UK employment suffered its sharpest decline in more than four years in the three months to September as the number of job vacancies also plunged, new figures reveal.
The number of people in work declined by 58,000 to 32.75 million in the quarter, as the number of people becoming economically inactive jumped higher, the Office for National Statistics (ONS) said.
However, the slump in employment was smaller than analysts predicted, having forecast a decline of 102,000.
The quarterly decline in employment was nevertheless the heaviest since May 2015, when the level fell by 65,000.
Despite the falling number of people in work, the number of people who were unemployed for the period also fell, dipping by 23,000 to 1.31 million.
The average worker’s spending power is (remarkably) still lower today than it was in 2008 with average Total Pay (adjusted for inflation) standing at £502/week. In Feb 2008 it was £525/week. Plenty of voters in this election are in work but feeling up against it.”
The ONS said the falling number of people working in retail, on the back of a number of a recent major collapses and store closure programmes on the high street, significantly contributed to the slump in employment.
Despite the falling number of people in work, the number of people who were unemployed for the period also fell, dipping by 23,000 to 1.31 million.
Analysts had predicted that the rate of employment would stay flat at 3.9%, but the figures revealed a decrease to 3.8% for the period.
The fall in both employment and unemployment was driven by an increase in the number of people deemed economically inactive, which covers people who have not been seeking work or are unable to work.