The rate of UK unemployment rose to 3.7% in the three months to October, up from 3.6% in the previous three months, the Office for National Statistics have announced this morning
The UK recorded its second largest fall in real wage growth this year in October
The Office for National Statistics (ONS) reported that wage growth was 4.2% weaker when the effects of CPI inflation were included – following a reading of 3.7% the previous month.
Private sector pay is rising much faster at 6.9% than the public sector’s 2.7% according to the figures
Meanwhile 417,000 working days were lost to industrial action in October
Ben Harrison, Director of the Work Foundation at Lancaster University, a leading think tank for improving working lives in the UK said:
“Today’s figures show the stark challenges facing workers who are seeing inflation wipe away pay rises. Real wages are down 2.7% on the year with workers feeling poorer as the freezing temperatures bite and – despite Government energy support – many people are having to make tough decisions on whether they can turn the heating on.
“In this context, it is no surprise strikes are looming in the run-up to Christmas. After years of stagnating pay, the nearly 5.8 million public sector workers are being hit hardest as their wage increases of 2.7% fall short of private sector growth at 6.9%, and lag seriously behind inflation at 11.1%.
“Failure to agree fair deals for public sector workers could have serious implications for the wider economy. 417,000 working days were lost because of labour disputes in October 2022, which is the highest since November 2011. Economic inactivity continues to be high, and just under 2.5 million people report long term sickness is preventing them from working. Addressing these challenges demands investment in public services – from the NHS to specialist employment support – and that includes investment in the workers who deliver them.”
