Young people seeking training and education leads to surprising drop in unemployment figures
By Martin Kornacki (20-01-2010)
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A surprising fall in UK unemployment figures has been attributed to increasing numbers of young people turning to training and education to avoid the dole.
The Chartered Institute of Personnel and Development (CIPD) says the latest figure of 2.46m jobless for the three months to November, which is down 7,000 on the figure for the previous three months, is due to swelling numbers of what are considered economically inactive students.
Dr John Philpott, chief economic adviser at the CIPD, says this is a desirable alternative to unemployment for many - although it remains to be seen whether education or training is merely a stop-gap choice for young people rather than providing a genuine boost to their subsequent job prospects.
He went on to say the labour market forecast was far from positive, highlighted by the number of men of working age who lost their jobs in the last quarter.
"Men continue to fare less well than women in terms of employment, women benefiting more from the rise in part-time jobs,” he said.
“However, more women entered the labour market in search of work in the three months to November while more men exited the market, with the result that female unemployment increased and male unemployment decreased.
"There are now more than 1m jobless men outside the labour market - and thus not counted as unemployed - who say they want a job.”
The number of unemployed people in the UK is more than half a million higher than a year ago, according to the data from the Office for National Statistics.
It shows young people still remain badly affected by the recession. Despite a 16,000 fall in the number of 16 to 24-year-olds out of work to 927,000 the jobless rate in this age group is almost 20 per cent.
Work and Pensions Secretary Yvette Cooper concluded: "The jobs market is still tough for a lot of people, but the drop in unemployment and youth unemployment is very welcome. It means 450,000 fewer people are out of work than everyone expected last spring."
The Chartered Institute of Personnel and Development (CIPD) says the latest figure of 2.46m jobless for the three months to November, which is down 7,000 on the figure for the previous three months, is due to swelling numbers of what are considered economically inactive students.
Dr John Philpott, chief economic adviser at the CIPD, says this is a desirable alternative to unemployment for many - although it remains to be seen whether education or training is merely a stop-gap choice for young people rather than providing a genuine boost to their subsequent job prospects.
He went on to say the labour market forecast was far from positive, highlighted by the number of men of working age who lost their jobs in the last quarter.
"Men continue to fare less well than women in terms of employment, women benefiting more from the rise in part-time jobs,” he said.
“However, more women entered the labour market in search of work in the three months to November while more men exited the market, with the result that female unemployment increased and male unemployment decreased.
"There are now more than 1m jobless men outside the labour market - and thus not counted as unemployed - who say they want a job.”
The number of unemployed people in the UK is more than half a million higher than a year ago, according to the data from the Office for National Statistics.
It shows young people still remain badly affected by the recession. Despite a 16,000 fall in the number of 16 to 24-year-olds out of work to 927,000 the jobless rate in this age group is almost 20 per cent.
Work and Pensions Secretary Yvette Cooper concluded: "The jobs market is still tough for a lot of people, but the drop in unemployment and youth unemployment is very welcome. It means 450,000 fewer people are out of work than everyone expected last spring."
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