Underemployed at record levels

Unemployment has fallen but the number of underemployed people was at its highest level since records began.

The number of unemployed people fell by 48,000 to 2.47 million in the third quarter, compared with the previous quarter ending June.

The unemployment rate dipped from 7.8% to 7.6%, the lowest rate in more than three years. However, the rate is still well above the Bank of England Monetary Policy Committee’s 7% target which has to be met before the Bank will consider a rise in interest rates.

The number of unemployed men fell by 54,000 to 1.39 million, and their unemployment rate was down to 8.0%. But the number of unemployed women was up by 6,000 to 1.08 million, although their rate was unchanged at 7.2%.

Unemployment on the other main jobless measure — the claimant count — was down by 41,700 to 1.31 million in October. This measure only includes those claiming Jobseeker’s Allowance. The rate fell from 4.0% in September to 3.9%.

Other data from the Office for National Statistics revealed that the underemployed — the number of people working part-time because they could not find a full-time job — was at its highest since records began in 1992. There were 1.46 million such people — an increase of 24,000 over the quarter.

www.ons.gov.uk/ons/dcp171778_332467.pdf