The UK has its highest ever employment rate of 74%, with a record 31.4 million people in work.
Over the past year, the number of people in work has risen 588,000, with nearly 75% of the rise in employment in the past year being full-time.
Today’s official figures show that over the last year more than half-a-million more people are now in work, bringing employment to a new record high of 31.4 million. This growth has been driven by a rise in full-time jobs and the number of vacancies has reached more than 750,000.
Unemployment now stands at 5.1% – the lowest since early 2006 – and long-term unemployment has fallen by 25% over the year to 488,000, the lowest in six years.
Wages have grown slowly, however, rising 2% over the last year.
“Average earnings growth has also fallen to 2%, which is close to the underlying rate of pay growth that we’ve seen over the last few years. This is not surprising because the fundamental conditions required for a step change in pay growth are simply not there. Most employers still believe there are enough competent applicants out there to fill their vacancies, and, furthermore, productivity growth remains relatively weak. Conditions remain good for firms to invest in training and development and upgrading the skill content of jobs.”
“The UK jobs landscape is changing. Strong sterling is already severely dampening our ability to manufacture and sell goods overseas. Scotland’s oil industry has been hit hard by falling prices. Meanwhile, the IT and Technology sectors are booming with new vacancies opening faster than we can fill them. As the number of jobseekers still available to fill new openings decreases, upskilling workers will become a crucial component of fixing the skills shortage.
“Improving wages are a bright spot on the horizon for workers and this means employers will have to start increasing salary packages. If you are unsure of what salary you need to budget for an IT support, Development or Senior Manager role give us a call to talk through your vacancy at Langley James 0207 788 6600 or visit www.langleyjames.com
