Jobless total down again

12 April 2012

Unemployment has continued to fall but the number of jobs in manufacturing firms has dipped below three million for the first time since modern records began, new figures showed.

There was a fall of 3,000 in the unemployment total to 1.69 million in the three months to January, a jobless rate of 5.5% - but more people have stopped looking for work.

The number of people claiming jobseeker's allowance fell in February by 3,800 to 922,200, the fifth consecutive monthly reduction.

But the number of people classed as economically inactive, including long-term sick, students and those who have given up looking for a job, increased by 42,000 in the latest quarter to 7.88 million, over a fifth of the working age population.

The figure is the highest for almost a year.

Meanwhile, the number of manufacturing jobs fell by 59,000 in the three months to January compared to a year earlier to 2.97 million, the lowest figure since comparable records began in 1978.

Average earnings increased by 4.2% in the year to January, up by 0.2% on the previous month and the highest figure since last July.

Excluding bonuses, wage growth was 3.6%, down by 0.1%.

The number of people in work continues at near-record levels, up by 18,000 in the latest quarter to just over 29 million.

Figures from the Office for National Statistics showed that the number of people employed in the public sector fell by 22,000 in the latest three months to 5.83 million, while private sector employment increased by 39,000 to 23.19 million.

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