“The economic recovery may be slowing down, but the jobs market is defying this trend and moving forwards. Employment levels are rising more quickly than anticipated and unemployment continues to shrink. Wages, have been slower to respond, but we may be starting to see an acceleration in earnings. Adzuna data shows advertised salaries climbed 0.8% to £33,593 in January, in the third consecutive month of small improvements. With inflation still rock bottom, these pay increases are starting to make life easier for workers.
“Despite this, challenges lie ahead. A potential Brexit isn’t the only future hurdle – a much more immediate change is on the horizon.
“Next month’s national living wage is set to redefine the UK’s job landscape, particularly for low paid workers. It could be a real turning point and a long deserved boost in the battle against rising living costs. But for employers, the national living wage equals a higher wage bill. Some companies won’t find it easy to adapt and many fear extra job losses – but this seems unlikely.
“Employee value is on the up and employers will have to take notice. However, more can be done to support low paid workers and today’s Budget may spark more action from the government.”
ONS Labour Market Statistics, March 2016
- There were 31.42 million people in work, 116,000 more than for August to October 2015 and 478,000 more annually
- There were 22.94 million people working full-time, 302,000 more than for a year earlier.
- The number of part-time workers also rose by 177,000 to 8.48 million people
- The employment rate (the proportion of people aged from 16 to 64 who were in work) was 74.1%, the joint highest since comparable records began in 1971.
- There were 1.68 million unemployed people (people not in work but seeking and available to work), 28,000 fewer than for August to October 2015 and 171,000 fewer than for a year earlier.
- The unemployment rate was 5.1%, lower than for a year earlier (5.7%). The unemployment rate is the proportion of the labour force (those in work plus those unemployed) that were unemployed.
- Average weekly earnings for employees in Great Britain increased by 2.1% including bonuses and by 2.2% excluding bonuses compared with a year earlier
