UK Unemployment Drops to 7.8%

The Office for National Statistics (ONS) announced today that unemployment in the UK fell by 33,000 during the three months ending in January to 2.45 million, or 7.8 percent. The number of people seeking unemployment benefits fell by 32,300 in February to 1.59 million. THe ONS did point out an area of concern however regarding long-term unemployment. The number of people who have been out of work for more than a year, rose by 61,000 to 687,000.

Jobless Recovery

Economists pointed out that while the initial results show progress has been made on the employment front, there are still many people out of work. Jeegar Kakkad, senior economist at EEF, the manufacturers’ organisation, said: “Although the figures show that job losses in manufacturing are at their lowest since the recession began, the fall in employment increases the likelihood of a jobless recovery.”

Source: BBC News

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