New figures released by the Office for National Statistics (ONS) have revealed that the number of people unemployed has not changed much.
The latest data revealed that UK unemployment fell by 26,000 in the first quarter to May to 2.45 million, although the number of people claiming jobseeker’s allowance in June rose by 24,500 to 1.52 million.
One of the main reasons for the fairly static picture is that more employees are accepting pay cuts over redundancy.
There is a fear that the fact more people are earning less money will hamper economic growth.
With less money to spend on consumer goods for example, the already stagnated economic growth looks desperate.
The recruitment company Hays said that it was nevertheless positive that unemployment had fallen.
Charles Logan, director at Hays, told Recruiter: “Tough times continue for the public sector where cuts are being made but we remain optimistic about the future – in fact Hays has seen some fantastic opportunities for job seekers, across both the public sector and private sector.”
Hays cited the construction, engineering and manufacturing sectors as being some of the key players in helping bring down unemployment in the UK.