Summary

Unemployment and Jobs Update, Milton Keynes, April 2015

Headlines:

·  Unemployment (claimant count) fell slightly to 2,979 claimants in Milton Keynes (1.8% of the working age population) in April 2015 from 2,990 (1.8%) in March 2015, a decrease of 11 claimants.

·  There were 4,275 claimants in April 2014, a rate of 2.6% so the unemployment rate fell by 0.8% in a year.

·  The MK unemployment rate of 1.8% was 0.1% lower than the UK rate, but higher than the South East England rate of 1.2% and 0.3% higher than the South East Midlands Local Enterprise Partnership area rate of 1.5%.

·  The impact of unemployment among young people (aged 24 years of age and under) remains an issue regionally and nationally. Young people made up 16.4% of the unemployed in MK in April 2015, compared to 21% in the South East region and 21.8% in the UK.

·  Long-term unemployment (claiming Job Seeker’s Allowance (JSA) for one year and over) decreased to 715 claimants in October 2014, from 745 claimants in September 2014.

·  Those claiming JSA for one year and over made up 23.2% of the claimant count in MK in October 2014, an increase of 0.6% on the October 2014 proportion but a decrease in absolute terms of 30 claimants.

·  Those claiming JSA for over 6 months made up 41.8% of the 3,092 unemployed job seekers in MK, in October 2014, a decrease of 1.1% on the September proportion and a rate of 0.8%.

·  Just over one quarter of job seekers (26.2%) in October 2014 were looking for jobs in ‘Elementary occupations’, signifying low skill levels.

·  The UK Consumer Price Index for April 2015 was -0.1%.

·  The employment level in Milton Keynes is increasing and the unemployment rate is low and falling. Milton Keynes Council remains committed to assisting in growing the Milton Keynes economy, creating jobs.

1.  Unemployment Rate (Claimant Count)

There were 2,979 claimants in Milton Keynes in April 2015 compared to 2,990 in March 2015, 11 fewer job seekers. The unemployment rate in Milton Keynes fell to 1.8% in April comparing with 2.6% in April 2014. The MK rate of 1.8% was 0.1% lower than the UK rate but higher than the regional rate of 1.2%. The rate for the South East Midlands Local Enterprise Partnership area (SEMLEP) fell to 1.5% in April 2015. In neighbouring local authority areas, the unemployment rates in April 2015 were: 2.2% in Luton, 2.2% in Bedford, 2.2% in Northampton, 0.9% in Central Bedfordshire and 0.8% in Aylesbury Vale.

·  Benchmarking Milton Keynes with Other Urban Areas

When we benchmark Milton Keynes against similar urban areas which compete for the same investors as the Borough, the picture is interesting. In fact MK appears to be doing well as shown below:

o  Reading – 1.4%

o  Slough – 1.6%

Milton Keynes – 1.8%

o  Bedford – 2.2%

o  Luton – 2.2%

o  Northampton – 2.2%

o  Peterborough – 2.1%.

·  Ward Unemployment

Analysis of unemployment by Ward in April 2015 shows high rates in Woughton – 3.6%, Eaton Manor – 3.2%, Denbigh – 2.6%, Campbell Park – 3.2%, Wolverton – 2.4%, Bletchley and Fenny Stratford – 2.3%, Bradwell – 2.5%, and Stantonbury – 2.2%. Indeed, eight Wards in MK have unemployment rates which are above the MK average of 1.8%. In all these Wards, the majority of the claimants have worked in, and or are looking for jobs in Elementary occupations, indicating that low skills levels are an issue. NB. There were Ward boundary changes in MK in May 2014. Unemployment data reflecting the revised Wards is expected to be published later this year.

·  Long Term Unemployment

The unemployment rate for those who had been unemployed for longer than one year stood at 0.4% of the working age population in April 2015, and 20.8% of the claimant count in MK, The longer a job seeker is out of work, the more difficult it is to find suitable employment as they will have to compete for jobs with new entrants in to the labour market.

Those claiming Job Seeker’s Allowance (JSA) for over 6 months made up 41.8% of the unemployed claimants in MK, in October 2014, a decrease of 1.1% on the September 2014 proportion and a rate of 0.8% of the working age population.

Young people (aged 24 and under) made up 18.9% of those claiming JSA in MK in October 2014, same proportion as in September 2014). A proportion of 1.5% (45 young people) was claiming JSA for over 12 months in October 2014, an increase of 0.1% on the September 2014 proportion, same claimants as in September 20114. Young people who had been unemployed and claiming JSA for over 6 months in October 2014 made up 3.6% (110 claimants) of the claimant count, 30 claimants fewer than in September 2014 and a 0.6% decrease on the September 2014 proportion. Those aged 25 and over and claiming JSA for over one year made up 21.7% (670 claimants) of all JSA claimants in MK in October 2014, an increase of 0.5% on the September 2014 proportion but 30 fewer claimants.

Claimants aged 25 and over, claiming for over 18 months made 16% of the claimant count (495 claimants) in October 2014, a 0.1% increase on the September 2014 proportion and a decrease of five claimants. Those aged 25 and over and claiming for over 2 years made 12.1% of the claimant count (375 claimants). Claimants aged 50 and over and claiming JSA for over 6 months made up 11.1% (345 claimants) of the claimant count in MK in October 2014, an increase of 0.2% on the September 2014 proportion, but a decrease of 15 claimants. Please note there has not been any new JSA data published since Autumn 2014.

Characteristics of the unemployed:

2.  Age and gender profile

The number of claimants who are in the younger age group is 16.4% in Milton Keynes and 22.1% of claimants are aged between 50-64.

