Data reveals jobs market tipping point that will worry ministers as much as employers

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It may be too early to tell whether the labour market has turned just because the employment rate has risen - there's still one vacancy for every person unemployed, Paul Kelso writes.

Away from pay, the data contains signs that the slowing economy may be turning the labour market from its curious post-pandemic state.There is unquestionably still a shortage of workers, with one vacancy for every person unemployed.

The impact of economic inactivity is still significant, with 574,000 people having left the workplace since COVID-19. More than half of the newly economically inactive are over 50, and 325,000 of the total are long-term sick.Too early to call a turning labour market? Taken with the fall in vacancies it could signal that the labour market has finally turned, the economic slowdown finally outweighing demand for workers.You cannot walk down a high street without seeing posters seeking staff and the hospitality industry says demand is as strong as ever. If they could meet it they would be doing a great deal more trade, contributing to growth rather than contraction.

 

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Thanks for religiously calling for the policies of lockdowns funded by currency printing that led to the inflation in the first place. Silver lining time... The first thing cash-strapped people will cut back on, is overpriced TV subscriptions. Reap what you sow.

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