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Economic Development

East Midlands' unemployment rate is second lowest in º£½ÇÊÓÆµ – but concerns growing about filling key jobs

Chamber boss: 'There is a major constrain on businesses when it comes to finding the staff they need to fill key jobs'

The East Midlands' unemployment rate has stayed at 2.7 per cent – the second-lowest in the country according to latest statistics.

But concerns are growing about the ability of businesses to fill key jobs.

Latest ONS figures for February to April suggest the region’s jobless rate was 1.1 per cent below the national average, with only Northern Ireland – at 2.6 per cent – lower.

The latest data follows confirmation the º£½ÇÊÓÆµ’s GDP shrunk by 0.3 per in April, raising the likelihood the country is heading for a recession.

East Midlands Chamber chief executive Scott Knowles said: “While on the face of it a low unemployment rate is a positive for the region’s labour force, this trend shows there is a major constrain on businesses when it comes to finding the staff they need to fill key jobs.

“The ONS figures reflect what we are finding in the East Midlands, where two-thirds of businesses attempted to recruit new employees in the second quarter of the year but 82 per cent of these struggled to find people, according to our latest quarterly economic survey.

“Four in 10 businesses told us they are now at full capacity, which strongly suggests they need staff to meet high demand.

“From our conversations with members, industries such as manufacturing – which are important drivers of economic output – are struggling the most due to early retirement among workers and a lack of skilled workers to replace them.