The UK has seen a decrease in employees on payroll in July 2020, who are at 730,000 as compared to March, showing the Coronavirus taking a toll on employment, said a report by the Office of National Statistics. While there are many reasons for this, according to flow analysis, the main one for the fall in employment for May, June and July are fewer people moving to payroll employment.
With the Coronavirus, most people are either working from home or starting one of their projects.According to further information on the website, employment is weakening, with unemployment staying unchanged for the most part with the increase in economic inactivity, with people out of work but not looking for work. Unemployment refers to people not having a job but looking for work.
Currently, while a lot of people in the UK do not have jobs, they are not looking to start working any time soon.The unemployment of 2020 is the highest decrease that the UK has seen in a long time, dating back to 2009.
Furthermore, while men and women are seeing a decrease in unemployment, the same is also seen by workers, averaging 65 years and older, self-employed workers, and part-time workers. Full-time employees, on the other hand, largely offset the decrease.The UK has a giant chunk of their working population temporarily unemployed, 7.5 million in June with more than 3 million being away for three months or more.
These numbers also include people who might have lost their jobs, with around 300,000 people away from work because of the pandemic and receiving no pay in June 2020. Furthermore, the youngest workers, oldest workers and manual or elementary occupations were most likely to be away from paid work because of the pandemic. There are signs of things bouncing back, with the hours spent in retailing, hospitality and construction rising slowly. There was a 10% rise in vacancies to 370,000as small businesses took on staff to help meet coronavirus guidelines.One of the major requirements to get a job in the UK is not having a criminal record. People with these records find it very difficult to find employment. Most employers run background checks on the people who are going to be working at their company.
One of the easiest ways of getting this done is through a CRB check which is the Criminal Record Bureau Check, designed for employees or potential employees. The check has now been renamed to the DBS check which stands for Disclosure and Barring Service and to make the process even smoother, they can handle the CRB check online.
The Bank of England has already predicted and warned the UK that unemployment will spike at 2.5m by year-end. Their main reason being, firms cutting jobs due to the shock of Covid-19.
They predicted that the jobless rate will almost double to 7.5%, and then slow down its drop in 2021.Employment appears to have fallen since the Covid-19 outbreak, although this has been significantly mitigated by the extensive take-up of support from temporary government schemes.Surveys indicate that many workers have already returned to their jobs, but considerable uncertainty remains about the prospects for employment after those support schemes unwind.
It also seems unlikely that the UK will reach its pre COVID numbers until the end of 2021 at the earliest.
Getting accurate statistics about jobs and unemployment in light of Coronavirus can be quite challenging. One of the primary measures comes from the Labour Force Survey that asks thousands of people every month if they are unemployed and looking for work. It also calculates the unemployment rate, which is at 3.9% it's close to the lowest it has been for 40 years - as if the current crisis never happened.
(To receive our E-paper on whatsapp daily, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)