UK unfilled vacancies hit a record as workers leave the labor market
Pressure on the UK labor market increased over the winter, with official data showing the number of unfilled jobs rose to a record of more than 1.3 million as people continued to leave. labor force.
Businesses are still interested in hiring. The Office for National Statistics on Tuesday said the unemployment rate fell to 3.9% in the three months to January, down from 4.1% in the previous quarter, while the employment rate increased 0.1 percentage points to 75.6%.
However, it leaves employment a full percentage point below pre-pandemic levels due to an increase in the number of people who are economically inactive – not working or looking for work.
The ONS said the inactivity rate stood at 21.3 percent, 1.1 percentage points higher than its pre-coronavirus levels, with the latest increases due to older workers opting out.
The data also shows the pressure that rising inflation is placing on households and businesses. The ONS said average earnings excluding bonuses were 3.8% higher than a year earlier in the November-January period – equivalent to a 1% drop in actual term, after accounting for price increase.
However, strong bonus payouts mean total payouts have caught up with inflation, up 0.1% from a year earlier.