Recent Employment Statistics
According to the May 2014 economy tracker analysis of the UK’s unemployment change, the out of work levels have dropped dramatically as 133,000 find jobs. (Source: BBC Business)
The results of Labour Markets statistics show, when examined side by side with growth rates in the preliminary months of the year building up to March; numbers plummeted down to 2.21 million nationwide. The total numbers spiraled downwards by 77,000 (not in the labor force) while the economically inactive aged 16-64 fell by 86,000. (Source: ONS)
Key factors affecting unemployment statistics:
- Various employment markets can appear saturated with low paid jobs; these can shape incentives for candidates when submitting applications.
- The geographical and occupational mobility of labour play a key role in the outcomes, if more workers were mobile to travel further, the scale of opportunities widens.
- The term Hysteresis hypothesis states that if unemployment rises and remains so for a set time, workers can adopt de-motivated lifestyles and implement inexperienced lifestyles while in a lasting period of unemployed.
- Frictional employment (the time people take to move between jobs) can influence trends, heavily affected if done in a trend fashion nationwide, e.g when students graduate.
- In many cases the personal choice to remain out of work as some may choose to wait for the higher jobs best suited to them, voluntary unemployment is also now classed as a form of frictional employment.
Source: Economics Helps
The central point periods of December 2013 to February 2014 showed:
- Employment rate for those aged from 16 to 64 was 72.6% for the December 2013 to February 2014 period.
- Ages 16-24 held 3.72 million employed workers (of which 22% were employed) showing a 3 month incline of 49,000.
- Economically inactive 16-24 year olds went down by 18,000 to 2.5 million.
- Unemployed 16 to 24 year olds dropped 881,000 from September to November.
Source: Labor Market Statistics
Unemployment serves as a fundamental economic indicator; put simply, labor market statistics have often proved incredibly accurate. A person considered out of work (criteria dependant) is also considered as economically inactive, keeping this in mind when reviewing the recent 3 months in 2014, the year commences with astonishing promise for the near future. Employment levels for the UK are on the up. The Office for National Statistics (ONS) continues to monitor these recent changes closely in hopeful anticipation that these numbers will continue to boost the UK economy.
Source: The Positive