Unemployment figures fall
1 - March - 2010
UK unemployment fell by just 3,000 between October and
December 2009, official figures have revealed, with total number of people out
of work standing at 2.46 million for the quarter.
The Office for National Statistics (ONS) said the rate of
unemployment was unchanged at 7.8 per cent and the number of people claiming
Jobseeker's Allowance rose by 23,500 to 1.64 million in January.
The increase for those seeking jobs benefits was the largest
since July last year.
The Trade Unions Council (TUC) had said before the
announcement was made that they were hoping for a fall of at least 30,000 in
overall unemployment. Last week job losses were felt at Birmingham City
Council, a Bosch factory in Cardiff and be clothes retailer Ethel Austin.
Prior to the release of the results TUC general secretary Brendan
Barber said: "Investment is the best way to secure a sustained economic
recovery and cutting back on spending now could still unleash a double dip
recession and send unemployment soaring.
"But even if the jobs figures are slowly improving,
hundreds of thousands of people across the UK are still out of work, with many
more job losses announced in the past week, and for each of them this recession
remains a personal tragedy."
The ONS figures showed the number of 16 to 24-year-olds out
of work fell over the three-month period between October and December, down
from 936,000 to 923,000. Despite, this drop, Howard Archer, chief UK and
European economist at IHS Global Insight has said the figure is still
"worryingly high".
He said: "A 23,500 jump in claimant count unemployment
in January is a reality check after the number of jobless had dipped late in
2009. The economy is just not strong enough at this stage to prevent further
job losses and the fall in unemployment late in 2009 had masked the fact that
full-time employment was still falling appreciably.
"Yes, the worst of the job losses are behind us; and,
yes, overall job losses have been less than feared due to employer and worker
flexibility, but it is unrealistic to expect the number of unemployed to have
peaked when the economy is still barely growing after extended, deep
recession."
On Monday, a survey from the Chartered Institute of
Personnel and Development (CIPD) found job losses could increase again, despite
the recent falls.
John Philpott, chief economic adviser at the CIPD, said:
"The UK jobs market is still on the ropes, with a public sector fall in
employment now a reality as it feels the impact of the longest recession in
modern times."
The survey of over 700 employers found firms plan to cut 6.2
per cent of their workforce in the first quarter of 2010, with the public
sector looking to be hit hard.