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Unemployment down but families still struggling

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The Office of National Statistics (ONS)  has today released its latest data tracking unemployment figures and pay. The report, part of a regular series from the official body, reveals that whilst unemployment rose by 10,000 from the last quarter (February to April) it decreased by 198,000 compared to the same time last year. In addition, the total pay (including bonuses) and regular pay (excluding bonuses) for employees in Great Britain increased by 2.9%.

There are now nearly 23 million people working full-time, 361,000 more than last year, and 8 million in part-time work, an increase of 52,000.  

Summary:

  • There were 31.09 million people in work, 42,000 more than for February to April 2015 and 413,000 more than for a year earlier
  • There were 22.74 million people working full-time, 361,000 more than for a year earlier. There were 8.36 million people working part-time, 52,000 more than for a year earlier
  • The employment rate (the proportion of people aged from 16 to 64 who were in work) was 73.5%, little change compared with February to April 2015 but higher than the same period last year(72.8%)
  • There were 1.82 million unemployed people (people not in work but seeking and available to work), 10,000 more than for February to April 2015 but 198,000 fewer than for a year earlier
  • The unemployment rate was 5.5%, unchanged from February to April 2015 but lower when compared to the same period last year (6.2%). Please note: The unemployment rate is the proportion of the labour force (those in work plus those unemployed) who were unemployed
  • There were 8.99 million people aged from 16 to 64 who were economically inactive (not working and not seeking or available to work), 24,000 fewer than for February to April 2015 and 65,000 fewer than for a year earlier
  • The inactivity rate (the proportion of people aged from 16 to 64 who were economically inactive) was 22.1%, little change from February to April 2015 but down slightly from a year earlier (22.3%)
  • Comparing May to July 2015 with a year earlier, both total pay (including bonuses) and regular pay (excluding bonuses) for employees in Great Britain increased by 2.9%.

Comment 

Turn2us commented, “The increase in regular pay is positive news however it does not tell the full story. Many of those on ‘zero hour contracts’ are simply not earning enough to support themselves and their families and despite their best efforts they continue to fail to do so.

“Yesterday’s vote to cut tax credit thresholds will increase the pressure on the poorest and most vulnerable, with some households losing up to 93p for every pound that they earn. Lower unemployment is undoubtedly a positive thing, but we need to make sure that those in work can provide for their families. One way that they can do this is to visit www.turn2us.org.uk and find out what support is available in welfare benefits, tax credits and charitable grants.”

The full report is available to read and download from the Office for National Statistics (ONS) website.