Employment limbo land

Today’s (October 15) jobless fall figures might appear welcome news – but Unite warned if you scratch the surface those same figures reveal an economic recovery that’s passing people by – as the wage siege continues and the world of work becomes more insecure.

Average earnings, including bonuses, increased by just 0.7 per cent in the year to August, up by 0.1 percentage point on the previous month – according to the latest figures from the office for national statistics.

The figures mask the truth about the nature of these jobs – so-called self-employment and part time work have both increased.

Self-employment now makes up almost 15 per cent of total employment in the UK, 279,000 higher than a year ago, while part-time work has reached a record high of 6.8m.

“This is a part time recovery built on the back of low wages and an explosion of self-employment which is leaving millions in an employment limbo land, without rights, security or guaranteed income,” said Unite general secretary Len McCluskey.

“The government needs to look at this phenomenon and honestly assess what it means for the nation.”

But it would seem that an honest assessment of the true situation from the government is currently unlikely.

According to the Guardian, prime minister, David Cameron, tweeted, “The biggest-ever fall in unemployment in history, taking it below 2m, is great news. Our plan is working, but there’s still much more to do.”

Len McCluskey said, “This Tory-led government also needs to face up to the fact that people have seen their incomes drop in real terms by a staggering £1,600 a year on their watch, forcing families to choose between heating and eating this winter.

“This is not the basis for a sustainable recovery. Britain needs a pay rise and an economic recovery that benefits the majority and an economy built on secure, decent paid jobs.”