An unemployment tsunami is heading for older workers

The latest labour market data from the Office for National Statistics delivered a familiar array of nasties: unemployment up, vacancies down.

- JAMES MOORE

As ever, it is those most vulnerable to the axe, and the lack of opportunities in the aftermath of said axe falling, who suffer the most when the labour market “tightens”. A “tightening” labour market is economist speak for when it gets colder than the ready meal left in the freezer for the last three years for those looking for work.

Figures from the Department for Work and Pensions (DWP), meanwhile, show this delivering a hard slap to older workers. The employment rate among people aged 50 to 64 years stands at 71.6 per cent, which is still below its pre-pandemic level. The employment rate gap between people aged 35 to 49 years and those aged 50 to 64 years stands at 14.1 per cent, little changed over the last year but uncomfortably high nonetheless. Here’s the real stinger: the unemployment rate for those aged 50 to 64 has increased from 2.4 per cent to 3.1 per cent in the last year.

Who are these people? I suspect a significant number of them have become so disheartened by the state of the labour market that they’ve given up seeking work. What are their lives like? It’s enough to make you shudder.