The most timely estimate of pay-rolled employees for December 2022 shows another monthly increase, up 28,000 on the revised November 2022 figures, to 29.9 million. The unemployment rate for September to November 2022 increased by 0.2 percentage points on the quarter to 3.7 per cent. In the latest three-month period, the number of people unemployed for up to six months increased, driven by those aged 16 to 24 years. Those unemployed for over six and up to 12 months increased, while those unemployed for over 12 months decreased in the recent period, according to data from the Office for National Statistics (ONS).
The economic inactivity rate decreased by 0.1 percentage points on the quarter to 21.5 per cent in September to November 2022. The decrease in economic inactivity during the latest three-month period was driven by those aged 16 to 24 years and those aged 50 to 64 years. Looking at economic inactivity by reason, the quarterly decrease was driven by those inactive because they are students, long-term sick, or retired.
The redundancy rate has increased to 3.4 per thousand employees in September to November 2022 but remains low. The number of vacancies in October to December 2022 was 1,161,000, a decrease of 75,000 from July to September 2022. Despite six consecutive quarterly falls, the number of vacancies remains at historically high levels. The fall in the number of vacancies reflects uncertainty across industries, as survey respondents continue to cite economic pressures as a factor in holding back on recruitment.
Growth in average total pay (including bonuses) and regular pay (excluding bonuses) among employees was the same at 6.4 per cent in September to November 2022. For regular pay, this is the strongest growth rate seen outside of the COVID-19 pandemic period. Average regular pay growth for the private sector was 7.2 per cent in September to November 2022, and 3.3 per cent for the public sector. Outside of the height of the COVID-19 pandemic period, this is the largest growth rate seen for the private sector.
In real terms (adjusted for inflation) over the year, total and regular pay both fell by 2.6 per cent. This is slightly smaller than the record fall in real regular pay seen in April to June 2022 (3.0 per cent), but still remains among the largest falls in growth since comparable records began in 2001. There were 467,000 working days lost because of labour disputes in November 2022, which is the highest since November 2011.
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