The unemployment rate in Italy decreased to 5.1% in January 2026, following a downwardly revised 5.5% in December 2025, below market forecasts of 5.6% and marking the lowest level on record. The number of unemployed individuals dropped by 99 thousand from a month earlier to 1.305 million. Meanwhile, the employment rate rose to 62.6% from 62.4%, with the economy adding 80 thousand jobs during the month. Job gains were concentrated among men and across all age groups except those aged 15-24. In addition, the youth unemployment rate, measuring jobseekers between 15 to 24 years old, fell to an eleven-month low of 18.9% in January from 20.9% in the previous month. The inactivity rate edged higher to 33.9% from 33.8%.