14 October 2009 – Ministers pledge increased support for all those looking for work
Ministers have pledged to keep increasing support for jobseekers as figures out today show the rise in unemployment is continuing to slow, with fewer people becoming long term unemployed than anticipated in April’s Budget.
Today’s figures show that while the overall number claiming Jobseeker's Allowance rose by 20,800 last month, almost 336,000 people left the count.
ILO unemployment is at 2.47m. The quarterly rise of 88,000 is significantly lower than in previous months - showing that the Government’s £5 billion extra investment to help jobseekers is taking effect.
The figures also show that the number of 16-24 year olds classed as ILO unemployed has increased by 19,000 to 946,000. However most of that increase is accounted for by a 17,000 rise in the number of full time students who are also looking for work. Around a quarter of the 16-24 year olds ILO unemployed are full time students.
Last month, the number of 18-24 year olds claiming Jobseekers Allowance rose by 7,900.
Secretary of State for Work and Pensions, Yvette Cooper said:
"These figures show families across the country are still being affected by the global recession. Although unemployment isn't as high today as many feared it would be at the time of the Budget, it remains a serious problem, which is why we must keep increasing support and advice to get people back into jobs. We will not leave them on their own."
As part of the Government’s support for young people in particular, Ministers also announced today that the third round of winning Future Jobs Fund (FJF) bidders will create almost 5,000 more jobs. This brings the total number of jobs that will be created through FJF so far to almost 60,000.
Young people in Barnsley, London and Hove have already started work through the Fund in a range of different sectors giving the young unemployed, the chance to learn a range of skills by working for charities, businesses and public bodies.
New figures published today show that more than 8,000 people have benefited from the new Six Month Offer. In addition, over 40,000 people are finding jobs through Local Employment Partnerships every month which will help a total of 750, 000 people back into work by the end of next year.
Employment Minister, Jim Knight said:
"I’m pleased to announce another 5,000 jobs, created through the Future Jobs Fund, taking the total to almost 60,000 so far. These jobs are just one of the ways the Government's extra investment is helping people to get back into work. Our £5bn injection to support jobseekers is helping people at every stage.
"Whilst 70 per cent of people still leave Jobseeker's Allowance within six months, those who remain unemployed for longer get extra help through the new Six Month Offer, Local Employment Partnerships and the Future Jobs Fund."
Notes to editors
- The labour market statistics (LMS) are published by the UK Statistics Authority and a full breakdown is available on their website: www.statistics.gov.uk
- Full details of today’s announcement of the next set of successful bidders for the government’s innovative Future Jobs Fund (FJF), including a regional breakdown of bidders, along with details of how to bid, will be available on the FJF homepage: http://campaigns.dwp.gov.uk/campaigns/futurejobsfund/index.asp
Background to labour market statistics: October 2009
This month’s Labour Force Survey covers June 2009 to August 2009. The claimant count and Jobcentre Plus vacancy count dates were 10th and 4th September respectively.
The number of people in work fell this quarter
- but nearly 29 million people were in work in July to September.
- employment level in June-August was 45 thousand lower than the previous quarter and 467 thousand lower than in the same quarter last year.
- the employment rate is 72.6%, down 0.3 percentage points on the quarter and down 1.8 percentage points on the year
- Number of workforce jobs is 30.9 million in June 2009, down 163 thousand on the quarter and 664 thousand on the year.
The number of people claiming JSA has risen again this month
- claimant unemployment was 1,626.8 thousand in September 2009, up 20.8 thousand on the level in August, and up 670.1 thousand on the year.
- the claimant unemployment rate, at 5.0%, is up 0.1 percentage points this month and up 2.1 percentage points on the year.
- inflows to JSA were 357.8 thousand in September, up 7.0 thousand on the month and up 88 thousand on the year. The number of people leaving JSA increased to 335.9 thousand, up 4.8 thousand on the month and up 107 thousand on the year.
- In the year to February 2009, the number of people claiming employment support allowance/incapacity benefits fell by 14,300 to 2.6 million. More recent provisional estimates suggest that there were 2.63 million claimants in August 2009, unchanged on the month but up slightly from the level a few months ago.
- in the year to February 2009, the number receiving lone parent benefits fell 5,700 to 736,000. Provisional figures for August 2009 suggest a continued downward trend in the number of lone parents on benefit (driven by the recent conditionality reforms).
ILO unemployment has risen this quarter
- 2.47 million people were ILO unemployed in the June to August quarter, up by 88 thousand on the May to July period and up 677 thousand on the same quarter last year.
- the ILO unemployment rate is 7.9%, up 0.3 percentage points on the quarter and up 2.1 percentage points on the year.
The level of economic inactivity is up on the quarter and up on the year
- the economic inactivity level is 7.965 million, up 50 thousand on the quarter and up 80 thousand on the year.
- the economic inactivity rate is 21.%, up 0.1 percentage points on the quarter and up 0.2 percentage points on the year.
- excluding students, inactivity as a proportion of the working age population is unchanged at 15.3% on the quarter but down 0.2 percentage points over the last year.
There are still many vacancies available, and the number of redundancies has fallen back this quarter:
- There were 233 thousand redundancies in June to August, down 68 thousand on the previous quarter and up 85 thousand on the previous year.
- ONS’s vacancy survey estimates an average of 434 thousand unfilled vacancies in the three months to September 2009, unchanged on the quarter but down 163 thousand on the year.
- In the last month Jobcentre Plus has taken on average over 10,000 new vacancies every working day and many more come up through other recruitment channels
Earnings growth in the year to August was 1.6%, down 0.2 percentage points from the July figure:
- excluding bonuses, average earnings growth was 1.9%, down 0.3 percentage points from the July figure.
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