BREAKING NEWS – The jobless rate in the UK has fallen by 59,000 in the past two years.
However overall employment throughout the UK has also decreased. The previous quarter saw 14,000 less jobs.
Unemployment has dropped by 0.05% within the past year down to 4.3%, marking a 42-year low.
Earnings by workers are beginning to catch up to inflation, rising 2.2%, yet it are still behind by 3%.
According to Bloomberg Brexit, here is the latest change in the GBP.
Latest data in Britain:
– Unemployment rate is 4.3%
– Holds at lowest since 1975
– Number in work falls by 14,000
– First decline in 13 months
– Wage growth just above 2%
– Far below rate of inflation
– Pound rises slightlyhttps://t.co/a9qPI1vM5r pic.twitter.com/a8WUPXISGS
— Bloomberg Brexit (@Brexit) 15 November 2017
How Can Both Unemployment and Employment Fall Simultaneously?
While confusing at first, this is the result of more people dropping out of the workforce all together. Those who drop out of the workforce are viewed as being economically inactive, which rose in the last quarter.
They may have become economically inactive for one reason or another, such as those being primary care givers for family members or trading work for the classroom.
According to the Office for National Statistics, 151,000 people have become economically inactive in the last quarter.