Jobless Rate At Three-Year Low Of 7.6%

Written By Unknown on Kamis, 14 November 2013 | 00.12

The unemployment rate fell to 7.6% in the three months to September - its lowest level for more than three years - but pay rises are matching record lows.

The Office for National Statistics (ONS) measured a 0.1% drop in the unemployment rate over the period, with the jobless total falling by 48,000 to 2.47 million.

It meant the number of people in work reached a new all-time high of almost 30 million but nearly half are working part-time because they cannot find full-time jobs.

The employment total rose by 177,000 while the number of people claiming jobseeker's allowance fell for the 12th month in a row in October, down by 41,700 to 1.31 million - a five year low.

British Currency: Two pound coins on ten pound banknotes, close-up Pay rises are lagging well below inflation

But the ONS also confirmed the price being paid by the workforce for greater employment.

Average earnings increased by 0.7% in the year to September, down by 0.1% from the previous month.

Excluding bonuses, pay rose by 0.8% - the joint lowest since records began in 2001 - signalling greater hardship for families as price rises continue to outstrip earnings growth.

Cabinet reshuffle Esther McVey Esther McVey says the Government is not complacent on job creation

The ONS said 1.46 million people were working part-time because they could not find a full-time job, an increase of 24,000 over the quarter, and the highest figure since records began in 1992.

Almost a third of working men are in part-time employment because they cannot find a full-time job, compared to 13% of women.

Around 890,000 people have been out of work for over a year, down by 19,000, with just under half of those unemployed for more than two years, a fall of 15,000.

There were 950,000 unemployed 16 to 24-year-olds in the latest period, around a third of whom were in full-time education, a fall of 9,000, giving a youth jobless rate of 21%.

Commenting on the figures minister for employment Esther McVey said: "This Government is delivering on its promise to rebalance the economy, promote job creation, and support people to get off benefits and into work.

"Today's figures show that the number of people in work has risen by more than a million under this Government, with the growth driven by full-time private sector jobs.

"At the same time, the number of people claiming the main out-of-work benefits has fallen by almost half a million. There's more work to do, and we are not complacent, but these are all very positive signs."

TUC general secretary Frances O'Grady called for better jobs and healthier pay

She said: "Britain's workforce is getting larger but poorer.

"It is encouraging that more jobs are being created but job quality is falling and close to a 20-year low.

"A record number of people are stuck in part-time jobs because they can't find full-time work, while real wages continue to shrink."

Shadow work and pensions secretary Rachel Reeves said: "Today's fall in unemployment is welcome, but families facing a cost-of-living crisis need a recovery that benefits them, and these figures show we are still far from achieving that.

"Prices have now risen much faster than wages for 40 of the 41 months since David Cameron became Prime Minister. On average, working people are now over £1,600 a year worse off under this out-of-touch Government.


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