Youth employment remains a critical challenge in India, with a vast demographic dividend at risk due to unemployment and underemployment. This article explores the current employment landscape, examines key challenges facing Indian youth, and assesses existing policy frameworks. Drawing on existing literature, with special reference to policy reports published by the Government of India and some international organizations, the article proposes a comprehensive policy framework to create sustainable pathways for youth employment. These include skill development, entrepreneurship promotion, digital inclusion, and structural reforms in labor markets to enhance employability and economic participation. Unemployment remains one of the most pressing global social problems, affecting both developed and developing economies. Beyond its economic implications, unemployment disrupts social cohesion, increases inequality, and intensifies psychological and political tensions. The article does explore unemployment as a complex global phenomenon by examining its structural causes, social consequences, and the policy responses adopted across regions. Through a sociological lens, it also emphasizes how unemployment is both a result and driver of systemic inequality, highlighting the need for multi-dimensional interventions.