In terms of gender, males made up 63.9% of the claimants and females made up 36.1% of the claimants in April 2015.

·  NEET

The number of young people (16-19 year olds) in Milton Keynes who were ‘not in education, employment or training’ (NEET) in October 2014 was 272, 5.4% of the Year 12 to Year 14 cohort compared to 277 (9%) in September 2014, and 421 in October 2013. The number of young people in learning was 4,427 in October 2014, 48.2% of the cohort. The cohort count includes all young people in this age group resident in MK,and excludes those who are educated in MK but live in other local authority areas.

3.  Ethnicity

Ethnicity figures lag by a month. In March 2015, White people made up the majority of the claimant count, 2,235 claimants (61.7%). Of the ethnic minority groups 18.4% declare themselves as ‘ethnic minority’. Those who specified a group were 10.2% who were ‘Black/Black British and 4.6% who were Asian/Asian British.

4.  Sought after Occupation

There was little or no change in the proportions and choices of occupations which job seekers (3,092) would like to join. In October 2014, job seekers were looking for work in the following occupations and in proportions indicated:

Sales & Customer Service – 38.8% / Elementary jobs – 26.2%
Admin & Secretarial – 10% / Process, Plant, Machinery – 4.7%
Skills Trades – 4.2% / Personal Service – 3.2%
Assoc Professional & Technical – 3.6% / Manager & Snr Officials – 2.8%

NB. Elementary (low skilled) occupations dominate the occupational aspirations of job seekers.

5.  Previous/ Usual Occupation of Job Seeker

The previous occupations of job seekers seem to match their sought after occupations as the proportions below show:

Sales and Customer Service – 38.7% / . Elementary jobs – 26.7%
Admin and Secretarial – 10.5% / Process, Plant and Machinery – 4.4%
Skills Trades – 3.9% / Personal Services – 3.2%
Assoc Professional & Tech Occupations – 3.1% / Managers and Snr Officials – 2.8%

Neighbourhood Employment Programme

The Neighbourhood Employment Programme (NEP) introduced by Milton Keynes Council’s Regeneration Service provides a framework for delivering targeted employability support to designated neighbourhoods in MK which are identified as having high levels of unemployment. In August 2014, the participation levels in a range of NEP activities were as follows:

·  New participants attending the job club or information, advice and guidance sessions – 195,

·  Participants starting employability training – 209,

·  Number of people starting paid employment having been on the NEP- 63.

6.  Conclusion

The improvement in the performance of the national economy continues as the level of economic activity is increasing. In the local economy jobs are being created and the unemployment rate is low and continuing to fall.

Supporting Tables and Charts

Milton Keynes Claimant Count

Source: Office for National Statistics

Milton Keynes Wards Claimant Count

Source: Office for National Statistics

Milton Keynes, SEMLEP & Neighbouring Areas Claimant Count, April 2015

Source: Office for National Statistics

Milton Keynes Claimant Count by Age and Duration, April 2015

Source: Office for National Statistics

Milton Keynes Claimant Count Stocks & Flows by Ethnicity, March 2015

Source: Office for National Statistics

The Characteristics of people claiming Job Seeker’s Allowance, MK

Age Distribution of Claimants, October 2014

Source: NOMIS

Sought Occupation of Job Seekers, MK, October 2014
Occupation / Male Claimants / Female Claimants / Total Claimants
No / % / No / % / No / %
Unknown / 70 / 3.7 / 70 / 5.9 / 140 / 4.5
Managers and Senior Officials / 60 / 3.1 / 20 / 2 / 85 / 2.8
Professional / 50 / 2.6 / 15 / 1 / 70 / 2.3
Associate Professional Technical / 85 / 4.5 / 20 / 2 / 110 / 3.6
Administrative and Secretarial / 130 / 6.8 / 180 / 15 / 310 / 10.0
Skilled Trades / 120 / 6.3 / 10 / 1 / 130 / 4.2
Personal Service / 25 / 1.3 / 75 / 6 / 100 / 3.2
Sales and Customer Service / 605 / 31.8 / 595 / 50 / 1,200 / 38.8
Process, Plant and Machine Operatives / 130 / 6.8 / 15 / 1 / 145 / 4.7
Elementary / 625 / 32.8 / 185 / 16 / 810 / 26.2
Column Total / 1,905 / 100 / 1,185 / 100 / 3,090 / 100
Source: NOMIS
Previous Occupation of Job Seekers, MK, October 2014
Occupation / Male Claimants / Female Claimants / Total Claimants
No / % / No / % / No / %
Unknown / 70 / 3.7 / 70 / 5.9 / 140 / 4.5
Managers and Senior Officials / 65 / 3 / 20 / 2 / 85 / 2.8
Professional / 50 / 3 / 20 / 2 / 70 / 2.3
Associate Professional & Technical / 80 / 4 / 15 / 1 / 95 / 3.1
Administrative and Secretarial / 145 / 8 / 180 / 15 / 325 / 10.5
Skilled Trades / 110 / 6 / 10 / 1 / 120 / 3.9
Personal Service / 20 / 1 / 80 / 7 / 100 / 3.2
Sales and Customer Service / 605 / 32 / 595 / 50 / 1,195 / 38.7
Process, Plant & Machine Operatives / 125 / 7 / 10 / 1 / 135 / 4.4
Elementary / 640 / 34 / 190 / 16 / 825 / 26.7
Column Total / 1,905 / 100 / 1,185 / 100 / 3,090 / 100
Source: NOMIS

Source: NOMIS

10