Scottish employment hits record high

More people in Scotland are in work as the latest jobs figures show an increase in employment to a record high and a fall in inactivity.

Scotland’s employment rate increased by 1.1 percentage points to 75.2 per cent over the quarter, meaning 30,000 more people in employment, according to the Labour Market Statistics for April to June published by the Office for National Statistics (ONS).

There are now 2,650,000 people in employment in Scotland - 86,000 more than the pre-recession peak and above the UK rate.

Over the quarter, the inactivity rate fell 0.7 percentage points to 21.8 per cent. The unemployment rate fell over the quarter to 3.9 per cent, below the UK figure of 4.4 per cent.

Economy Secretary Keith Brown said: “These latest figures show continued resilience in our labour market with 30,000 more people in work compared with this time last year and the unemployment rate falling by 1.2 percentage points over the year. The employment rate has risen to 75.2 per cent, its highest on record, with more people in employment than ever before, while the unemployment rate of 3.9 per cent is close to record lows.

“This is a further vote of confidence in our economy, coming after GDP figures showing Scotland’s growth rate was four times faster that of the UK over the last quarter, and recent reports of accelerating growth across the private sector.

“It is also encouraging to see that we continue to perform strongly in female participation, with the female unemployment rate falling by 0.9 percentage points over the year to 3.6 per cent. Scotland’s female unemployment rate continues to be lower than the UK rate. Youth unemployment has fallen from 14.6 per cent since 2007 and now stands at 8.4 per cent, and is now among the lowest of all EU countries.

“These figures are encouraging but there is much still to do. A hard Brexit would cost our economy up to £11 billion a year from 2030, and 80,000 jobs over a decade. The Scottish Government will continue to do all that we can with the powers available to us to grow our economy, protecting and creating jobs.”

Andy Willox, Scottish policy convenor for the Federation of Small Businesses, added: “Despite low business confidence and tightening profit margins, smaller firms are continuing to deliver new jobs and opportunities.”

He added: “This new research reaffirms the important role EU citizens play in the Scottish labour market – the skills European workers bring to Scottish firms are vital to future business growth. Securing their right to remain in the UK is a top priority for the economy and requires clarification as soon as possible.”