Minister McGovern quote on today's Labour Market Statistics + other reaction

Government Minister for Employment, Alison McGovern said:

“Supporting more people into work and putting more money in the pockets of working people is at the heart of our Plan for Change.

“That's why we are transforming the way we help people into secure, well-paid jobs. Six months after we launched Get Britain Working, we are already seeing the benefits with economic activity at a record high, with 500,000 more people in employment since we entered office and real wages growing more since July than in the decade after 2010.

“People all over the country are benefitting from increased training opportunities and the newly launched Jobs and Careers Service will allow us to test new and innovative approaches to personalise employment support.”

British Chambers of Commerce

Responding to the latest labour market data, published by the ONS this morning, Jane Gratton, Deputy Director Public Policy at the British Chambers of Commerce said:      

“The increase in employment costs for business appears to be starting to bite with today's data showing a rise in unemployment.  

“This year's steep increases in national insurance and the national living wage have undoubtedly delivered a shock to businesses. 

“Vacancies continue to fall which aligns with our research, showing that, due to increased employment costs, many firms are now freezing recruitment plans, while others are being forced to reduce headcount.   

“At the same time, wage growth continues to outpace inflation, adding further cost pressures for firms already facing rising overheads. Employment costs and pervasive skills shortages are a massive challenge for business, presenting big risks to investment and growth.   

“This week's Comprehensive Spending Review is a golden opportunity to invest more in the skills system – with apprenticeship reform and local skills improvement plans critical to solving the problem.        

“The £5bn cost associated with the employment rights bill poses a further threat to firms' investment plans. Without further amendment, the legislation will add even more to employers' costs.”