United Kingdom jobs and wage data for April to June 2018

Mae Love
August 14, 2018

The jobless total fell by 3,000 to 118,000 among Scots aged over 16, while the number of people in work north of the border is also on the rise.

Unemployment dropped to its lowest level in more than 40 years in June as the rebounding economy created tens of thousands of new jobs.

The number of people in work increased by 42,000 to just under 32.4 million. That was the lowest since the three months to February 1975 and beat economists' forecasts in a Reuters poll for it to hold steady at a previous low of 4.2 percent.

Excluding bonuses, pay growth fell to 2.7 percent, well below the 4 percent rate typical before the financial crisis a decade ago. Economists had expected the rate to remain at 4.2% level.

Tuesday's data showed productivity grew at its fastest annual rate since late 2016 and the number of people whose main job was an insecure zero-hours contract fell by the most since 2000, the Office for National Statistics said.

There were 1.36 million unemployed people in the United Kingdom over the three months, the ONS said, 65,000 fewer than in the previous data period.

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"However, the number of vacancies is a new record high, while the unemployment rate is now at its lowest since the winter of 1974-75".

The spike in vacancies coincided with a record fall in the number of European Union nationals working in the United Kingdom, a continuing trend since the Brexit referendum.

Average weekly earnings for employees in real terms (adjusted for price inflation) increased by 0.4 per cent excluding bonuses and by 0.1 per cent including bonuses, compared with a year earlier.

Senior ONS statistician Matt Hughes said: "The number of people in work has continued to edge ahead, though the employment rate was unchanged on the quarter".

'The growth in employment is still being driven by United Kingdom nationals, with a noticeable drop over the past ym the so-called A8 eastern European countries in particular'.

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