The latest UK labour market data presents a mixed picture, with the employment rate showing modest improvement despite earlier indications of weakening demand. The unemployment rate has risen to 4.4%, continuing its upward trajectory, while the UK Claimant Count increased in February 2025. These suggest a persistent challenge of insufficient job creation, resulting in growing benefit dependency.

Dr Sangwoo Lee explores Understanding Society data to measure the multi-dimensional concept of job quality, and Graham Atwell revisits the implications of AI for the future of jobs.

"While the employment rate remains steady at 74.9%, several indicators signal growing strains. Redundancies have risen by 67.8% year-on-year—increasing to 99,000 from 59,000, the proportion of long-term unemployment has grown significantly, and the unemployment rate has climbed to 4.3%. These developments reflect a fundamental structural adjustment in labour market conditions rather than a temporary fluctuation."

The ageing population has led to much public policy and debate about prolonging working lives to reduce welfare costs and respond to projected labour shortages as many workers retire. In this blog, Professor Philip Taylor of IER provides a myth-buster that draws on international evidence to challenge common misconceptions about ageing and work.

The new Labour Government is on a mission to grow the economy, with its primary aim focused on promoting fairness in employment, eradicating pay insecurity and offering more flexible working conditions. All of these objectives are tied to improving working conditions. As highlighted in a body of literature, including a recent study by the Institute for Employment Research (IER), good jobs with better job quality benefit both individual workers and society as a whole by boosting innovation, increasing productivity and improving individual wellbeing. The creation of more good jobs would support the Government's efforts to stimulate economic growth and generate the tax revenues necessary for public infrastructure investment, such as schools and hospitals. But what is the path towards creating more ‘good jobs’? How can we make meaningful progress in achieving better job quality?