ONS Labour Market January 2024

Vacancies continue to fall

The number of job vacancies in October to December 2023 was 934,000– a decrease of 49,000 from the previous quarter, marking the 18th consecutive decrease.
Vacancies declined in 12 of 18 sectors measured on a quarterly basis, with wholesale and retail trade; repair of motor vehicles and motorcycles (13,000), and transport and storage (9,000) seeing the most substantial declines.
On an annual basis, total vacancies decreased by 226,000.
The total number of vacancies remains 133,000 above pre-pandemic levels (January to March 2020).

Payrolled employees increase on an annual basis

Early payroll estimates for December show the number of payrolled employees rose by 306,000 employees compared to the previous year (up 1.0%).
Compared to the previous month, provisional estimates suggest the number of payrolled employees decreased by 24,000 (0.1%).
The largest yearly increase in payrolled employees continued to be driven by health and social work sector (a rise of 203,000 employees YoY).

Unemployment rate unchanged

Alternative estimates for September to November 2023 show the UK unemployment rate was largely unchanged on the previous quarter at 4.2%.

Employment rate edges up

Alternative estimates for September to November 2023 show the UK employment rate increased by 0.1 percentage points on the quarter to 75.8%.
The UK economic inactivity rate fell by 0.1 percentage points on the quarter to 20.8%.

Earnings outstrip price rises

In nominal terms, average regular pay (excluding bonuses) for employees in Great Britain was £623 per week before tax and other deductions from pay in November.
Average total pay (including bonuses) for employees in Great Britain was £666 per week before tax and other deductions from pay in November.
Regular pay rose by 7.3% and total pay by 7.2% in the three months to October compared to a year earlier.
Regular pay rose by 6.6% and total pay by 6.5% in the three months to November compared to a year earlier. Average regular pay growth in the private sector was 6.5% in the three months to November, while public sector pay rose by 6.6%.
In real terms (adjusted for CPIH inflation), regular pay and total pay increased 1.4% and 1.3% YoY respectively in the three months to November. Regular real pay was last higher than this in July to September 2021, when it increased by 2.2%.

Average weekly earnings annual growth rates in Great Britain, seasonally adjusted, January to March 2001 to September to November 2023

Source: ONS