Number of people in paid employment returns to pre-pandemic levels

The latest figures from the Office for National Statistics (ONS) shows the number of workers on payrolls rose by 241,000 between July and August taking the number of people in work above that of pre-pandemic levels.

The rise in workers represents the biggest jump in employment since 2014.

Jonathan Athow, ONS deputy national statistician for economic statistics, said: “Early estimates from payroll data suggest that in August the total number of employees is around the same level as before the pandemic, though our surveys show well over a million are still on furlough.

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“However, this recovery isn’t even: in hard-hit areas such as London, and sectors such as hospitality and arts and leisure, the numbers of workers remain well down on pre-pandemic levels.

“The overall employment rate continues to recover, particularly among groups such as young workers who were hard hit at the outset of the pandemic, while unemployment has fallen.

The ONS said job vacancies in the UK have reached a record high. The number of vacancies in June to August 2021 rose to 1,034,000.

“Vacancies reached a new record high” confirmed Jonathan Athow.

“Not surprisingly, this is driven above all by hospitality, the sector with the highest proportion of employers reporting their job openings are hard to fill.”

It is the first time vacancies have risen over 1 million since records began, and 249,000 above its pre-pandemic January to March 2020 level.

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