–Sep claimant count unemployment +5,300; rate 4.5%
–Jun-Aug ILO unemployment -20,000 q/q; rate 7.7%
–Aug total weekly earnings +1.7% 3m y/y vs +1.3% in Jul
–Aug regular weekly earnings +2% 3m y/y vs +1.6% in Jul

LONDON (MNI) – Claimant count unemployment increased for the second
consecutive month in September while growth in regular pay rose to its
highest level since June 2009, according to figures released by National
Statistics Wednesday.

Claimant count unemployment rose 5,300 on the month in September to
stand just below 1.5 million. The latest increase was a little higher
than the median forecast for a rise of 4,500 on the month and followed
an upwardly revised increase of 3,800 in August, compared to the
originally published rise of 2,300.

With signs of the economy slowing many economists expect
unemployment to continue rising, especially when the government’s
upcoming public spending cuts begin to impact.

While the claimant count numbers point to rising unemployment, the
official unemployment data based on the ILO definition posted a 20,000
decline in the three months to August. The ILO unemployment rate fell to
7.7% from 7.8% previously, the lowest since the three months to May
2009.

The claimant count measures those out of work and claiming
Jobseekers Allowance, while ILO unemployment, seen as a more
comprehensive gauge, is based on survey evidence and measures those who
are unemployed but may not be claiming the allowance.

Excluding 16 and 17 years olds, National Statistics said that the
ILO measure would have shown a rise in the latest three month period.

Employment growth remained strong, rising 178,000 in the three
months to August, mainly due to large rise in part-time employment of
143,000.

Wage pressures remained subdued, although growth rates do appear to
be returning to slightly more normal levels following the credit crunch
downturn.

Excluding bonuses, regular pay growth rose to 2% in the three
months to August on a year ago, up from 1.6% in July, the highest since
June 2009.

Total pay, which includes bonuses, rose to 1.7% from 1.3% in July.

National Statistics made changes to the average earnings data based
on a reclassification of industrial groups this month, resulting in back
revisions.

–London bureau: 00 44 207 862 7491; email: drobinson@marketnews.com

[TOPICS: MT$$$$,M$B$$$,MABDS$]