STUC on GDP and employment statistics

July 18th 2012

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Responding to the latest GDP and labour market statistics for Scotland published today, Grahame Smith, Scottish Trades Union Congress (STUC) General Secretary said:

“Most of the coverage today will focus on Scotland entering technical double dip recession or indeed Scotland’s performance relative to the rest of the UK.

“However, the simple truth is that, as we enter the fifth year of this economic crisis, a robust demand led recovery appears as remote as ever. Despite the recent welcome falls, unemployment is high and likely to rise over the coming year. Despite falling inflation, real wages continue to decline.

“As the STUC has consistently highlighted, the headline statistics do not tell the full story of what is happening in the labour market. A recent Scottish Government report confirms that underemployment or involuntary part-time working was heading towards the quarter of a million mark in Scotland at the end of 2011. When the economy does eventually recover, Scotland risks being left with a labour market increasingly characterised by part-time, low wage, insecure employment.

“The Coalition’s investment plan announced today represents progress and at least acknowledgement of the fact that the private sector will not deliver this investment of their own accord in current circumstances. However, it is massively insufficient given the scale of continuing economic and labour market challenges”.



‘Local Area Labour Markets in Scotland 2011’, Scottish Government, 5 July 2012. See pages 14-16 for underemployment statistics.

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