Unemployment in Bangladesh Rises to 5.6% in Q2 2024

Unemployment in Bangladesh Rises to 5.6% in Q2 2024. The economic landscape in Bangladesh has witnessed a significant shift, with unemployment rising to 5.6% in the second quarter of 2024.

This alarming increase, reported in the Quarterly Labour Force Survey (QLFS) released by the Bangladesh Bureau of Statistics (BBS), marks a notable year-on-year rise, underscoring the challenges facing the nation’s workforce.

According to the QLFS, Bangladesh’s unemployment rate escalated to 5.6%, translating to approximately 2.64 million unemployed individuals during the April to June period of 2024.

This marks an increase from the previous year’s unemployment rate of 3.41% in the same quarter. The surge is primarily attributed to a rise in the number of unemployed men, as highlighted by the BBS report.

Despite the rise in unemployment, the employment rate among women showed a positive trend, with more women entering the workforce in the second quarter of 2024.

However, the overall labour force in Bangladesh saw a decline, with the total number of individuals able to work dropping by 1.3% year-on-year to 72.8 million.

Out of the 72.8 million, 69.6 million people were employed, reflecting a 1.55% decrease compared to 70.7 million in the same quarter of the previous year.

The gender breakdown of the employed population revealed that 46.1 million were male, while 23.4 million were female, highlighting a persistent gender gap in the workforce.

The QLFS also shed light on the growing number of people outside the labour force, which surged by 4.6% year-on-year to 49.5 million in the second quarter of 2024.

This increase in idle individuals signals a broader concern for the country’s economic health and labour market efficiency.

Furthermore, the labour force participation rate declined from 60.7% in the second quarter of 2023 to 59.3% in the same period of 2024.

This drop indicates a shrinking proportion of the population actively engaged in the workforce, raising questions about the underlying factors contributing to this trend.

The latest findings from the Quarterly Labour Force Survey highlight critical challenges in Bangladesh’s labour market, with rising unemployment, a declining labour force, and a significant number of idle individuals.

As the country navigates these challenges, there is an urgent need for targeted policies and interventions to boost employment, particularly among men, while sustaining the positive momentum in women’s employment.

Addressing these issues will be crucial for ensuring long-term economic stability and growth in Bangladesh.