Wages are rising at their fastest rate in a decade at 3.3% as the number of people in work hits a new record high of 32.4million
- Wages rose by 3.3% in the year to October 2018 – the best figure since 2008
- Inflation is running at 2.4% meaning earnings are currently rising in real terms
- Employment was up 79,000 to 32.4million while the unemployment rate is 4.1%
Average earnings are rising at the fastest level in a decade at 3.3 per cent, new figures on the jobs market revealed today.
Average earnings were up by 3.3 per cent in the year to October – an improvement from 3.1 per cent in September. It is highest figure since 2008 and beats the current inflation figure of 2.4 per cent.
Employment is also up by another 79,000 to a record high of 32.4million people, according to the Office for National Statistics report.
Those out of work was also up, by 20,000, though unemployment rate is still lower than a year ago at 1.38million. The UK’s jobless rate is now 4.1 per cent.
Average earnings are rising at the fastest level in a decade at 3.3 per cent, new figures on the jobs market revealed today
The increase in both unemployment and employment is explained by the UK’s rising population. There are also fewer people classed as economically inactive, which includes those on long-term sick leave, students, and people who have given up looking for a job.
The number of economically inactive people fell by 95,000 in the latest quarter to 8.6 million.
Stephen Clarke, Senior Economic Analyst at the Resolution Foundation, said: ‘While Brexit uncertainty and political paralysis are having a cooling effect on the wider economy, the labour market is proving more resilient.
‘Britain’s tightening jobs market is delivering stronger pay rises, particularly for workers in ICT, hospitality, and real estate.
‘2019 looks set to be a far better year for pay than this one. But after a pretty appalling decade, Britain remains some way off a return to the levels of real pay we enjoyed before the crash.’
Employment is also up by another 79,000 to a record high of 32.4million people, according to the Office for National Statistics report
ONS senior statistician Matt Hughes said: ‘The employment rate has continued to rise in the most recent three months, returning to a joint record high, boosted by an increase in full-time workers.
‘There was a corresponding fall in the inactivity rate, while the unemployment rate was virtually unchanged.
‘Real earnings are now growing faster than at any time since around the end of 2016.’
Job vacancies were up by 10,000 on the quarter to a record high of 848,000, the ONS reported.
Staffing levels at the Department for Exiting Europe and Department for International Trade increased by 440 over the past year to just over 2,000.
Employment Minister Alok Sharma said: ‘Today’s statistics show the enduring strength of our jobs market, with wages outpacing inflation for the ninth month in a row and employment at a record high.
‘This is benefiting people across the country, with almost 400,000 more people in work in the last year, putting more money in the pockets of working families, and showing the UK remains a great place to invest and do business.’
Those out of work was also up, by 20,000, though unemployment rate is still lower than a year ago at 1.38million. The UK’s jobless rate is now 4.1 per cent – the lowest rate since 1971