Employment trends remain positive

Posted on January 18th, 2017

The number of people claiming Jobseeker’s Allowance in Derbyshire, Nottinghamshire and Leicestershire fell across all three counties in December, according to figures released this morning.

The cities of Derby, Nottingham and Leicester also recorded falls in the number of claimants in December compared with November last year, the Government figures show.

Derby and Derbyshire recorded a small rise in the number of claimants compared with a year earlier (December 2015), while Nottingham, Nottinghamshire, Leicester and Leicestershire all saw drops.

All three counties and cities saw a drop in the number of claimants compared with two years earlier.

Across the East Midlands, the number of people out of work in the three months to November, the latest figures available and also published this morning, was down compared with the three months to August 2016.

The percentage of people unemployed remained at 4.5% over the two periods, marginally higher than in the rolling three months to November last year compared with 2015 (4.3%) but lower than two years earlier (5.4%).

According to the Office for National Statistics, despite improved Jobseeker’s Allowance claimant figures and a drop in the number of people unemployed, the number of people in work fell in the three months to November 2016 compared with the three months to August.

But the trend, as shown by the year-on-year and two-yearly figures continues to show more people in work.

Scott Knowles
Scott Knowles, Chief Executive at East Midlands Chamber, said: “This month’s figures are, once again, very positive and confirm the results of our Quarterly Economic Survey for the end of 2016 which is that the East Midlands continues to be a key driver of the economy. Despite the uncertainties of Brexit, and partly because of them, regional firms are continuing to create jobs and wealth.

“The lower value of the pound against the euro and the US dollar, in particular, has made UK-made goods and services cheaper overseas. Combined with a strong reputation for quality, this has led to increased international demand for the ‘Made in Britain’ brand and exporting companies have recruited to cope with demand.

“This has an impact all the way down the supply chain, creating jobs at all levels, which is good for the regional and national economy.”

But Scott warned that inflationary pressures, brought about as a consequence of higher-cost imports – the flip-side of a weaker pound – will eventually rebalance the books.

“Higher prices in shops and at fuel pumps, which we’re already seeing, will lead to demands for wage increases which, when coupled with higher manufacturing costs, will put pressure on employers to raise prices or find other ways of making savings and we would be surprised if that didn’t lead to a drop in employment levels later in 2017.”

ENDS

Claimant count

employment figures table