This study investigates the patterns and determinants of educated unemployment in Vellore district, Tamil Nadu, a region characterized by high literacy and educational attainment yet persistent youth unemployment. Despite a Gross Enrolment Ratio exceeding 50% in higher education, the district faces a significant mismatch between the supply of educated youth and the availability of suitable employment opportunities. Using secondary data, statistical tools, and econometric analysis, the research identifies key factors such as skill mismatch, sectoral labor market saturation, gender disparities, and rural-urban divides that influence unemployment rates among graduates, diploma holders, and post-graduates. Findings reveal that educated youth, especially women and rural residents, experience higher unemployment due to inadequate industry-relevant skills, limited vocational training, and structural labor market rigidities. ANOVA results confirm the significant impact of gender, education level, and location on employment outcomes. The study emphasizes the urgent need for policy reforms focused on skill development, industry-education linkages, and inclusive growth strategies. Recommendations include expanding vocational training, promoting entrepreneurship, and decentralizing industrial growth to create local employment opportunities. Addressing social inequalities and enhancing labor market information systems are crucial for bridging the gap between education and employment. Ultimately, adopting a multidimensional approach that combines skill enhancement, social inclusion, and economic diversification can transform the challenge of educated unemployment into a driver of sustainable development in Vellore and Tamil Nadu.