Record number of people in work with unemployment at eight-year low

Figures showed that job vacancies have increased by 13,000 to a record high of 756,000. Credit: Philip Toscano / PA

Official figures have shown a record number of people are in work, with unemployment down to a near eight-year low.

The figures from the Office for National Statistics (ONS) showed the jobless total fell by 99,000 in the three months to November to 1.6 million.While David Cameron welcomed joblessness falling below pre-recession levels, critics have pointed to the current steel crisis as evidence that problems remain with the UK jobs market.

The positive figures do not reflect this week's raft of job losses in the steel industry, which will not be fed through for months.

Tata announced more than 1,000 redundancies on Monday, while Sheffield Forgemasters said on Wednesday that 100 jobs could be cut from its 700-strong workforce.

Record employment

Almost 23 million people are in a full-time job, 436,000 more than a year earlier, while 8.4 million are working part-time, up by 152,000.

The number of workers in part-time jobs wanting a full-time post is 1.2 million, down by 21,000 in the latest three months.

Other figures showed that job vacancies have increased by 13,000 to a record high of 756,000.

Economic inactivity down

Economic inactivity which counts people on long-term sick leave, looking after a relative or who have given up looking for work, fell by 93,000 to just under nine million, the lowest since the spring of 2014.

The inactivity rate for women reached a record low of 27%. The record high was 44% in 1971, when most employment records started.

David Cameron also welcomed the figures, taking to Twitter to describe it as evidence the government's economic plan is working.

'Parallel universe'

The Unite union said said there is was "something very wrong" in an economy where the jobless total fell by 99,000 this month, while at the same time more than 5,000 highly skilled steel jobs had been lost in recent months from a total UK steel workforce of 30,000.

Unite general secretary Len McCluskey called the jobless figures "evidence of a parallel Britain", pointing to a 0.7 per cent increase in employment in the last year and just 0.1 per cent in the north-east.

Figures showed job vacancies have increased by 13,000 to a record high of 756,000 Credit: PA/Philip Toscano

Falling unemployment has been widely welcomed, but the Government has been urged to do more to lift people out of poverty.

Laura Gardiner, senior policy analyst at the Resolution Foundation, said: "The UK jobs market continues to strengthen, with strong growth in both full-time jobs and self-employment.

"But while recent employment trends are very positive, the UK's pay recovery risks running out of steam. Real earnings growth has fallen back below its pre-crisis trend, even while inflation remains close to zero."