September and November jobs data showed that the number of unemployed grew by 131,000. This pegged the total of UK unemployment to 1.92, the biggest figure since September 1997.
The fresh data did not include jobs that were cut since November of 2008. According to the Office of national Statistics, the number of individuals applying for job seeker allowances also rose by 77,900. The data showed that a total of 1.16 million job seekers are claiming allowances.
Worsening Situation Ahead
Minister of Employment Tony McNulty expressed disappointment with the current figures. Minister McNulty said that the situation will likely to grow worse before it returns to normal.
At the end of November 2008, the unemployment rate was pegged at 6.1 percent. This figure was considerably higher than the 5.2 percent unemployment rate registered in the same period of 2007.
According to the Ministry, the new figures were the worst ever recorded since April of 1999. The Ministry noted that unemployment claims continue to rise steadily for the past consecutive eleven months.
The Employment Crisis Deepens
More companies continue to cut their work force at an alarming rate with 225,000 redundancies recorded in the three month period covered by the report. Officials said the current figures represent the biggest ever job shedding since 1995.
According to Alan Clarke of BNP Paribas, the downsizing of companies was very rapid. Clarke said that the data indicate more bad news to come as the recession continues to deepen.
Vacancies also went down by 69,000 in the last months of 2008. Sources said that there were only 530,000 available jobs today. With the number of unemployed running into millions of individuals, the job market will be gloomier this year.
More Layoffs Ahead
The problem of unemployment will continue to worsen in the coming months as 27,000 jobs were shed by Woolworths which closed shop recently. More job losses were announced for the coming weeks.
TT Electronics, a company based on Weybridge, recently announced that it will cut 100 more jobs on top of the 400 announced earlier.
Hammonds Support Systems, a conveyancing firm based at Bradford announced that it will cut its workforce by 200 jobs. Executives said the company cannot absorb the sharp losses it experienced in the past months.
Young people have been greatly affected by the recent job cuts. According to Prince Trust, almost 45 percent of those who lost their jobs belong to the 25 years and below demographic.
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