The variety of UK employees on firm payrolls surged by 160,000 final month and there was no signal of a bounce in redundancies regardless of the furlough help scheme coming to an finish, in response to official figures.
The Workplace for Nationwide Statistics (ONS) stated payrolled employees jumped by 0.6% between September and October to 29.3 million – “properly above” ranges seen earlier than the pandemic struck.
The unemployment charge additionally fell as soon as extra to 4.3% between July to September, down from 4.5% between June and August, despite the furlough scheme coming to an finish on September 30.
The ONS stated survey responses thus far counsel solely a small variety of redundancies have been made among the many 1.1 million nonetheless on furlough when the scheme closed.
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However it cautioned the total impact of furlough closing might but be felt, with some employees let go nonetheless probably figuring out their discover and on redundancy pay.
The info additionally confirmed that job vacancies reached a brand new report excessive, up 222,000 quarter on quarter to 1.17 million within the three months to October and 388,000 larger than earlier than the pandemic as corporations battled to rent amid mounting labour shortages.
Sam Beckett, ONS head of financial statistics, stated: “It would take just a few months to see the total affect of furlough coming to an finish, as individuals who misplaced their jobs on the finish of September may nonetheless be receiving redundancy pay.
“Nonetheless, October’s early estimate reveals the variety of folks on the payroll rose strongly on the month and stands properly above its pre-pandemic stage.”
She added: “There may be additionally no signal of an upturn in redundancies and companies inform us that solely a really small proportion of their beforehand furloughed workers have been laid off.”
Britain’s jobs market has now recovered above ranges earlier than the Covid-19 disaster hit, with the furlough scheme cushioning the blow for employees.
Virtually 9 million British employees have been on the help scheme on the peak.
However the ONS confirmed the rise in payrolled employees in September was not as massive as first thought, with a downward revision to 171,000 added within the month, in opposition to the 207,000 initially estimated.
There have been 1.4 million unemployed between July and September, down 152,000 on the earlier quarter, whereas employment rose 247,000 to 32.5 million.
Wages progress eased again, with complete common weekly earnings up 5.8% between July and September, down from a 7.2% hike beforehand.
Earnings figures proceed to be skewed by sure elements, with decrease paid jobs being hit hardest by the pandemic, however the progress is regarded as easing as fewer folks got here off furlough and noticed their pay get better.