UK unfilled vacancies hit document as employees depart labour market

Stress on the UK’s labour market elevated over the winter, with official knowledge displaying the variety of unfilled jobs rose to a document of greater than 1.3mn as folks continued to depart the workforce.

Companies remained eager to rent. The Workplace for Nationwide Statistics stated on Tuesday that the unemployment fee had fallen to three.9 per cent within the three months to January, down from 4.1 per cent the earlier quarter, whereas the employment fee had elevated 1 proportion level to 75.6 per cent.

Nonetheless, this left employment a full proportion level under its pre-pandemic stage, due to a rise within the variety of people who find themselves economically inactive — neither in work nor in search of a job.

The ONS stated the inactivity fee stood at 21.3 per cent, 1.1 proportion factors increased than its pre-coronavirus stage, with the newest enhance pushed by older employees opting out.

The info additionally confirmed the strain that rising inflation is placing on each households and companies. The ONS stated common earnings excluding bonuses had been 3.8 per cent increased than a 12 months earlier over the November to January interval — equal to an actual phrases fall of 1 per cent, after taking account of rising costs.

Nonetheless, robust bonus funds imply that complete pay had simply stored tempo with inflation, rising 0.1 per cent from a 12 months earlier.