Why has unemployment remained a problem in Keralam?

Unemployment in Keralam remains a persistent and acute challenge for the state. A primary factor contributing to this issue is the high level of education among the jobless population, which creates a significant mismatch between the available workforce and the opportunities within the state's economy.1

While Keralam has a diverse economic base—including traditional cottage industries like cashew processing, food processing, tourism, and information technology—these sectors have not been sufficient to absorb the state's highly educated labor force. This economic pressure has historically driven significant migration, with many Malayali workers seeking employment in Gulf Arab states and other regions.12