Britain’s unemployment rate rises to 8,4pc in January

The number of people claiming Jobseeker’s Allowance increased by 7 200 to 1.61 million in February.
The unemployment rate was 8,4 percent of the economically active population, up from 8,3 percent in the previous three-month period.
Youth unemployment, among 16-24-year-olds, rose by 16 000 to 1.042 million, a rate of 22,5 percent.

“It has been four years since the labour market began to be hit by the aftershock of the global financial crisis. The impact on the extra one million people unemployed is plain to see but the financial pain of the jobs recession has been felt by employers and people in work as well as the jobless,” John Philpott, Chief Economic Adviser at the Chartered Institute of Personnel and Development (CIPD).

“The cumulative cost of high unemployment and extensive underemployment has been massive and without a more robust economic recovery will continue to rise. This further underlines the need for the Chancellor to set out a convincing strategy for growth and jobs in next week’s Budget.”
According to ONS, there are 29,12 million people in employment aged 16 and over, up 9,000 on the quarter.

High and rising unemployment has put downward pressure on pay increases since 2008, said CIPD.
ONS figures show total pay, including bonuses rose by 1,4 percent on a year earlier, down 0,5 on the three months to December 2011. Regular pay, excluding bonuses, rose by 1,7 percent on a year earlier, down 0,3 on the three months to December 2011. — Xinhua.