Disastrous Job Market Threatens Many in Modern UK

Unemployment claimant count is on the rise recently as more and more workers in the United Kingdom are finding themselves out of jobs. Researchers uncovered new figures that show 2,300 people were claiming unemployment benefits in the month of August 2010. This most recent report is based on statistics released towards the end the month of September and shows that just under 1.5 million are now claiming these benefits. The figure is derived from the Office for National Statistics and is alarming to economists because they speculate that the austerity moves by the Government may be undermining the optimism of businesses. If the changes which took place in June are having this effect on employment figures, it could mean that the economy reverts back into a stronger recession state which would be bad news for UK workers, many of whom are already facing massive debts and needing to consider bankruptcy as a potential future since other options would require a form of employment to repay the debts.

While 286,000 were able to get jobs in the months between March and June 2010, these jobs appear to not have had a strong enough effect on the overall economic health of the UK. It should also be noted that nearly 30% of the work force now hold part time jobs. These positions are often not enough to cover more than the absolute basic essentials. In all, a full 2.47 million people in the UK are out of a job according to the International Labour Organisation, hurting the chances of a national recovery from the recent credit meltdown and near economic collapse, according to analysts. A high balance of trade deficit is another worry since it has set a new record in the UK. Employers in markets such as construction and the services industry are now appearing to be reacting dramatically to the new situation. Even the International Monetary Fund appears worried by the gradually creeping unemployment not just in the UK, but in most of the western world.

Governments are being prodded to spur economic growth, but the current problems are not looking better for those at the ground level in the work a day world. Unions remain concerned that the public spending cuts in the UK could be worsening the present situation by lowering both consumer and business confidence levels. With 1 in 6 young Britons looking for work, the recovery would be jobless and this is not seen as beneficial by most UK social organisations.

The worrying situation over the fragile state of the UK economy has financial advisors recommending that people seek to shore up their spending via any means possible and look to solutions for debt in case the situation worsens.