Private sector employment at record high as economy rebalances
The private sector now accounts for a greater share of overall employment than at any time since current records began nearly 15 years ago.
A jobs boom means the private sector now accounts for a greater share of overall employment than at any time since current records began nearly 15 years ago, according to analysis of official statistics.
Private sector employment has jumped by 1.3million to a record high of 24.1 million under the coalition government – while public sector employment has fallen by 423,000.
Last year alone, the increase in private sector employment was almost 5 times the fall in public sector work.
Now, analysis of the most recent Office for National Statistics figures shows how the balance between public and private sector employment has changed since 2010.
Latest seasonally-adjusted figures showed 80.9% of jobs in March 2013 were in the private sector versus 19.1% in the public sector. In March 2010, the private sector accounted for 78.7% of jobs, compared to 21.2% in the public sector.
The analysis reveals that the private sector now accounts for a bigger share of work than since data was first recorded in this way in 1999.
Minister for Employment Mark Hoban said:
The cynics claimed the private sector wouldn’t step up to create jobs as we bring public spending under control. These figures show that the cynics were wrong.
There are now 1.3 million more people working in the private sector compared to when the coalition took office – that’s 3 new private sector jobs for every 1 lost in the public sector.
The number of people in work has hit record levels, unemployment is falling and the number of people claiming Jobseeker’s Allowance dropped by 29,000 last month. There’s still lots to do to help those hard-working people who haven’t yet found a job to realise their aspirations, but these are encouraging signs – and a further indication that the economy is moving from rescue to recovery.
The government is committed to rebalancing the economy by helping the private sector create sustainable jobs while public spending falls because of the need to tackle the deficit.
Latest official figures last week showed unemployment fell by 4,000 last quarter, the number of people claiming Jobseeker’s Allowance fell by 29,000 and the number of people in work rose by 69,000.
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