There are still job seekers in spite of falling unemployment

The number of unemployed dropped by 400 persons in July 2018 according to Statistics Denmark. Gross unemployment is currently at a total of 107,300 persons which corresponds to 3.9 percent of the workforce. The line of registered job seekers has been reduced by 5,200 persons in 2018. During this period, employment has gone up with more than 25,000 persons according to new figures from the survey of the national economy.

– The number of persons available for work is at an all-time high these years and, in the coming years, the workforce will increase. The rising demand for labour will therefore largely be met due to a growing workforce. This is why unemployment will not fall to the same extent that employment will rise, says LO-economist, Mette Hørdum Larsen.

– We do not have a shortage of workers. There are still many who are looking to gain a foothold on the labour market. And they are more numerous than the registered unemployment tells us. There are, for example, 50,0000 persons in addition to the 100,000 who are currently actively seeking a job and who can start working within the next couple of weeks. For different reasons, they aren?t included in this unemployment statistic, says Mette Hørdum Larsen.

– There are also many in employment who want to work more hours. This means that another 50,000 full time jobs could be created if they were allowed to work full time.

The upturn should be used to ensure jobs for all

– There are still jobless persons even though unemployment continues to fall. And nothing indicates that there is any labour shortage. Most companies find the labour they seek. And pay rises are still moderate and reflect a lack of pressure on the labour market. We have an economy and a labour market that are in good shape.

– We should use this favourable labour market situation with rising demand to tap the potential that already exists in the Danish workforce. – We have a golden opportunity to ensure jobs for everyone and more hours for those who need to work more, says LO?s economist, Mette Hørdum Larsen.