Number of people out of work in Wales falls by 6,000
The number of people out of work in Wales fell by 6,000 in the three months to the end of June.
It means the unemployment rate among people aged 16 and over now stands at 4.5%, slightly above the UK average of 4.4%, according to the latest figures from the Office for National Statistics (ONS).
The numbers in work also fell during the quarter to 1.436 million, an employment rate among 16 to 64 year olds of 72.7%, lower than the UK average of 75.1%.
Economic inactivity among 16 to 64 year olds rose by 1,4% to 23.8%, against a UK average of 21.3%.
First Minister Carwyn Jones said: “As a Government we remain committed to investing in the infrastructure that Wales needs to prosper and grow and to creating the economic conditions that will result in the high quality jobs that people here want and need. Just last month, as a result of Welsh Government support, Newport was selected for a new £30m rail production centre of excellence that will create 300 skilled jobs locally, while the Economy Secretary announced funding for the first phase of a new Advanced Manufacturing Research Institute in Deeside which could increase Welsh GVA by as much as £4bn over 20 years.
“We have also announced support for 1,000 new apprenticeship opportunities this summer and are progressing our plans for a £100m automotive technology park that will create 1,500 high quality jobs in Ebbw Vale.”
Plaid Cymru Shadow Cabinet Secretary for the Economy Adam Price AM said: “Scratch the surface of these figures and you will see that many Welsh workers remain trapped in a low-wage economy.
“That is why we need a real living wage to make in-work poverty a thing of the past.
“Both the Welsh and UK Governments should also be doing more to boost job creation, as well as strive to ensure that any new employment opportunities are high skilled and well paid.
“We need to be building up our country and better connecting our communities to make Wales a more attractive place to invest.”
The figures for the UK show a more positive picture with the number of people in work rising by 125,000 to 32.07 million and the employment rate climbing by 0.3% to a record 75.1%.
Annual growth in wages was 2.1% for April to June, up from a revised figure of 1.9% for March to May. Once bonuses are stripped out, pay expanded by 2.1% over the period, rising from 2%.
However, once inflation is taken into account, total pay in real terms sank by 0.5% both including and excluding bonuses.
It comes as the cost of living – which has marched higher in response to the Brexit-hit pound – held steady at 2.6% in July, in line with the rate for June.
Employment Minister Damian Hinds said: “These statistics show that record levels of people are in work across the country and earning a wage, which is great news.
“Over the past year the rise in employment has been overwhelmingly driven by permanent and full-time jobs, as employers continue to invest in Britain’s strong economy.
“The task now is to build on this success through Jobcentre Plus and our employment programmes so that everybody can benefit from the opportunities being created.”
Welsh Conservative Shadow Economy Secretary Russell George said: “It is good to see unemployment once again falling, and employment rates remain high – even if it has fallen this month. But what these figures highlight is the need to resist complacency, and it is vital for the Welsh economy that progress can be made on projects like the Swansea Bay Tidal Lagoon.
“We will continue to lobby colleagues at Westminster to ensure that transformational investment projects like this are given the go-ahead.”
TUC general secretary Frances O’Grady added: “Rising prices and stagnant pay are a toxic combination. This is the fourth month in a row where wages have fallen behind the cost of living. Ministers are sitting on their hands as another living standards crisis unfolds. It’s time to boost wages by scrapping the pay restrictions in the public sector, investing in infrastructure, and increasing the minimum wage.”