24 Oct 2013
Flash: The UK labor market – running to a stand still - BAML
FXstreet.com (London) - John Wraith at Bank of America Merrill Lynch explained that the UK labour market is running to a standstill.
Key Quotes:
A big change in labor market dynamics means no fall in the number of unemployed despite the creation of 1mn new jobs since 1Q10.
Demographics and immigration have led the UK workforce to grow by an average of 360k per year between 2000-12.
If this rate of increase continues, as the ONS predicts, it could be many years before unemployment falls to 7.0%.
Key Quotes:
A big change in labor market dynamics means no fall in the number of unemployed despite the creation of 1mn new jobs since 1Q10.
Demographics and immigration have led the UK workforce to grow by an average of 360k per year between 2000-12.
If this rate of increase continues, as the ONS predicts, it could be many years before unemployment falls to 7.0%.