U.K.'s Unemployment At Highest Level For 17 Years

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United Kingdom highest unemployment in yearsBy Meera Selva


LONDON (AP) -- Britain's unemployment rate hit its highest level for 17 years Wednesday, with women and young people bearing the brunt of the deepening jobs crisis as the country's austerity measures and economic weakness began to bite.

Data from the Office for National Statistics showed that 2.64 million people were unemployed in Britain at the end of October - 128,000 more than in the previous quarter and the highest level since 1994.

Unemployment among 16 to 24 year olds increased by 54,000 to 1.03 million - the highest level since records of youth employment began to be kept in 1992. Women's unemployment increased by 45,000 to 1.1 million, the highest since 1988.

The British government has been heavily criticized for cutting programs that help young people break into the job market, and opposition leader Ed Miliband has said in the past that the country faces having a "lost generation" of people who find it impossible to get work.

Official data shows that public sector employment had also fallen by 67,000 to just below 6 million - the first time the level has been that low since 2003.

Cutting costs in the public sector has been a key part of the British government's strategy to reduce the country's debt. It has clashed with public sector unions over its austerity measures, with unions saying the cuts are unfair and hit poorly paid workers the hardest.

Dave Prentis, leader of the public sector union Unison, said the latest unemployment figures showed the government strategy is failing.

"The Government continues to ignore the human cost and push ahead with its hard and fast cuts, clinging to the hope that a struggling private sector can pick up the pieces," he said. "These figures deliver a cold hard dose of reality. It is shameful to see that yet again women, who make up the majority of low-paid public sector workers, are the hardest hit by job losses."

Employment minister Chris Grayling said there were signs the labor market was stabilizing despite the poor report.

The government had hoped that the private sector would create jobs to compensate for those lost in the public sector but the ongoing economic crisis has meant that a number of companies are struggling to stay afloat.

Tour operator Thomas Cook added to the bad news with an announcement Wednesday that it will close 200 stores and cut over 660 jobs in Britain as families with young children decide to stay home instead of holidaying at its all inclusive beach resorts.

Thomas Cook also reported its final year results Wednesday, after postponing their release as it sought new agreements with its creditors. It said its operating profit fell 16 percent to 303.6 million pounds ($471 million.)

Thomas Cook shares are down 6.61 percent to 13.84 pence in late morning trading.



Next: Postal Service To Delay Cutbacks Until Mid-May



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anitaellis50

If there were less immigrants there would be more jobs. Every time I go shopping the shop employees are of ethnic origin and not British!

December 15 2011 at 7:36 AM Report abuse rate up rate down Reply
wmechaneer

With CIA's World Factbook recording the United Kingdom's population at ~63M, and this article claiming "just below 6 million" employed by government, about 10% of ALL UK residents are gummint employees. With but a total of 31.5M in their entire workforce, that translates to ONE in FIVE of the labor pool are part of the gummint. The "official unemployment figures" cited above translate to about 8.5% unemployment, however, at one million 16-24 year olds, this amounts to a staggering 20%+ rate for that age cohort, and the same for women of all ages. Total per capita GDP is a paltry $34,800, and total GDP spent on their "modern" healthcare system represents almost 10% of GDP.

Such statistics have never bode well for an economy to flourish. The UK's certainly isn't.

Whodda thunk UK's foray into socialism would create such a result? Maggie Thatcher?

December 15 2011 at 1:57 AM Report abuse rate up rate down Reply
fa1thful1

This article stinks becuase they gave the totals but how about the percentage rates? That would give a better idea how this rates in comparison to US rates. The author didnt even give the total number of the workforce in case you wanted to figure the pwercentage yourself. Not only is the author slacking, so is the editor, he should have sent this back to include percentage rates!

December 14 2011 at 9:04 PM Report abuse rate up rate down Reply
1 reply to fa1thful1's comment
ronbeyer

Agreed, without that familiar percentage number it's hard to guage how bad their unemployment is. The most common unemployment percentage number that we use here is more of a statistical number than it is a real number though and maybe if they gave their percentage it would just be an apple and oranges comparison anyway. Our unemployment percentage is computed in a way that if you exhaust your unemployment benefits you are no longer counted as unemployed, their numbers may look at things more realistically.

December 14 2011 at 10:26 PM Report abuse rate up rate down Reply

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