---------- Forwarded message ----------
Date: Thu, 15 Mar 2001 17:29:41 +0000
From: Ivan Turok <[EMAIL PROTECTED]>
Reply-To: unemployment-research <[EMAIL PROTECTED]>
To: [EMAIL PROTECTED]
Subject: Re: Unemployed disguised as sick

The following letter published in today's Herald includes one or two
figures that may be of interest.

Misleading figures on unemployment

Your editorial and Alf Young's commentary on the fall in registered
unemployment yesterday failed to mention the substantial growth in hidden
unemployment over the last two decades.  For various reasons, including
pressure to reduce the headline 'claimant count', there has been a sizeable
diversion of people from unemployment-related benefits to sickness benefits
and premature early retirement.  The number of sickness benefit claimants
has risen from 0.5 million to nearly 2 million in Britain over the last 20
years.  In several parts of Scotland more than one in five men of
working-age are on sickness benefits.  This shift has also reduced the ILO
measure of unemployment.  As a result, there are now over 200,000 people in
Scotland who are recorded as economically inactive but who say they want to
work.  None of them are counted as unemployed, but many of them should be
on any objective measure.  The effect of adding them in would be to more
than double the ILO measure of unemployment, which is itself 50% above the
flawed claimant count.  This also explains the apparent perverse fact Alf
Young mentions that the employment rate - the proportion of the population
in work - is still well below its level in the 1970s.  Unemployment remains
a huge challenge for Scotland, especially in our older industrial cities
and towns.  We would need about 160,000 additional jobs in Scotland to
raise our employment rate to that of the South of England.


Professor Ivan Turok
Department of Urban Studies
University of Glasgow
25 Bute Gardens
Glasgow G12 8RS
Scotland, UK

tel: (+44) (0)141 330 6274
fax: (+44) (0)141 330 4983
http://www.gla.ac.uk/urbanstudies/

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