped sampling design and changes in the Schedule of Inquiry is available in the report titled “PLFS: Changes in 2025” on the MOSPI website.