Daily News

View All News

UK – Jobless rate falls to new low, temporary employment number decreases slightly

16 November 2016

The UK unemployment rate was 4.8% for the three months ending September 2016, down from 5.3% for a year earlier and the lowest since the July to September 2005 period, according to data from the Office of National Statistics. The data also showed that the number of temporary employees was down from last year.

This period’s labour statistics are the first data collected since the EU Referendum results. It showed that there were 31.80 million people in work, 461,000 more than for a year earlier. The data showed there were 1.66 million temporary employees for the period ending September 2016, down from 1.71 million a year earlier.

There were 23.24 million people working full-time, 350,000 more than for a year earlier. There were 8.56 million people working part-time, 110,000 more than for a year earlier.

The employment rate (the proportion of people aged from 16 to 64 who were in work) was 74.5%, the joint highest since comparable records began in 1971.

Overall, there were 1.60 million unemployed people, 146,000 fewer than for a year earlier.

Average weekly earnings for employees in Great Britain in nominal terms (that is, not adjusted for price inflation) increased by 2.3% including bonuses and by 2.4% excluding bonuses compared with a year earlier.

Meanwhile, there were 757,000 job vacancies for August to October 2016. This was up 18,000 compared with a year earlier.

“Yet again we have a strong set of figures, with employment continuing to run at a record high and unemployment falling to an 11-year low,” UK Employment Minister Damian Hinds said. “Growth is being fuelled by full-time professional jobs while wages are continuing to perform strongly, which underlines the resilience of the UK labour market. The measures we have taken have put our economy in a position of strength, and we will work to ensure more people can benefit from these opportunities as we build a country that works for everyone.”

Commenting on today’s publication of labour market statistics, Recruitment & Employment Confederation Director of Policy Tom Hadley said:

“The UK economy seems to have taken the shock referendum result in its stride so far. Our Report on Jobs data also shows employers are getting on with business as usual, with permanent placements in growth, now for three consecutive months after dipping into decline in June and July. Although the overall picture looks positive, this is the first set of data from the ONS collected after the vote to leave the EU – so we are yet to see longer term effects.

“Our jobs data shows 23% of businesses plan to take on more permanent staff in the next three months. A further drop in the unemployment rate means the talent pool employers rely on is rapidly shrinking. The government needs to pay attention to skills shortages before they reach crisis point. We will continue to need workers from overseas in a range of sectors, from engineering to healthcare, and must ensure immigration policies reflect immediate labour market needs.

“Despite the resilient UK economy, employer confidence has been shaken. The government must support businesses to ensure they have the strong foundation needed to weather the continued uncertainty of the EU negotiations. We hope the Chancellor will take measures to prioritise business growth in the Autumn statement next week to ensure the economy continues to perform well.”