Economic stagnation, job mismatch behind ‘distress migration’ from Punjab: Experts

Even as Punjab’s Economic Survey 2025-26 notes that a combination of “pull” and “push” factors is behind brain drain from the State, experts argue that Punjab is witnessing ‘distress migration’ owing to the continued failure of the political leadership and governments to address the root causes pushing people to leave.

According to the survey, a range of “push” and “pull” factors has led many youths to leave their hometowns in search of greener pastures abroad. “Better standards of living in developed economies such as Canada, the U.S., Australia and the U.K. remain the biggest pull factor attracting youths with high aspirations,” it states.

“On the other hand, a rising number of push factors are also at play. Lack of employment opportunities that suit the aspirations and qualifications of Punjabis is one of the leading reasons. This is substantiated by the fact that of the total 1,22,842 applicants registered with the State’s Unemployment Bureau in 2025 (as of 30th September), 58% were unskilled and 42% categorised as skilled,” the survey says. 

This indicates a possible mismatch between available jobs and the aspirations and qualifications of applicants, forcing a brain drain from the State, notes the survey, adding that as agricultural growth has reached a plateau, several children of farmers have been migrating abroad in search of employment.

Economist Ranjit Singh Ghuman, Professor of Eminence (economics) at Guru Nanak Dev University, Amritsar, says that an uncongenial politico-economic system and socio-cultural conditions in the home country often create an ‘enabling-environment’ for push factors, and the congenial system in host countries strengthens an ‘enabling-environment’ for pull factors.

“Recent studies in Punjab show that unemployment, corruption, a bad politico-administrative system, fear of drug addiction and prevalence of social insecurity are the major push factors behind migration of Punjabi youth,” he tells The Hindu.

Pointing out that the latest Economic Survey has correctly identified unemployment, mismatch between youth’s aspirations and the availability of jobs and shrinking employment opportunities in agriculture as key drivers of migration, Mr. Ghuman says behind this scenario lies the creation of an ‘enabling-environment’ for the out-migration.

“Decelerating economic growth, high youth unemployment, worsening law and order situation and financial mismanagement are the main reasons behind the creation of such an enabling environment. Punjab’s economic growth has lagged behind the national average since the early 1990s, and a much lower investment-Gross State Domestic Product ratio (almost half the national average), resulting in huge investment-deficiency, has been adversely impacting employment generation,” he states.

“Unfortunately, the political leadership seems to lack the will to resurrect Punjab and instil a sense of confidence in the people’s psyche. The political leadership and the Punjab Government must come out of the denial mode and correct growth fundamentals, create an enabling environment for growth and employment and address the basic reasons behind international migration,” he says.

Another economist, Lakhwinder Singh, a visiting professor at the Institute for Human Development, New Delhi, says Punjab’s gross fixed capital formation as a percentage of GSDP has been falling since the mid-1980s due to a lack of capital investment.

“Given the structure and slow growth of the Punjab’s economy, employment elasticity is low. A lack of new employment opportunities has created hopelessness among the youth of Punjab. The second reason is the deteriorating quality of existing employment in both public and private sectors, contributing to dissatisfaction among even those employed. Youth unemployment rates in Punjab are among the highest in India. Female unemployment rates are even higher than those of men. There is a distress migration happening from Punjab,” he asserts.