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Strong job creation finally begins to lower unemployment, especially among the young

Andrew Sissons

17 October 2012

Commenting on today’s labour market statistics, Andrew Sissons, researcher at The Work Foundation, said:

“The strong job growth seen over the last year is finally beginning to translate into falling unemployment, especially among young people. While a drop in unemployment of 50,000 is relatively modest, the direction of travel is all important. If the economy keeps creating jobs at its current rate, we should begin to see more substantial falls in unemployment, potentially bringing it back under 2.5 million in the coming months.

“It is particularly encouraging to see youth unemployment falling, with an extra 50,000 young people moving into work, bringing the total back under one million. This suggests that the strength of the labour market is finally beginning to benefit younger workers. However, unemployment and inactivity among young people remains dangerously high, and more work is needed to sustain this trend.

“However, the strength of the labour market only deepens the productivity conundrum. While we expect to see a positive growth figure for the last three months, the underlying performance of the economy remains flat. The government must continue to prioritise economic growth, or it will risk further depressing wages and living standards.” 


Notes to editors

1. Andrew Sissons, Charles Levy and Dr Neil Lee from The Work Foundation are available for interviews, briefings and written comment.

2. The Work Foundation aims to be the leading independent, international authority on work and its future, influencing policy and practice for the benefit of society. The Work Foundation is part of Lancaster University – an alliance that enables both organisations to further enhance their impact.

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