Labour Market Statistics: October 2022

The ONS have released the latest Labour Market Overview covering the months June – August 2022

What Does This Mean For Youth Employment?

Headlines for young people aged 16 – 24
In work:

• The employment rate has remained the same as the previous quarter at 54.7%
• The employment level now stands at just over 3,741,000

Unemployment:

• The unemployment rate has fallen marginally by 0.01ppts to 9.04%
• There are currently just over 372,000 young people classed as unemployed

Economically inactive

• The economic inactivity rate is 39.84%, down by 0.01 ppts on the quarter.
• The number of young people who are economically inactive stands at 2,724,127 up by 1,480

Headlines for all ages

In work

• The employment rate for 16-64-year-olds is 75.5%, a slight increase of 0.1ppts on the previous quarter but remains lower than pre-pandemic levels. 
• The number of people in employment rose slightly by 7,647 on the previous quarter and now stands at 32,754,060 for all ages.

Unemployment

• The unemployment rate for all ages is 3.5%, down 0.1 ppts on the previous quarter and below pre-coronavirus pandemic levels. 
• The number of people who are unemployed fell by 36,965 on the previous quarter.

Economically inactive

• The economic inactivity rate for 16-64-year-olds stands at 21.65%, down 0.05 ppts on the previous quarter. 
• The number of those classed as economically inactive was down by just over 12,000 for 16-64-year-olds.

Our Commentary

This month’s figures show that the youth unemployment rate continues to be at historic lows, however, young people are still three times more likely to be unemployed than the rest of the population. Job vacancies also remain at historic highs despite falling slightly from their peak in August, yet there are just under 83,000 fewer young people in work when compared to pre-pandemic figures (Dec-Feb 2020) and nearly 180,000 more young people classified as economically inactive compared to pre-pandemic figures. There are currently 600,000 young people who are economically inactive and not in any form of education. More needs to be done to support these young people in to employment and good quality work. The government must support young people as they enter the world of work and transition from education whilst also encouraging employers to recognise their role in hiring young people.