Unemployment on a Downward Trend in UK

For the first time in last 18 months, UK has witnessed unexpected rise in employment.

Decrease of almost 7,000 from 2.46 million unemployed people had been recorded since November last year, putting an end to rise of unemployment due to recession since summer 2008. The unemployment rate had fallen from 7.9 percent to 7.8 percent last month, as quoted by the Office of National Statistics.

Jobseeker's had been reduced by 15,200 which is far more than 2,500 as anticipated by analysts. From September to November, jobseekers between 16-24 years of age group had also fallen from 943,000 to 927,000.

Reduction in unemployment has been triggered by jobseekers opting for part-time jobs, adding 99,000 to attain record high of 7.71 million part time workers.

Chief UK economist at Deutsche Bank, George Buckley said that workers are opting for lower pay scales with shorter hours, avoiding risk of retrenchment.

Stephen Lewis, an economist at Monument Securities, added that recovery in labour market largely depends upon the recovery in economy guiding the companies to hire more staff.

An increase in labour demand had been witnessed as 16,000 more vacancies were advertised as compared to previous three-month period.